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Market Analysis of January 31, 2020

The marketcap has been moving up (+0.86%) since yesterday. The total capitalization is 258 737 791 870 USD.

Bitcoin totals 170 634 814 999 USD of capitalization for a dominance of 65.9%. Ethereum’s marketcap is 19 993 062 572 USD, followed by Ripple with 10 491 449 113 USD.

Market Sentiment

HOW TO READ THE MARKET SENTIMENT ?

Bitcoin Analysis

The BTC closed higher and is trading around $9371 after testing the $9500 level. Supports and resistances remain unchanged.

The daily technical situation is still positive but becomes negative over a 4 hour time horizon.

What to do about it?

The BTC is still consolidating, we have to wait for a return to the 9500$ or 9200$ level.

  • The supports of the day are at 9200$ — 9050$
  • The resistances of the day are at 9500$ — 10000$

Ethereum Analysis

ETH closed higher as well and is trading around $182.65 after testing the $187 area.

The daily technical situation is positive but becomes negative over a short time horizon.

What can we do about it?

You should wait for a support or resistance test before positioning yourself to buy or sell.

  • The supports of the day are at 173$ — 169$
  • The resistances of the day are at 187$ — 194$

Conclusion

The daily technical situation is positive for ETH and BTC.

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Top 10 Altcoins in 2020, part 1

Bitcoin has been a pioneer and trailblazer of the new era of the digital economy, introducing an influx of digital currencies based on a decentralized shared system. It has paved a way for cryptographic forms of money, spurring the creation of supporters and side projects. They are alternative coins, thus the name “ALTCOINS”. As the term “altcoins: means all cryptocurrencies which are not Bitcoin, there are hundreds of altcoins. Many of them are worthless, many of them may be a good crypto investment.
What will be the most successful and prominent altcoins for crypto trading in 2020? Which of them are most suitable for the crypto trader? Which of altcoins have the biggest potential in 2020? Let us go through top altcoins.

1. Ethereum (ETH)

A decentralized software platform that enables Smart Contracts and Decentralized Applications (DApps) to be built and run without any downtime, fraud, control, or interference from a third party. The applications on Ethereum are run on its platform-specific cryptographic token, Ether. Ether is like a vehicle for moving around on the Ethereum platform and is sought by mostly developers looking to develop and run applications inside Ethereum, or now by investors looking to make purchases of other digital currencies using Ether. Ether, launched in 2015, is currently the second-largest digital currency by market cap after Bitcoin.
A decentralized programming platform that empowers Smart Contracts and Decentralized Applications (DApps) to be manufactured and run with no downtime, scam, control, or impedance from an outsider. The applications on Ethereum are run on using its specific token, Ether. Ether resembles a key to open all doors on the Ethereum platform and is looked for by designers hoping to create and run applications inside Ethereum. Ether started in 2015, is as of now the second-biggest cryptocurrency by market capitalization right after Bitcoin.
In 2014, Ethereum introduced a pre-sale for Ether which got a staggering reaction; this assisted with introducing the age of the Initial Coin Offering (ICO).
ETH current price and market capitalization (Jan. 29th, 2020) – $176.53/$19.27 billion.

2. Ripple (XRP)

A real-time worldwide payment system that offers fatt, safe and almost no-fee transactions. Propelled in 2012, Ripple “empowers banks to settle different payments progressively, with start to finish transparency, and at lower costs.” Ripple’s protocol is special in that it doesn’t require mining. All of Ripple’s XRP tokens were “pre-mined” before dispatch, implying that there is no “creation” of XRP after some time, just the presentation and expulsion of XRP from the market supply as per the system’s rules. Along these lines, Ripple separates itself from Bitcoin and numerous different altcoins. Since Ripple’s structure doesn’t require mining, it diminishes the use of processing power and limits network latency
Up until this point, Ripple has seen success with its present plan of action; it stays one of the most alluring advanced cryptos among conventional money related foundations searching for approaches to change cross-border payments. It is right now the third-biggest cryptocurrency in the market.
XRP current price and market capitalization (Jan. 29th, 2020) – $0.235/$10.33 billion.

3. Litecoin (LTC)

Litecoin, launched in 2011, was among the first cryptocurrencies to follow in the footsteps of bitcoin and has often been referred to as “silver to Bitcoin’s gold.” It was created by Charlie Lee, an MIT graduate, and former Google engineer. Litecoin is based on an open-source global payment network that is not controlled by any central authority and uses “script” as a proof of work, which can be decoded with the help of CPUs of consumer-grade. Although Litecoin is like bitcoin in many ways, it has a faster block generation rate and hence offers a faster transaction confirmation time. Other than developers, there are a growing number of merchants who accept Litecoin.
LTC current price and market capitalization (Jan. 23th, 2020) – $60,18/$3.84 billion.

4. DigitalBits – XDB

Well, that may come as a shocker to you but we would not be doing it without a profound reason. Meet The DigitalBits Blockchain – a blockchain for brands.

DigitalBits is a protocol layer blockchain built to support consumer digital assets. With a focus on enabling mainstream crypto adoption, DigitalBits aims to solve a real-world problem utilizing branded cryptocurrencies. And what is that? A branded cryptocurrency facilitates a unique opportunity to enhance interactions and transfer of value between the brand and the consumer. The growing trend of D2C marketing has placed pressure on large brands to adapt to increased competition. Branded cryptocurrencies are designed to support heightened levels of consumer engagement, market intelligence, and overall value that people can spend every day.

In other words, DigitalBits is a fork of Stellar and a blockchain startup, which will see the launch of XDB Labs supporting custodial and wallet storage for digital assets on the DigitalBits blockchain. The aim of XDB Labs is to deliver a simple and secure cryptocurrency wallet solution that is suitable for consumers and enterprises. XDB Labs’ initial project, XDB Wallet, will act as a solution to hold crypto assets on the DigitalBits blockchain

The DigitalBits blockchain is hoping to create a marketplace where consumers can store and trade crypto assets such as loyalty points.

We have a strong fundamental belief that this project will be one of those that will make the most progress in 2020, both profit-wise but also crypto adoption-wise.

This is a hidden gem, a project with huge profit potential. We at 4C-Trading provide our investors with sophisticated Fundamental Analysis here, the results of which speak for itself.

Current XDB price and market cap (Jan. 29th, 2020): 0.016078/3 094 mln USD – very low!

5. Bitcoin Cash (BCH)

Bitcoin Cash (BCH) holds a significant spot in the history of altcoins and it is a very special one, namely, it was one of the best hard forks of the first Bitcoin (August 2017). In the digital currency world, a fork happens as the aftermath of discussions and arguments among developers and miners. At the point when various groups can’t reach a consensus, it gets split with one group staying consistent with its unique code and the other one starting life as another adaptation of the original code.
BCH started its life in August of 2017 as a fork of Bitcoin. The discussion which prompted the formation of BCH was focused on scalability; the original Bitcoin has a severe point of confinement on the size of blocks: 1 MB only. BCH expands the block size from 1 MB to 8 MB, with the thought being that bigger blocks will provide faster transaction times.. It additionally rolls out different improvements, as well, including the evacuation of the Segregated Witness protocol which effects block space.
Interesting thing is, that with the creation of this fork, all people behind it became filthy rich in seconds…
BCH current price and market capitalization (Jan. 29th, 2020) – $384,97/$7,20 billion.

Those were the forts five top altcoins on our list that try to follow Bitcoin’s suit. There are more to come in the second episode. You will find out what top altcoins are and what those altcoins potential is, either for a new crypto trader or an experienced crypto investor.

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Market Analysis of January 30, 2020

The marketcap has been moving up (+0.07) since yesterday. The total capitalization is 256 524 068 363 USD.

Bitcoin totals 170 080 521 147 USD of capitalization for a dominance of 66.2%. Ethereum’s marketcap is 19 303 437 773 USD, followed by Ripple with 10 306 987 871 USD.

Market Sentiment

HOW TO READ THE MARKET SENTIMENT ?

Bitcoin Analysis

Bitcoin closed lower, trading around $9335. Resistances and supports remain in place. BTC has rebounded on the $9200 area which is a new area to watch.

The daily technical situation is still positive but becomes negative over a 4 hour time horizon.

What to do about it?

The BTC is consolidating, keep your eyes on the $9200 zone.

  • The supports of the day are at 9200$ — 9050$
  • The resistances of the day are at 9500$ — 10000$

Ethereum Analysis

ETH closed lower after several bullish days and is trading around $174.8.

The daily technical situation is positive but not over a short time horizon.

What can be done?

As usual, the prudent trader will wait for a return to support or resistance.

  • The supports of the day are at 173$ — 169$
  • The resistances of the day are at 179$ — 189$

Conclusion

The daily technical situation is positive for BTC and ETH

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Market Analysis of January 29, 2020

The marketcap has been moving up (+3.61%) since yesterday. The total capitalization is 256 524 068 363 USD.

Bitcoin totals 169 962 374 630 USD of capitalization for a dominance of 66.3%. Ethereum’s marketcap is 19 429 302 369 USD, followed by Ripple with 10 417 637 695 USD.

Market Sentiment

HOW TO READ THE MARKET SENTIMENT ?

Bitcoin Analysis

Bitcoin closed higher and is trading at around $9300. The $9,200 has gone from resistance to support, but will it hold?

The daily technical situation is still positive but shows signs of reversal over a reduced time horizon.

What to do about it?

A correction is possible, with a test of the 9200$.

  • The supports of the day are at 9200$ — 9050$
  • The resistances of the day are at 9500$ — 10000$

Ethereum Analysis

ETH closed higher and is now trading around $176.85, moving away from its Weekly Open.

The daily technical situation is positive and remains positive over a short time horizon.

What can be done?

Wait for a return to support or resistance.

  • The supports of the day are at 174$ — 169$
  • The resistances of the day are at 179$ — 189$

Conclusion

The daily technical situation for ETH and BTC is positive

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5 things to look out for in Bitcoin 2020

In 2019 Bitcoin value grew substantially, as the crypto assets roughly doubled during the year. Even though Bitcoin dumped heavily over six months of 2019, it’s started off 2020 with a bang.
So, what should happen in 2020? What’s the future of Bitcoin? According to 4c-trading.com, these are the main storylines that would surface in the upcoming year.

1. Bitcoin Halving 2020

The subsequent Bitcoin (BTC) halving is in all likelihood to happen in May 2020. It could have a dramatic impact on the Bitcoin price.
It will happen in the week starting on 18 May 2020, when the quantity of blocks hits 630,000. It will see the block reward tumble from 12.5 to 6.25 bitcoins. The definite date of the halving isn’t yet known as the time taken to create a new block varies, with the system averaging one block like clockwork.
A Bitcoin halving (also known as ‘halvening’) is an occasion where the prize for mining new blocks is halved, which means miners get half fewer Bitcoins for verifying transactions. Bitcoin halvings are planned to happen once every 210,000 blocks – generally at regular intervals – until the final 21 millionths Bitcoin has been created by the system.
Bitcoin halvings are significant occasions for investors and traders since they lessen the number of new bitcoins being produced by the system. This restricts the supply of new coins, so costs could rise if demand stays solid. While this has occurred in the months when past halvings – making bitcoin’s value rise quickly – the conditions encompassing each dividing are extraordinary, and interest for bitcoin can change uncontrollably.
And how will that affect the Bitcoin price? Well, predictions differ from 50 to 100k in the very next years. Will that happen? We are careful with such statements because we now have a “futures trading mechanism” that can suppress any price. As usual, time will tell.

2. Bitcoin’s Transition to Digital Gold

Bitcoin has been alluded to as digital gold for several years. However, 2019 was the year when that idea turned out to be considerably more practical, as per information from the most recent a half of the year. Even U.S. Congressman Brad Sherman (D-CA) warned that Bitcoin might be a risk to the U.S. dollar’s predominance in the worldwide economy. Well, how about that?
In 2020, the resemblance of Bitcoin to Gold started to mount as soon as the tension between the United States and Iran began to grow. Notwithstanding, longer-term estimations of the relationship among Bitcoin gold still show there is a feeble connection between these two resources.
Yes, there is still a lot of work to be done here. The digital gold use case is often referred to as Bitcoin’s core value proposition, so a closer correlation with physical gold could indicate a higher level of understanding and acceptance of this point from market participants. Additionally, the introduction of central bank-issued digital currencies could clarify the value proposition of something like Bitcoin in the minds of the general public.

3. Lightning Network and Liquid Sidechain adoption

Improvements for the base Bitcoin protocol are also on the way. The Lightning Network has been advertised as an answer for quicker, less expensive Bitcoin micropayments for several years now. However, there is also and Blockstream’s Liquid sidechain. Although the Lightning Network has seen a more prominent degree of recognition so far, it might be Liquid that takes the spotlight in 2020. Because of the enormous measure of centralization of Bitcoin transactions around exchanges, Liquid could be useful in bringing down congestion on the base Bitcoin blockchain because there is a lot of speculation on the Bitcoin price due to the halving.
There is also a belief among many Bitcoin evangelists that innovations like side-chains and the Lightning Network will eventually send the price of altcoins to oblivion. Mind you, the whole altcoin market as a whole is down quite substantially against Bitcoin over the past two years.

4. Tapscript, Schnorr, and Taproot. What are those?!

Those names may seem weird, but you will hear about them in 2020. For some good reasons, Bitcoin does not see many upgrades, but a significant change will happen soon.
All those upgrades mentioned above will happen as soft-forks of the Bitcoin network. Still, currently, developers are reviewing code related to these potential alterations. Improved privacy, smart contract functionality (finally), and general scalability of the Bitcoin network are the significant advantages and long-awaited features expected from everyone.

5. Institutional Money incoming

Adoption by institutional investors is one of those adoptions we are longing to see. It may not be the anticipated general adoption of crypto. Still, this specific one has been hyped for many years, but this is not something that happens overnight.
In 2019, we saw the SEC endorsement of the initial ’40 Act-managed Bitcoin subsidize, which has driven one examiner to accept that a Bitcoin ETF endorsement could be practically around the bend. Also, a few reports as of late declared infusion of over $600 million in new cash from financial specialists (generally from mutual funds). There was likewise an overview that found that money-related counselors and some banks might be expanding the introduction of their customers’ assets for Bitcoin and different digital currencies this year.
So, here we are… At the beginning of 2020, we are looking at Bitcoin with hope and trust as never before. The worst has already happened, and we are all prepared for the best things to come.
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Market Analysis of January 28, 2020

The marketcap has been moving up (+3.73%) since yesterday. The total capitalization is 247 576 089 179 USD.

Bitcoin totals 163 580 359 791 USD of capitalization for a dominance of 66.10%. Ethereum’s marketcap is 18 812 177 429 USD, followed by Ripple with 10  179 235 223USD.

Market Sentiment

Capture 17

HOW TO READ THE MARKET SENTIMENT ?

Bitcoin Analysis

Bitcoin closed higher and is currently trading around $8994 above the Weekly Open.

The daily technical situation is positive and remains positive over a 4 hour time horizon.

BTC 17

What to do about it?

A test of $9,200 is quite possible, a rejection until the Weekly Open is also a scenario not to be ruled out.

  • The supports of the day are at 8600$ — 8250$
  • The resistances of the day are at 9200$ — 9500$

Ethereum Analysis

ETH 17

ETH closed higher and is currently trading around $171.7 above its Weekly Open.

The daily technical situation is positive and the rest is on a short time horizon.

What can be done?

Wait for a return to support or resistance.

  • The supports of the day are at 169$ — 166$
  • The resistances of the day are at 173.75$ — 178$

Conclusion

The daily technical situation is positive for ETH and BTC

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Market Analysis of January 27, 2020

The marketcap has been moving up (2.88%) since yesterday. The total capitalization is 238 683 031 097 USD.

Bitcoin totals 157 033 233 443 USD of capitalization for a dominance of 65.8%. Ethereum’s marketcap is 18 331 758 156 USD, followed by Ripple with 9 945 914 982 USD.

Market Sentiment

HOW TO READ THE MARKET SENTIMENT ?

Bitcoin Analysis

Bitcoin closed higher and after testing last week’s Weekly Open, it is trading around $8626.

The daily technical situation is negative despite signs of recovery in CCI and WaveTrends. However, the situation is positive over a time horizon of 4 hours. We also have a bearish divergence.

What to do about it?

Bitcoin could come and test the support of the 8300-8200$.
We have to wait for a return to support or resistance before positioning ourselves.

  • The supports of the day are at 8250$ — 8000$
  • The resistances of the day are at 8600$ — 9050$

Ethereum Analysis

ETH closed higher as well, trading around $165.75. Last week’s support and resistance remains valid.

The daily technical situation is negative but is positive over a 4 hour time horizon.

What to do?

Wait for a test of a support or a resistance.

  • The supports of the day are at 163$ — 159$
  • The resistances of the day are at 166$ — 169$

Conclusion

Wait for a return on support or resistance.

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Market Analysis of January 24, 2020

The marketcap has been moving down (-3.07) since yesterday. The total capitalization is 228 380 252 787 USD.

Bitcoin totals 151 584 108 067 USD of capitalization for a dominance of 66.4%. Ethereum’s marketcap is 17 409 919 341 USD, followed by Ripple with 9 625 493 213 USD.

Market Sentiment

HOW TO READ THE MARKET SENTIMENT ?

Bitcoin Analysis

Bitcoin closed lower, trading at around $8,259.

The technical situation is negative and remains negative over a shorter time horizon.

 

What to do about it?

Bitcoin could fall as low as $8000 or could rise as high as $8600. We need to see if the $8,200 support holds.

  • The supports of the day are at 8200$ — 8000$
  • The resistances of the day are at 8700$ — 9050$

Ethereum Analysis

ETH closed lower, trading around $157.

The daily technical situation is negative as well and the technical situation remains negative under a reduced time horizon.

What can be done?

We must wait for a return to support or resistance before positioning ourselves.

  • The supports of the day are at 155$ — 147$
  • The resistances of the day are at 163$ — 169$

Conclusion

Wait for a return on support or resistance.

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The mysterious Stock to Flow Model

Satoshi Nakamoto posted the bitcoin white paper on 31st October 2008, created the bitcoin genesis block on 3rd January 2009, and released the bitcoin code on the 8th of January 2009. That is how an adventure that results in a $130 bln market now started 11 years ago.
Bitcoin is the scarcest virtual object the financial sector has ever seen. It is scarce like Silver & Gold and might be sent over the internet, radio, satellite, and may other communication channels.
This virtual gold has value. But how much value? We are trying to examine its scarcity and value using the stock-to-flow ratio as a scientific method.

The SF (stock/flow) chart for popular assets

The ‘Stock-to-flow’ is a range that shows what number of years, at the current manufacturing rate, are required to gain the current stock. The higher the number, the better the price.

Gold has the very best SF of 62, as it takes sixty-two years of manufacturing to get modern-day gold stock. Silver takes 2nd place with SF 22. Those high SFs make them monetary goods.
All other different commodities have SF barely better than 1. existing stock is typically identical or lower than every year in production, making production a very crucial factor. It is almost not plausible for commodities to get a higher SF, because as quickly as anyone accumulates them, fee rises, manufacturing rises, and the charge falls again. It is challenging to avoid this trap.
However, Bitcoin currently has a stock of 18.137 mln coins now and supply of 0.657 m/yr, which means that its SF is way over 27. That places Bitcoin in the financial goods category like Silver and Gold. Bitcoin’s market cap at present-day amounts to $130 bln. As you all probably already know, the supply of bitcoin is capped. New bitcoins are created in every new block. Blocks are created every 10 minutes (on average). At the same time, a miner finds the hash that satisfies the PoW required for a legitimate block. The first transaction in each block incorporates the block praise for the miner that discovered the block. The block praise includes the charges that people pay for transactions in that block and the newly created cash (referred to as subsidy). The subsidy started at 50 Bitcoins and is halved every 210,000 blocks (about 4 years). That’s why ‘halvings’ are very crucial for Bitcoin value and SF. Halvings also propel the supply growth rate (in bitcoin context usually called ‘monetary inflation’) to be stepped and not smooth.

BTC USD stock-to-flow with deviations.

How does all this affect Bitcoin price

As previously mentioned, it is not feasible to copy or forge Bitcoins, and the total supply is strictly limited. All transactions are written in “‘ the blockchain,” transactions cannot be undone or deleted. It is like a financial institution account in which you may make deposits. Still, you keep custody of all your funds at all times, not like in a bank where you are just a money provider. Also, that is where “shortage” comes into play. The dictionary definition of scarcity is when something is tough to encounter in nature or inside the lab. Once something is scarce enough, it can be used as money. Stock to float is defined as a correlation between production and current stock that is out there.

SF = stock/flow

The stock-to-float is the quantity that we get while we divide the overall inventory by yearly production. It tells us how many years are required, at the current production rate, to produce what’s within the contemporary inventory. For example, gold has a production price of around 3.000 metric tonnes, and the current inventory in the entire international is expected to be 185.000 metric tonnes. If we put that during the preceding formula:

  • 185.000 / 3.000 = ~62

At the present day manufacturing rate, we’d need 62 years to dig out all the gold that’s presently in circulation. The higher the number, the more the scarcity. Now, let’s see how this relates to Bitcoin. There are over 18 million bitcoins currently in circulation (January 2020), and 1.800 Bitcoins are generated each day (657.000 consistent with year). So, if we put the one’s numbers in inventory to drift formula:

  • 18.137.000 / 657.000 = 27,6

That needs over 27 years of contemporary Bitcoin production to produce the current stock. This quantity is tons smaller than gold. However, Bitcoin has something that gold does not – the halvings.
Bitcoin halving is a system of dividing the wide variety of generated rewards consistent with a block, which keeps the total supply of Bitcoin so that it does not exceed 21 million. Block rewards are the primary engine of Bitcoin mining and, therefore, the main energy in the back of the operation of the network. Bitcoin halving happens every 210,000 blocks and decreases the reward for fifty percent every time in a geometrical progression. The initial block reward in 2009 became 50 Bitcoins, the new Bitcoin reward is 12.5 coins, and the method is anticipated to lead to 2024 with all Bitcoins being issued. The subsequent Bitcoin halving is predicted to show up in May 2020 and lowers the praise to 6.25 coins. Bitcoin halving is a crucial part of Bitcoin and most other cryptocurrencies, as it’s far the primary set of rules of emission management and a part of what makes Bitcoin efficaciously maintained without any authority.

Why are halvings important

Bitcoin halving occasions are maintained until the reward for miners reaches 0 BTC. Since Bitcoin’s cost representation has 8 decimal places, after the thirty-third halving, the cost of the reward hits exactly zero BTC. 33 halving occasions every four years adds as much as 132 years total. The remaining Bitcoin to be mined into existence may be mined in the 12 months 2140. There is the 21 millionth Bitcoin to come into existence, and after that, it might not be possible to create anymore. From then on, Bitcoin will become genuinely ‘deflationary,’ since “printing”/”minting”/”mining” new cash will no longer be possible. If owners hold on losing their non-public keys, as they currently are, then the supply would deflate with the aid of that lost-keys ratio.
At the time of the subsequent halving event, around May 2020, Bitcoins may be produced for 900 BTC/day and, by using that time, there may be around 18.375.000 Bitcoin in circulation. The S/F will go to 52, that’s much towards Gold. The following halving, in 2024, will boost that quantity to 113 and remember – gold has stock to go with the flow of “only” sixty-two and it does now not have halving activities. Now evaluating Bitcoin’s dynamic inventory-to-flow with Gold’s, that is stock-to-glide of 62 is not probable in increase. As an idea to experiment, try to imagine what would happen to the price of Gold if it were to be halved one day?

Flaws of the Model

The main weakness of the S/F model is that it does not consider the Bitcoin demand. Bitcoin is still a digital asset that is barely used around the world, acting mainly as a store of value and means of manipulation. The situation is dynamic, though, making it highly possible for Bitcoin to be fully regulated in the upcoming years.
Some aspects need to be considered too. Silver, gold, countries with negative interest rate (Europe, Japan, US soon), countries with predatory governments (Venezuela, China, Iran, Turkey, etc.), billionaires and millionaires hedging against quantitative easing (QE), and institutional investors discovering the best performing asset of last 10 yrs – all of those will most probably fuel the next big Bitcoin move, perhaps happening in front of us in 2020.
However, there are some other threats that undermine the halvening narrative. 4C-Trading did correctly envision the infamous 2018 crypto crash due to the derivatives market. The after-halvening scenario may easily follow that suit and BTC could even stumble after the halvening as, for the first time, there is a robust derivative (futures, options) market for bitcoin. Most firms looking to speculate on bitcoin will trade a derivative, not the underlying.

Closing arguments

A statistically tremendous relationship between stock-to-flow and market fee exists. The likelihood that the relationship among stock-to-go with the flow and market price is triggered by risk is near zero.
The history of the halving suggests another probable Bitcoin surge scenario. The predicted market price for bitcoin after May 2020 halving is $1trn, which translates in a bitcoin rate of $55,000 with S/F 50 after May 2020 halving.
That is quite spectacular. We will be able to evaluate this prediction in 2020 or 2021, probably. Currently, Bitcoin is sitting near $8672 at the time of this writing, so It still has quite a bit of ground to cover to reach its predicted $55,000 and $100,000 price targets.
Disclaimer: Any information found on this page is not to be considered as financial advice. It would help if you did your research before making any decisions.
sources:
https://digitalik.net/btc/
https://medium.com/@100trillionUSD/modeling-bitcoins-value-with-scarcity-91fa0fc03e25
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Market Analysis of January 23, 2020

The marketcap has been moving down (-1.93%) since yesterday. The total capitalization is 235 622 839 826 USD.

Bitcoin totals 155 262 655 944 USD of capitalization for a dominance of 66.00%. Ethereum’s marketcap is 17 984 803 658 USD, followed by Ripple with 10 000 083 376 USD.

Market Sentiment

HOW TO READ THE MARKET SENTIMENT ?

Bitcoin Analysis

Bitcoin closed lower and is trading below its Weekly Open at around $8,458. A test of the $8300 seems possible.

The daily technical situation is negative, the MACD has crossed lower. The technical situation remains negative under a time horizon of 4 hours and 1 hour.

What to do about it?

Wait for a return to the 8300$ support and observe the reaction to position yourself afterwards. If there is a rebound we can hope to see the Weekly Open’s $8700 back.

  • The supports of the day are at 8300$ — 8000$
  • The resistances of the day are at 9050$ — 9400$

Ethereum Analysis

ETH closed lower and is trading under its Weekly Open also at around $162.8. Testing support at $162.25 is more than likely.

The daily technical situation is negative but MACD has not yet crossed lower. The technical situation remains negative under a short time horizon.

What can be done?

Wait for the reaction on the $162.25 support, if it holds we can review the Weekly Open, as for the BTC.

  • The supports of the day are at 162.25$ — 158.45$
  • The resistances of the day are at 169.4$ — 177.15$

Conclusion

Wait for the reaction on the support for BTC and ETH

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