Virtual currency market analysis [April 12]

Cryptocurrency Practical Investment Newsletter April 12

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【Cryptocurrency Market Analysis】

From last week, the price movements of cryptocurrencies

over the past week are summarized as follows

as shown

Display: Current price (change from one week ago)

Bitcoin

650万 yen（2％）

Ethereum

235000 yen(2%）

Ripple151 yen（-％）

Polkadot4400 yen（-9%）

Binance Coin63000 yen（64％）

Cardano142 yen（8%）

NEM48 yen（-％）

＊Details on selecting crypto assets, timing of buys/sells, and more

are prepared in this newsletter as a separate article at the bottom of this issue.

Bitcoin started from a price of

640万 yen

and has gradually risen toward the all-time high around

680万 yen

as it climbs.

Bitcoin Daily Chart

The highest price680万 yen

Is approaching a resistance line around there

with a trend line drawn from the low

and the price is converging between these lines.

Recent Bitcoin Event

Speaking of which, BitcoinETFapproval

deadline4end of the month.

There is a possibility of postponement, but

the strong fundamentals such as institutional investors’ participation and large payment processors like PayPal

introducing Bitcoin payments may

have a significant impact on the approval process.

Do you think so?

However, in some quarters,ETFapproval

is said to be years away2or more,

and with cryptocurrency regulation still not fully in place,

there is also concern about whether the SEC

willapprovean ETF.

SEC: U.S. Securities and Exchange Commission

So we should remain hopeful for BitcoinETFwhile also considering regulatory issues

how the SEC will view them may determine whether the decision is postponed.

I get that feeling.

Regarding cryptocurrency regulation

from exchanges to individual wallets

KYC (Know Your Customer), etc., are often cited, but

if that information leaks,

personal assets could be exposed, and if the person owns large sums,

they could be at risk of harm.

Of course, these concerns are part of the current debate

as well.

【Rising Ripple】

Ripple (XRP) has recently surged sharply.

Ripple Daily Chart

Ripple’s gains are

・1 week → 2x

・2 weeks → 2.2x

・1 month → 4x

This is the status of Ripple’s rise.

In recent news, a Chinese company has used Ripple for

Defi.

Liquidity mining and in-field farming

are said to be possible as well.

That said, with such a handful of news,

is there really a need to rise so much?

My impression is that

not necessarily.

Ripple remains in a state of

SECand securities disputes.

Until recently

The fundamentals and price are not aligning well,

in my view...

This feels bubble-like

and leaves a bad impression in my opinion.

Moving away from its intrinsic value

to higher prices is a bitter memory from late 2017.

Of course, I don’t think Ripple’s future is hopeless.

With the lawsuit against the SEC, regulatory frameworks may be established.

Ripple’s case shows that the influence of Ripple’s control

is significant, and it seems inevitable that it will be

labelled as security to some degree.

I have believed this for a while.

Paying a fine and settling is the usual direction.

This is the common path.

Ripple’s position also states that Ethereum’sICOand other activities

raise securities concerns, but it feels somewhat disheartening.

Indeed, Ethereum still raises funds through ICOs,

This is a much more distributed stance.

＊More decentralized → not controlled by a single entity.

【What is Bitcoin’s Best Investment Method?】

Bitcoin’s price has risen,

and since 2021 many people, including acquaintances, have asked me

“Should I buy Bitcoin?”

“When will Bitcoin drop? It won’t go down, so I can’t buy.”

and other questions.

Whether to buy Bitcoin is up to the individual; I won’t urge you either way.

However, regarding how to approach investing,

I have long suggested considering a regular savings approach first.

Bitcoin’s price has risen and continues to reach new highs,

so the timing for investment may have already passed.

＊There may come a time when you “start investing”

later.

Even so, as prices rise, some entrants cannot buy.

I hear more of such concerns from new participants.

When investing, putting in all your funds at once

at a peak can lead to significant losses if the price顶

hits a ceiling.

That’s why diversifying funds and risks is important.

From these considerations

a regular savings approach and periodic diversification of funds

to buy even when prices are high and to buy when they’re low,

over a mid- to long-term horizon, may be a prudent strategy.

Would that be a good option?

Another concern many people have

is the price itself.

People focus on prices, but what is Bitcoin as an investment?

What impact might it have in the future?

With a capped supply, how high can the price rise?

When examining these investment targets,

many people fail to research adequately.

The investor should feel drawn to the asset and invest themselves. That is the essence of true investing.

Looking only at price and selling when it rises is gambling.

(Reference)

Explanation of Bitcoin Regular SavingsInvesting

https://bitcoin-newstart.com/tsumitate