Market Analytics 4/7/2017
Bitcoin is marketed around historical highs for three weeks already. At the same time, the currency's volatility remains very high - according to Libertex, in the week of June 20 to 30 the asset lost and fell around 13.3%. The asset tried to descend, but still feel the strong support at the level of 2300 dollars by Bitcoin. The rupture of this mark will give the technical signal for the most profound correction.
Now the news became more ambiguous.
In the report prepared by the International Monetary Fund, leading economists like Vikram Haksar and Ross Lekkov urged global banks to invest more in Bitcoin and to accept it as the legitimate means of payment. They noted that the rapid development of digital technologies transforms the way financial services are delivered.
Computer maker Sapphire Technology announced the launch of graphics cards developed solely for crypto-currency mining. This equipment will operate at a frequency of more than 1000 Mhz.
One of the largest BTCC DAX crypto-currency exchanges announced it planned to launch the platform to market only cryptoneses versus cryptones.
At the same time, EU lawmakers will discuss the possibility of developing draft laws against the use of cryptones in money laundering. Legislative acts submitted in Italy a month ago can form the basis for Community legislation. The bags in which crypto-coins are operated are those that will be affected by the law. In addition, there are rumors that the US Crypton Coins Act. (Regulation of Virtual Currencies Business Act) is not favorable for Bitcoin.
Stock market
US stock indices are falling as central banks indicate that global economic acceleration may be grounds for ending the 9-year stimulus policy. According to Libertex, the Dow Jones fell 1% of weekly highs.
However, in the period of tightening of monetary and credit policy the shares of companies that grow fast have the greatest risk. The components of the Dow Jones are generally cyclical instruments and feel more or less optimistic when the US macroeconomic statistics. Is positive. Experts expect PMI and labor market data to be positive this week. Therefore, the current correction is the opportunity to enter by buying. It would be logical to open the positions at the level of the 50-period moving average (21075), targeting the 21355 level.