Lets use this insane new technology to develop,, an insane new technology.
First, lets detail the reasons why I prefer algo trading to discretionary..
Trading bots are effective in crypto markets for several reasons:
Speed: Trading bots can execute trades much faster than a human trader could, as they are able to process large amounts of market data and execute trades within milliseconds. This speed can be especially important in fast-paced crypto markets, where prices can change rapidly.
This article will be sharing and expanding upon information shared in:
https://www.electriccapital.com/resources
Developers play a crucial role in cryptocurrency innovation because they are the ones responsible for creating and implementing the technology that underlies these digital assets. They are the ones who write the code that creates the blockchain, creates smart contracts, and builds decentralized applications (dApps)
The list of chains is essentially endless. An inadvertent second order consequence of this is diluted attention and capital. However, it begs the question: will there be one blockchain to rule them all, or will the future be multi chain?
The Great Space Race:
The cryptocurrency market is similar to the tech boom of the late 1990s in that both are characterized by a rapid increase in the value of new and innovative assets, fueled by
Although this was expected, the context at which the choice was made is what matters. Jerome Powell appeared to engage in quite dovish discourse. Select usage of specific language such as:
Hovering rates.
Neutral rates.
Disinflation phase.
Tapering interest rates.
Lets talk about the "bull case" and if we have a rally on our hands..
Dovish vs Hawkish:
This terminology is referred to as "Dovish". One could understand dovish as:
There is one chart everyone should be watching: hashrate.
Hashrate can best be understood as the total processing power dedicated to the Bitcoin network. A high hashrate indicates that the network is secure and that miners are still actively participating, even during a downturn in price. A significant drop in hashrate could signal that miners are losing interest or becoming unprofitable.
The units of measurement for hashrate are hashes per second (h/s).
Lets talk crypto trading. This is the most dynamic asset class on planet earth. The volatility it provides cannot be matched. Throughout this article I am going to highlight a few key metrics one should assess when wanting to enter a crypto trade.
Correlation Matrix:
It is wise to perceive crypto as a higher risk and higher return alternative to standard "risk on" stocks. One should air on the side of caution when evaluating a trade within the space - volatility should be expected.
Supply vs Demand is everything. The first edition evaluated how to properly assess the supply of a cryptocurrency. Now, lets zoom on in to the demand component.
What Does Demand Actually Look Like?
Higher than typical volume within the market.
Higher than typical volume for its own trading pairs.
Rising inflows as measured on Defi Llama or comparable website.
Listing of the token/coin on new platforms and exchanges.
Rising Open Interest showing derivatives increasing in volume.
Welcome to a new series where I will be sharing the tools and methodologies I use to find value across the cryptosphere. We are going to take a bottom up approach, zooming in on different aspects of the cryptocurrency market. We want to know the specific details while retaining a holistic and multi-faceted approach. Lets dive in!
Tokenomics:
Supply/demand is everything in a novel, and relatively illiquid market such as cryptocurrency. When one is performing their due diligence,
Lets review some of the data that released today, ahead of tomorrow's PCE print. There are two key metrics from both the labor and productivity stand point I want to discuss today. Lets dive, starting with the labor market.
Context: Inflation can be tamed best if national productivity decreases and the labor market weakens to reduce demand.
Jobless Claims
Overview: this metric is relatively self explanatory. It is a data set that reports the number of n
Despite monumental money printing, the rate of inflation appears to have settled. Consumers measure inflation as CPI. This measurement includes all good and services which would typically be purchased by a household. The Federal Reserve inacts policy based upon a different metric: PCE.
Personal
Consumptions
Expenditures Price Index
Mathematically speaking, it is directly comparable to CPI. However, it intentionally excludes both food and energy. The calcul
I do not like XRP from the fundamental perspective. However, I see an opportunity for a high conviction trade - and I usually have to investigate further. Here are some quick thoughts regarding the current XRP Price Action.
Note: I do not care about the lawsuit. I think they will lose.
XRP Weekly entering value territory "retest" of a resistance as support.
While the XRP USD 12H has a similar (but more bullish) price action pattern:
Our $PCC Trading bot is sensitive to trading ranges, movin