A Rare Week Of Stability For Cryptocurrencies - Forex News by FX Leaders
Cryptos

A Rare Week Of Stability For Cryptocurrencies

Posted Friday, October 5, 2018 by
Shain Vernier • 2 min read

The last week’s trade of cryptocurrencies may be summed up in one word: stable. Prices for the big four coins have been exceptionally consistent. Volatility is exceedingly low, not typical of these markets. For the last seven days, a prolonged tug-of-war between crypto market participants has produced a relative stalemate in asset pricing.

An Atypical Seven Days In Cryptocurrencies

Volatility is the calling card of all crypto assets, from the newest ICO to industry standard Bitcoin. The last seven days have brought anything but:

Coin                                   Percentage Gain/Loss       Key Number

Bitcoin (BTC)                              +.70%                                   $6500

Bitcoin Cash (BCH)                    -1.4%                                    $500

Litecoin (LTC)                            -4.0%                                     $55

Ethereum (ETH)                        +2.5%                                    $225

All in all, it was a tight week of trade. Ranges were not particularly wide, indicative of modest participation and price action. One reason for the lack of turbulence has been the quiet news cycle. Crypto values are greatly dependent upon news and rumor ― the last seven days have brought neither.

Ethereum set the pace posting a modest 2.5% weekly gain, attempting to recover from a brutal August/September. A peripheral piece of news related to ETH hit the wires yesterday in regards to an upcoming “hard fork.” The planned systems upgrade known as “Constantinople” has been delayed until October 14. Trading cryptos around hard forks can be a challenge as we saw with the launch of Bitcoin Cash. This situation is worth monitoring if you are active in ETH.

Overview

The dominant issue still facing the cryptosphere is the pending approval of a formal BTC ETF by the U.S. Securities and Exchange Commission (SEC). The SEC issued a statement yesterday designating October 26 as the deadline for statements in support or rejection of proposed BTC ETFs.

As of now, there are a series of these products up for review. In the event that one or more gain approval for public trade, BTC and cryptos may be in a position to break out. The situation is fluid, so be sure to stay tuned for updates as the process unfolds.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies

About the author

Shain Vernier // US Analyst
Shain Vernier has spent over 7 years in the market as a professional futures, options and forex trader. He holds a B.Sc. in Business Finance from the University of Montana. Shain's career includes stretches with several proprietary trading firms in addition to actively managing his own accounts. Before joining FX Leaders, he worked as a market analyst and financial writer.
Related Articles
Comments

Leave a Reply

avatar
  Subscribe  
Notify of