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Ethereum (ETH/USD) forecast and analysis on August 23, 2019

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Cryptocurrency Ethereum (ETH/USD) is trading at 184. Cryptocurrency quotes are trading below the moving average with a period of 55. This indicates the presence of a bearish trend on Ethereum. At the moment, cryptocurrency quotes are moving near the lower border of the Bollinger Bands indicator stripes.

Ethereum (ETH/USD) forecast and analysis on August 23, 2019

As part of the Ethereum exchange rate forecast, a test of level 193 is expected. Where can we expect an attempt to continue the fall of ETH/USD and the further development of the downward trend. The purpose of this movement is the area near the level of 168. The conservative area for sales of Ethereum is located near the upper border of the Bollinger Bands indicator strip at 208.

Ethereum (ETH/USD) forecast and analysis on August 23, 2019

Cancellation of the option to continue the decline in the Ethereum rate will be a breakdown of the upper border of the Bollinger Bands indicator stripes. As well as a moving average with a period of 55 and the closing of quotations of the pair above the area of ​​210. This will indicate a change in the current trend in favor of the bullish for ETH/USD. In case of breakdown of the lower border of the Bollinger Bands indicator bands, we should expect an acceleration in the fall of cryptocurrency.

Ethereum (ETH/USD) forecast and analysis on August 23, 2019 implies a test level of 193. Further, it is expected to continue falling to the area below the level of 168. The conservative area for selling Ethereum is located area of 208. Canceling the option of falling cryptocurrency will be a breakdown of the level of 210. In this case, we can expect continuation growth.

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3 Reasons Why Ethereum [ETH] May Hit the Moon in 2020

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Ethereum, the second-largest cryptocurrency after Bitcoin, continues to be among the favorites of both investors and developers. It was surpassed by XRP briefly in 2016 and 2018, but other than that, it has steadily held on its second rank on CoinMarketCap’s top cryptocurrencies by market capitalization list. Though 2019 was a sluggish year for the cryptocurrency where it traded at less than 10% of its January 13, 2018 ATH of $1432.88 – reaching a high of only $361.40 on June 26, 2019, the state of affairs is poised to change in the year 2020.

Ethereum price
Source: coinstats

Here are 3 reasons why ETH price may hit the moon in 2020 –

#1 – Ethereum 2.0 Is On The Way

At the time of its launch, Ethereum had announced a 4-stage roadmap for development, which will eventually result in Ethereum becoming a supercomputer that is capable of executing any code efficiently. The 4 phases are as follows –

  • Frontier (July 2015) – The initial stage which allowed users to mine Ether with Proof of Work (PoW) consensus and developers to build DApps.
  • Homestead (March 2016) – The upgrade laid the foundation for future improvements and made it easier for developers to utilize the Ethereum platform for creating minimum viable products.
  • Metropolis (October 2017) – This stage’s Ethereum Improvement Proposals (EIPs) focused on security and speed on the Ethereum platform. It was conducted in two phases – Byzantium and Constantinople.
  • Serenity (Lined up for 2020) – This update will finally bring Proof-of-Stake (PoS) consensus algorithm to Ethereum to make it more efficient and less energy-consuming among other things.

We are presently in the Metropolis phase and the Serenity phase is about to begin. Leading developer at the Ethereum Foundation Péter Szilágyi recently confirmed that the Istanbul hard fork was scheduled to be initiated on the 4th of December, 2019. The hard fork, aimed at reducing gas costs, increasing compatibility with Zcash, enhancing scalability and introducing versatility in contracts, will bring Ethereum closer to version 2.0.

The Serenity stage will include several EIPs to help Ethereum become a supercomputer. They include –

  • Proof of Stake (PoS) consensus method – One of the most exciting upgrades that Ethereum will receive is the shift to the PoS consensus method from Proof of Work (PoW). PoW consensus method entails solving a complex mathematical problem to validate a block, and thereby, mine cryptocurrency. The method has been criticized severely for the high amount of energy it consumes. However, the Casper Protocol, which will utilize the PoS method, will require Ethereum holders to stake their ETH to validate transactions on the network. Upon confirmation of a block, staking users will win block rewards and network fees. This method, since it doesn’t require any mining, will be much more energy-efficient.
  • Sharding – Sharding is a solution for scaling in Ethereum. In sharding, transactions are divided among groups of nodes known as shards. Each shard processes their set of transactions, rather than processing all the transactions on the network. In this way, numerous transactions can be processed in parallel.
  • eWASM – Ethereum WebAssemly (eWASM) is a replacement for the Ethereum Virtual Machine (EVM). It will allow developers to code in languages other than Ethereum’s own – Solidity. Also, it will make Ethereum more versatile – allowing many more functions to be written into smart contracts and deployed on the blockchain rather than conducting a hard fork for the same.
  • Plasma – Plasma is also an upgrade aimed at enhancing the scalability of Ethereum. In Plasma, side-chains, or “child chains” will be introduced on top of the main Ethereum blockchain to process transactions. By doing so, the possibility of congesting the main Ethereum blockchain will be reduced.
  • Raiden – Raiden network, like Plasma, is a scalability solution for Ethereum, similar to what the Lightning Network is to Bitcoin. The Raiden solution will take transactions off-chain, making them near-instantaneous, inexpensive, and more private.

On Ethereum 2.0, Ethereum co-founder, Joe Lubin says that it will solve many problems for a variety of users – from enterprises to banks to consumers.

 “It’ll enable us to build a much more scalable system in time and enable us to build different kinds of focused execution environments for different kinds of problems. Different architectures are more efficient for different problem domains.”

For enterprises and banks, the upgrade is great news as its gives opens more doors for innovation for them, Ethereum Enterprise Alliance (EEA) is an organization focusing on developing open, blockchain specifications that drive interoperability for businesses and consumers worldwide. Its members include corporates like Accenture, Cognizant, Ernst & Young, Microsoft and Price Waterhouse Coopers (PwC). Recently, Great Britain’s banking giant Standard Chartered also joined the organization.

Serenity will include the implementation of several of the aforementioned solutions that make Ethereum more efficient, secure, versatile and easy-to-use. Thus, with Ethereum 2.0, we can expect more use cases for Ethereum, primarily scalable decentralized solutions for businesses, banks and consumers, which in turn will increase ETH adoption.

#2 Ethereum Futures May Get Regulatory Approval From CFTC

ethereum futures
Source: Skew

Bitcoin derivatives have made a big market for themselves. But, Ethereum Futures (unregulated) are slowly catching up. BitMEX, OKEx (futures), Kraken (futures), Deribit, and Binance JEX are some of the top exchanges that offer Ethereum perpetual contracts. Ethereum futures contracts are traded on exchanges like BitMEX, Huobi DM, OKEx (futures), Kraken (futures) and Deribit. There are also a host of other exchanges offering Ethereum derivatives. They include BiBox, Gate.io (futures), BTSE (futures) Bitfinex (futures), and Great Britain-based Monfex.

The volume of Ethereum derivates, though much smaller compared to Bitcoin derivatives’, is decent. At press time, BitMEX’s 24-hour ETHUSD volume is over $165 MM, making it the top performer among Ethereum perpetual contracts. The 24-hour volume of ETH_CQ on Huobi DM is over $288 MM.

The reason why Ethereum derivatives may become a game-changer for crypto market because is that they might get regulatory approval from the Commodity Futures Trading Commission (CFTC) soon. In October, CFTC chairman Heath Tarbert had suggested that Ethereum futures might get regulated in the next six months to one year.

“I’d say it is likely that you would see a futures contract in the next six months to a year,”

said Tarbert while speaking at DC Fintech Week in October.

The approval of Ethereum derivatives will open new doors for institutional investors, and it is likely that Ethereum price hits new heights when that happens.

#3 The Rise of DeFi

Source: DeFi Pulse

One more thing that has been brewing at Ethereum is Decentralised Finance (DeFi) applications. This special kind of DApps enables more people to access financial services like loans and investments. The beauty of DeFi apps is that they are not controlled by centralised authorities, but by smart contracts.

For example, in lending protocols, users can borrow a crypto asset or cash by giving another asset as collateral – ETH, usually. The debt has an accruing interest which is to be paid off when along with the principal amount. The collateral paid is always higher than the loan amount, and if the value of the collateral begins to fall, then the borrower has to supplement the existing collateral with more to maintain the stipulated level. In case the value of the collateral falls below a certain, then it automatically gets unlocked and liquidated in the open market. The rules of borrowing in any lending app are embedded in the smart contracts.

DeFi protocols are so popular that just within a little over 2 years, the total value locked in DeFi apps has reached a whopping $650 MM. DeFi Pulse lists 20 DeFi apps, and out of these 20, 19 are based on Ethereum. The top 3 apps, MakerDAO, Compound, and Synthetix have $341 MM, $114 MM and $99 MM worth of value locked in each of them respectively.

“The goal of DeFi is to reconstruct the banking system for the whole world in this open, permissionless way. You only get that shot every 50 years.”

says Alex Pack, managing partner at Dragonfly Capital, a $100 million crypto fund.

DeFi, at the moment, is a small market, but, it has the potential to disrupt financial services with greater awareness and adoption by people. In fact, the total value locked in DeFi (in Ether), recently hit an all-time high on November 9, 2019 with 3.523 ETH. The fact that DeFi makes financial services more accessible to people securely, inexpensively and efficiently, is a strong argument in favor of DeFi’s narrative of financial disruption.

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What is the Enterprise Ethereum Alliance (EEA)?

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According to the Enterprise Ethereum Alliance (EEA) website, the alliance is a member-driven standards organisation whose charter is to develop open blockchain specifications that drive harmonisation and interoperability for businesses and consumers worldwide.

The EEA’s global community of members is made up of leaders, adopters, innovators, developers, and businesses who collaborate to create an open, decentralised web for the benefit of everyone.

In essence, the EEA is a space for organisations to share knowledge and foster the widespread adoption of the Ethereum protocol among institutional payers.

Some of its founding members are Accenture, EY, the Ethereum Foundation, a conglomerate of banks (including BBVA and Santander), and other key players in various industries.

The EEA stack

One of the first documents I looked into when researching the EEA was how the alliance promoted its architecture stack. In my view, it’s key to understand how different cryptocurrency protocols, software, and dApps will communicate with other blockchains and with each other.

You can see the EEA’s proposed architecture stack below courtesy of the alliance’s website.

I personally believe the ultimate goal of the EEA’s stack is to promote the widespread adoption of the Ethereum blockchain by making it more accessible and scalable.

At the base of the stack we have the network protocols being used. At the time of writing, only a public protocol, the Ethereum protocol, is available. On top of the network protocol, we have the ledger and consensus mechanisms in the core blockchain layer.

The stack shows that multiple algorithms may be used (PoW, PoA, dBFT, and more) with the goal of increasing the number of both on-chain and off-chain storage solutions to augment speed while maintaining high levels of security. Execution is carried out through either the Ethereum virtual machine (EVM) or through pre-agreed contracts.

Another level up, we see how the enterprises will communicate with the different protocols. It’s possible to add any number of features such as increased centralisation, privacy, or any other permission checks. In essence, the EEA can introduce private blockchain solutions that somehow mimic Ethereum’s functionality.

In the two levels above that, we see both the tools and applications respectively. In short, tools are used by developers to facilitate communication between applications and the blockchain layer, such as wallets or integration libraries. In the application layer, apps like token standards (ERC), identity management, or the Ethereum Name Service (ENS) exist as programs (smart contracts).

Proposed use cases

There are a number of use cases proposed by the EEA in order to facilitate the adoption of blockchain technology.

The most notable, which can be found on GitHub, are:

  • International payments
  • A national-level smart contract platform
  • Cross-value adjustment
  • Illiquid securities management
  • Anonymous voting systems

With the introduction of preconceived modules to apply the entire development stack, there is an extra incentive for companies to pursue this technology. Not only does it become easier to implement given the multiple proven use cases, organisations also have quality documentation released by EEA members at their disposal.

In short, the Enterprise Ethereum Alliance is bridging the gap between organisations and the applications of public and private blockchain technology.

The post What is the Enterprise Ethereum Alliance (EEA)? appeared first on Coin Rivet.

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Ethereum (ETH/USD) forecast and analysis on November 13, 2019

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Cryptocurrency Ethereum (ETH/USD) is trading at 185. Cryptocurrency quotes are trading below the moving average with a period of 55. This indicates a bullish trend on Ethereum. At the moment, cryptocurrency quotes are moving near the middle border of the Bollinger Bands indicator stripes.

Ethereum (ETH/USD) forecast and analysis on November 13, 2019

As part of the Ethereum rate forecast, a test of level 182 is expected. Where can we expect an attempt to continue the growth of ETH/USD and the further development of an upward trend. The purpose of this movement is the area near the level of 195. The conservative buying area Ethereum is located near the lower border of the Bollinger Bands indicator strip at 181.

Ethereum (ETH/USD) forecast and analysis on November 13, 2019

Cancellation of the option to continue the growth of the Ethereum rate will be a breakdown of the lower border of the Bollinger Bands indicator stripes. As well as a moving average with a period of 55 and closing of quotations of the pair below the area of ​​175. This will indicate a change in the current trend in favor of the bearish for ETH/USD. In case of breakdown of the upper border of the Bollinger Bands indicator bands, we should expect an acceleration in the fall of cryptocurrency.

Ethereum (ETH/USD) forecast and analysis on November 13, 2019 implies a test level of 182. Further growth is expected to continue to the area above the level of 195. The conservative area for buying Ethereum is located area of 181. Cancellation of the growth option of cryptocurrency will be a breakdown of the level of 175. In this case, we should expect a further fall.

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