Cryptocurrency Market Analysis [December 6]

Cryptocurrency Practical Investment Article December 6

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【Cryptocurrency Market Analysis】

From last week, the price movements of cryptocurrencies

(one week) are summarized as follows

Display: current price (change from one week ago)

Bitcoin231万円 (2.9％）

Ethereum171000円(6%）

Binance Coin39000円(-3％）

Ripple52円（-3％）

Solana1900円(3%)

Cardano43円（-%）

Polkadot740円（4%）

Avalanche 1850円(7%)

Uniswap840円（13%）

Bitcoin has slightly risen compared to last week.

Bitcoin daily chart (USD)

6In a range since June (the area enclosed by the red horizontal line), Bitcoin, after breaking the lower bound of the range (the lower red line) to the lowest price of this year,FTX, triggered a downward drop.

The current price is moving within the next lower range.

Regarding the weekly chart, the analysis is as follows.

Weekly chart

・Recently fell below the highest price of the 2017-end bubble for the first time this year.

・It remains below the 200-day moving average (orange line)

as of now.

The weekly chart remains unchanged from last week.

From the current price, looking at the chart,2017year-end bubble peak is seen as a key point.

Recently, Bitcoin, amid speculation about U.S. rate hikes, has slightly fallen in price along with the stock market.

And the USD/JPY trend toward a stronger yen, this may reflect profit-taking on the dollar after it rose too much, or could signal a decline in the dollar’s value; of course the possibility remains that it will return to a stronger dollar if rate hikes continue.

Goldman Sachs predicted earlier this year that the dollar could strengthen before turning toward a stronger yen around autumn, and we are now seeing that scenario beginning.

And looking ahead to next year, cryptocurrency companies are conducting layoffs to cut costs and endure the downturn.

About Central Banks Holding Bitcoin

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There is growing interest in the idea of central banks holding Bitcoin.5月( May ), the Alliance for Financial Inclusion（Alliance for Financial Inclusion） gathered central bank officials and financial regulators from 44 countries in El Salvador to discuss funding SMEs, financial inclusion, and Bitcoin.

Central banks around the world appear to be re-evaluating their reserve asset compositions. A report by the World Gold Council（World Gold Council） shows that gold purchases in Q3 rose 18% year over year. Central bank purchases reached a quarterly record of400 tons (the previous record was 241 tons in Q3 2018).

However now, to gain regulatory acceptance for the idea, it will take time, given that the real nature of the FTX collapse has been greatly misunderstood (FTX collapse was not caused by crypto assets but fraud).

https://www.coindeskjapan.com/166668/?utm_source=twitter&utm_medium=ifttt

ーーーー

There are articles discussing central banks holding Bitcoin.

Currently, central banks are certainly considering CBDCs as digital fiat currencies.CBDC is in view.

This digitization aims to monitor inflation and currency flows, making citizens’ assets more easily tracked.

Although prices are rising relative to fiat currencies now, the influence of cryptocurrencies as assets may become evident when fiat currencies like the dollar or yen crash and prices inflate.

Originally, cryptocurrencies like Bitcoin are not controlled by governments, have a capped supply, and are inflation-resistant. Therefore, when fiat currency trust declines, it could lead to an increase in cryptocurrency value.

El Salvador has already adopted Bitcoin as legal tender and is known as a country that holds it (fiat currency is the dollar and Bitcoin).

Also, compared with gold, Bitcoin—called digital gold—is easily accessible digitally and is not controlled, making it highly appealing to the current millennial generation.

Considering these factors, the day when nations and banks hold Bitcoin as an asset may not be far off.

FTXA cryptocurrency market that further declined due to the shock.

Nevertheless, I am still waiting for opportunities.

※In the paid subscription portion, we perform more in-depth stock analysis. I’d like to invest more deeply in cryptocurrencies beyond Bitcoin and Ethereum. If you want to understand future trends in the crypto market and catch the wave, please consider subscribing. Continuous research is very important.

(This article has been distributed since 2016.)