Forex Signals Brief October 10: USD CPI Risks to the Upside

Posted on October 10, 2024October 9, 2024 by Skerdian Meta

Yesterday, the Reserve Bank of New Zealand (RBNZ) reduced its Official Cash Rate (OCR) by 50 basis points to 4.75% from 5.25%. This move led to a one-cent decline in the New Zealand dollar (NZD), which was further affected by the broader risk-off sentiment in currency markets. Despite this, both U.S. and European stock markets enjoyed strong performances. The RBNZ’s decision comes in response to the highest unemployment rate in three years, core inflation staying within its target range, and continuing weakness in high-frequency economic indicators.

Continue reading “Forex Signals Brief October 10: USD CPI Risks to the Upside” →

Bitcoin Down But USDT And USDC Inflow to Exchanges Rising: Primer for $66,000?

Posted on October 10, 2024 by Dalmas Ngetich

Bitcoin is down at press time. Although the primary support remains to be $60,000, the series of lower lows in the past few trading days increases the chance of the coin sinking. Still, confidence is high. As long as $60,000 stands, the path of least resistance, from the top-down preview, will be northwards. The September bar guides. This is not to discount the possibility of the coin plunging if there is no decisive close above $64,000. This formation will align with last week’s losses and may set a wave of selling in motion, pushing the coin to August lows.

Presently, bulls are upbeat. If buyers are to come on top, there must be interest and triggers will be from fundamental factors. As things stand, BTC is stable amid stable trading volume at around $25 billion. Any uptick in engagement will largely depend on the reaction at $64,000 or the support band between $58,000 and $60,000.

Traders are closely watching the following Bitcoin trending news events:

Despite concerns that sellers are stronger, the coin is trading at a premium. Over the past year, the average purchase price for Bitcoin is $55,000. Since 2024, the mean is $38,700. This analysis confirms that diamond hands often win.
More users are sending USDC and USDT to leading exchanges like Binance. Presently, the rate of exchange inflow is above the annual average. Usually, as more people send stablecoins to exchanges, the possibility of bulls benefiting is higher.

Bitcoin Price Analysis

[[BTC/USD]] is down when writing.

Technically, the coin is within a sideways chop and accumulating.

The local support and resistance is at $64,000 and $60,000.

A close above October 1, reversing early this month’s losses, will easily lift Bitcoin to September highs.

However, considering the sell-off of last week, there is a high probability of BTC extending losses.

A break below $60,000, preferably with rising volume, can trigger a sell-off to August lows at around $49,000.

Ethereum Capped Below $2,800, Will Vitalik Buterin Win the Nobel Prize?

Posted on October 10, 2024 by Dalmas Ngetich

Ethereum remains in a bearish formation and is generally weak, looking at the formation in the daily chart. Even though there are hints of strength, especially from a fundamental, network-related angle, the path of least resistance is southwards. Unless there is a convincing close above $2,800 in the coming days, sellers are in control. Any close below $2,300 sets the ball rolling for even more losses targeting $2,100 or August lows. A solid close above the $3,000 psychological level is required for a proper trend definition. Any break above $3,500 will be massive, marking a complete turnaround for the second most valuable coin.

Bulls might be optimistic, but the coin is not yet out of the woods. Ethereum is down 30% from July highs and struggling for momentum. If the uptrend remains, there must be a solid confirmation lifting prices from the current chop. As it is, ETH is flat in the past day and week. At the same time, the average trading volume is low, at around $14 billion.

Traders are watching the following Ethereum news events:

Google has officially integrated the Ethereum Name Service (ENS) into its search engine. This integration is a massive endorsement of the decentralized DNS service provider, and it could see more people working on the first smart contracts platform.
Tyler Cowen, an economist, thinks Vitalik Buterin, the co-founder of Ethereum, deserves the Nobel Prize for his innovation. Accordingly, Cowen has nominated Buterin, celebrating his achievements since the platform launched.

Ethereum Price Analysis

[[ETH/USD]] is bearish when writing.

As prices move sideways, as is evident in the daily chart, traders are on the sidelines.

The path of least resistance is southwards. However, this will change if prices first break above $2,800 and $3,000.

Aggressive traders can consider shorts as long as Ethereum is inside the October 1 and 2 bear ranges.

The first target will be $2,100, especially if there is a strong, high volume close below $2,300—or last week’s lows.

XRP Consolidates As Second Spot Ripple ETF Application Submitted: Will $0.50 Hold?

Posted on October 10, 2024 by Dalmas Ngetich

XRP is flat when writing, looking at the performance in the daily chart. Even though traders are overly bullish, looking at sentiment data, the path of least resistance, for now, is southwards. This preview will change should there be a solid close above $0.55 in the short term. However, if there are losses compounding worries for XRP holders, pushing the coin below $0.50, September highs will likely mark the peak of H2 2024. There are fundamental factors, outside price action, to watch closely, including the United States SEC appeal and the upcoming general election.

The coin is consolidating and bearish following last week’s losses. Even though the uptrend remains, at least from a top-down preview, sellers are dominant. In the past week, the coin is consolidating while the average trading volume is still below $1 billion.

Amid high confidence, especially from XRP diamond hands, traders are watching the following trending news events:

One trader thinks the current flat, uneventful XRP price action is the ordinary calm before the storm. In his bullish outlook, the trader said the coin will rip higher, especially if it finds support at $0.50.
Canary Capital has filed the second spot XRP ETF. It is roughly a week after Bitwise submitted the first to the United States SEC. The application is massive for the coin and could prop up faltering buyers, pushing prices above local resistance levels in the coming weeks.

XRP Price Analysis

[[XRP/USD]] is moving sideways and bearish at press time.

Overall, traders are upbeat, expecting the coin to easily align with gains of Q3 2024.

In the short term, the local resistance and support remain at $0.55 and $0.50.

If sellers of last week flow back, a break below $0.50 paves the way for XRP to retest $0.45 and $0.40 in a bear breakout continuation.

Conversely, gains above $0.55, reversing losses of last week, may drive demand, lifting the coin back to September highs.

Before then, risk-off and conservative traders can stay on the sidelines.

Binance increases it XRP holdings

Posted on October 10, 2024October 10, 2024 by Olumide Adesina

Binance’s holdings of XRP are increasing. The largest crypto exchange by trading volume had over 2.9 billion XRP tokens, which is equal to over $$1.5 billion. Compared to the figure seen in September, this represents a nearly 6% increase.

Over 330 million XRP, or roughly $175 million at current prices, were added to net balances as Binance, acting on behalf of its customers, increased its net balance to match the growing balances of its clients. XRP currently has a coverage ratio of 100.66 percent on Binance.

XRP is currently the seventh-largest asset in terms of net balances. 29 different types of crypto assets are listed in Binance’s proof of work, with Bitcoin and Ethereum among the members. Binance possesses an astounding 636,229 BTC and 4.4 million ETH.

Binance implemented the PoR practice in November 2022 shortly after the FTX meltdown, which called into question the legitimacy of the entire cryptocurrency industry.

These frequent reports confirm that the company has enough assets to cover client deposits, which aims to increase user trust and transparency.

However, market fundamentals highlighted the bearish outlook for XRP is becoming more obvious as several indicators indicate that the road ahead will be difficult. The ongoing SEC appeal against Ripple reduces investor confidence by causing uncertainty.

A negative decision in 2025 might affect the token’s price movement. Due to XRP’s ongoing legal troubles, investor sentiment will likely remain cautious until this case is resolved.

Trump’s Crypto project plans to run on Aave

Posted on October 10, 2024 by Olumide Adesina

The crypto project associated with Donald Trump, World Liberty Financial, sent a governance proposal to Aave, specifying its intention to develop the decentralized finance (DeFi) platform.

In the proposal submitted on the 9th of October, World Liberty Financial revealed that it aims to launch its service as an Aave v3 instance on the Ethereum mainnet, with Aave serving as the underlying framework for the platform.

The proposal suggested that AaveDAO, the group of Aave token-holders responsible for managing the protocol, would receive 20% of the fees generated and 7% of the supply of the platform’s governance token, WLFI.
The Trump-supported project emphasized that operating as an Aave instance would boost liquidity for the stablecoins it plans to host while expanding Aave’s user base.

The proposal unveiled that World Liberty Financial would initially accept deposits in Ether and WBTC, along with stablecoins such as USD Coin. Furthermore, the project proposed to employ the same reserve factor system as the primary Aave instance and a trustless smart contract to establish the revenue split.

Members of AaveDAO have the opportunity to deliberate on the proposal before casting their votes. Additionally, the proposal requires approval from WLFI token holders who oversee the World Liberty Financial platform independently.

In a recent X post on October 9th, World Liberty Financial stated that the proposal aligns perfectly with establishing a user-friendly DeFi experience that is easily accessible.

If the integration with Aave proves successful, the platform intends to expand to the Ethereum layer 2 blockchain Scroll. Previously, Trump made cryptic remarks about World Liberty Financial, and the project has hinted at its aim to promote the use of US dollar-pegged stablecoins.

It was anticipated that Trump at an X livestream last month would disclose comprehensive information about his family’s crypto project, led by sons Eric and Donald Trump Jr

He didn’t mention the project during the 45-minute speech, which took place one day after he made a second attempt on his life in Florida.

The project would enable users to offer a credit account system, store money in digital wallets, lend or borrow money to others, and use tokens to invest in assets like cryptocurrency.

Additionally, it stated that the platform would be open source and feature four individuals who contributed to the DeFi protocol development, offering a lending and borrowing service akin to Dough Finance.

U.S government tracks down fraudulent crypto firms

Posted on October 10, 2024October 10, 2024 by Olumide Adesina

The United States Securities and Exchange Commission (SEC) accused three individuals considered market makers in the cryptocurrency space, and associated parties, of fraud and market manipulation in civil actions filed in the District Court of Massachusetts.

The Justice Department and the Federal Bureau of Investigation (FBI) were also involved. On October 9, lawsuits were filed against ZM Quant Investment, CLS Global, and Gotbit Consulting. The SEC claims that nine persons were charged in all.

Fedor Kedrov, the marketing director of Otbit Consulting and cryptocurrency vendors, Saitama and Robo Inu is charged with using wash trading to manipulate the market. The practice of exchanging oneself appears in the form of increased market activity

The cryptocurrency venture was designed by Vy Pham, a Vietnamese native, with California residency. The accusations against her included unregistered securities offers, fraud in the offering or selling of securities, fraud in the securities sale, and market manipulation.
Four Pham associates filed separate lawsuits in response to similar allegations. Pham and two of her collaborators consented to separate settlements, meaning that some of the accusations against them might be settled out of court.

ZM Quant and the four individuals associated with Pham were also charged with another cryptocurrency asset, the SaitaRealty coin.
The Justice Department has named eighteen defendants in the combined indictments, one of which is MyTrade MM, a business purported to have supplied services to NexFundAI.

According to the Justice Department, charges have also been filed against entities who designed the VZZN and Lillian Finance coins. The creator of VZZN is connected to Saitama, even if the only connection the two currencies have to the larger investigation.

Forex Signals Brief October 9: RBNZ Rate Cut and FOMC Minutes

Posted on October 9, 2024October 9, 2024 by Skerdian Meta

Yesterday the economic data was light again, so markets traded the sentiment mostly, which turned positive on news of a possible truce between Israel, Lebanon and Iran. Stock markets rebounded after the decline on Monday, with the S&P 500 closing the day near record highs once again, while commodity dollars continued to retrace higher. Continue reading “Forex Signals Brief October 9: RBNZ Rate Cut and FOMC Minutes” →

XRP Drops 12% As CTO Says RLUSD Stable Will Drive Demand: Will Ripple Reject Sellers?

Posted on October 9, 2024 by Dalmas Ngetich

XRP is down, and its price action appears to be driven chiefly by fundamental factors. If Bitcoin and the crypto market recover, the seventh most valuable coin may benefit. However, as things stand, the coin will likely slide as BTC is also losing steam, and buyers have yet to decisively back price action. As for now, the immediate support is at $0.50, and as long as the coin is below $0.55, moving in sync with the sell-off of October 1 and 2 bears, the coin could post more losses.

Presently, XRP is moving sideways at press time and bearish unless there are gains that will confirm gains of Q3 2024. Technically, sellers will be in charge as long as the coin remains below $0.55 and $0.66. For now, Ripple is down nearly 12% in the previous week as engagement fades, sinking below $1 billion.

Traders are watching the following Ripple and XRP news events:

Ripple’s partner in Brazil, Mercado, will use the platform’s end-to-end payments to streamline treasury operations. The goal is to make all transactions between the country and Brazil smooth, boosting cross-border payment efficiency.
RLUSD, the stablecoin by Ripple, David Schwartz, in an interview, will benefit XRP. Since the token will launch on the XRP Ledger, all fees will be payable in XRP. The more there are users, the higher the demand is.

XRP Price Analysis

[[XRP/USD]] is down, sliding 12% in the past week alone.

Even though there are optimistic traders, those expecting a bounce from recent swing lows and aligning with Q3 2024 gains, the short term favors sellers.

A break below $0.50 will confirm losses of early October, allowing XRP to slide towards $0.45 and $0.40 in a bear trend continuation formation.

For buyers to flow back, finding support from September lows, prices must remain steady above $0.50. Any reversal of October 1 and 2 and gains above $0.60 will be massive for optimistic buyers targeting a breakout above $0.66 and to all-time highs.

Ethereum Stakers Lock Over 34 Million Coins: Why Is ETH Losing Steam?

Posted on October 9, 2024 by Dalmas Ngetich

Ethereum is, from a fundamental outlook, bullish. However, looking at price action, there are concerns, especially now that buyers have yet to close above $3,000 and prices consolidating. Technically, the probability of the coin dropping below $2,100 and printing fresh H2 2024 lows cannot be discounted. Sellers are unrelenting; if this happens, ETH may dump hard, flowing to $1,500 or lower. Amid this, outflows from spot Ethereum ETFs remain a concern, heaping more pressure on the second most valuable coin. All this is despite the ongoing network refinement and expansion and plans to cement its position as a leader in DeFi and other sectors.

At press time, traders are upbeat, but there should be more. With the coin moving sideways in the daily chart, the local support and resistance is at $2,300 and $2,800, respectively. Ethereum is flat in the past 24 hours but under pressure in the past week, losing nearly 3%. At the same time, the average trading volume is decent but low, at around $14 billion.

The following Ethereum news events are worth tracking:

Nearly 30% of all ETH in circulation, or around 34.4 million coins, have been locked by validators. Thus far, there are more than 1 million validators tasked with securing, decentralizing, and processing transactions on the world’s largest smart contract platform.
Vitalik Buterin, the co-founder of Ethereum, has been liquidating meme coins, sent to him as gifts. Buterin recently liquidated 10 billion MOODENG before donating the proceeds, roughly 260,000 ETH, to charity.

Ethereum Price Analysis

[[ETH/USD]] is in a downtrend, looking at the formation in the daily chart.

Even though there is hope that the coin will recover, sellers are in control, at least for now.

Ethereum bulls need to defend $2,300, and if they break $2,800, there might be opportunities for aggressive traders to double down, targeting $3,000 and $3,500.

If not, and there is confirmation of the October 1 bear bar, ETH might easily slide below $2,100 and August lows in a bear trend continuation formation.