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How Are Bitcoin Futures Priced?

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How much more Bitcoin can $1 get you against 2020 peak of $13,000?

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The simple mathematical concept of a transitive property explains that if A = B, then B = A. So, in the cryptocurrency world, if 1 BTC = $13,000, then $13,000 = 1 BTC. Using that base-case, let’s scale down the equation. $1,000 can fetch you ₿0.076, and hence, scaling it down, $500 can get you ₿0.0384 and $250 can get you ₿0.0192. Finally, just one dollar can get you ₿0.00076.

This number seems small at first, but let’s look at how it has been devalued since the beginning of the year. Now, mind you, ‘devalue’ might be a harsh word, or rather a contradictory word, because $1 has been devalued simply because the price of the cryptocurrency has shot up by over 75 percent since the beginning of the year and nothing more.

So, how much was $1 worth at the beginning of the year? With BTC priced at around $7,200 then, $1 would fetch you around ₿ 0.000139. This is already about 1.8 times the amount you could buy right now. And with Bitcoin crashing to as low as $5,000 on 12 March (daily close), how much could $1 buy? That would be around ₿ 0.00199 or over 2.52 times the amount of Bitcoin you could buy right now.

Here’s the chart looking at how much more Bitcoin could $1 get you against the 2020 peak of $13,000, from the beginning of the year to the end of September, prior to Bitcoin breaking over $12,500.

Now, what does this tell you? Well, for starters, our valuation, at its very base, always measures 1 whole Bitcoin against a huge amount of dollars or stablecoins. Here, it would be prudent to measure it the other way, a single dollar gets you how much Bitcoin because one of the best things about the cryptocurrency is the ability of fractional-purchase, rather than whole purchases. I mean, it’s not as if you could buy $1 worth of a TSLA share, can you? You’ve to save up to whatever it will be tomorrow (provided Elon Musk doesn’t tweet out anything)!

Secondly, $1, since the beginning of the year and especially since the drop in March, has only been able to get you a lower and lower amount of Bitcoin. If you’re a speculative trader, a disciplined investor, or anyone in between, this would make you wonder, how many fewer Bitcoin can $1 get me tomorrow?

Source: https://eng.ambcrypto.com/bitcoin-1-2020-peak-13000

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Litecoin, Polkadot, Dogecoin Price Anlaysis: 24 October

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After an extended period of uncertainty, Litecoin and Polkadot’s values registered significant gains, with both alts picking up good buying momentum on the charts.

Further down the crypto-ladder, the mixed signals also coincided with bearish divergence and low market volatility, in the case of Dogecoin.

Litecoin [LTC]

Source: LTC/USD on TradingView

Litecoin was seen trading just above its immediate support level at $55.73, further maintaining the price levels above the trendline (white) over the past 48 hours.

Litecoin’s bulls had managed to push the price above the key pivot level at $56.44, at press time, a level coinciding with a spike seen in the Relative Strength Index. The overall RSI levels also continued to note good buying pressure.

Further, the Chaikin Money Flow was giving a buy signal and was observed to be over zero, underlining the presence of higher capital inflows, than outflows.

Polkadot [DOT]

Source: DOT/USD on TradingView

The green bars of the Awesome oscillator above the zero line made a bullish crossover, highlighting short-term buying momentum for the DOT market.

While a buying sentiment was highlighted by the AO, a low level of volatility was also visible when observing the converging Bollinger bands.

This meant lower price action probabilities in either direction due to lower volatility levels and may result in the prices stabilizing just above the trendline for the next few trading sessions.

Under this scenario, DOT’s prices may be seen oscillating between the immediate resistance at $4.359 and the base of the trendline.

Dogecoin [DOGE]

Source: DOGE/USD on TradingView

Dogecoin fell by over 2% in the last 24 hours and at press time, was further seen diving down towards the $0.00258-level of support.

This was further supported by the presence of strong selling pressure, and rapidly changing levels of sell volume, as can be seen at the bottom of the chart.

The DOGE market is expected to witness further downward price actions as the dotted markers of the Parabolic SAR were seen above the candles.

A rise in bearish sentiment might also result in the price levels settling down around the $0.00258-level of support.

Source: https://eng.ambcrypto.com/litecoin-polkadot-dogecoin-price-anlaysis-24-october

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If YFI Surmounts $16,000, It Could Start A New Uptrend: Analysis

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If YFI surmounts $16,000 price level, it could start a new uptrend after it saw a decent rebound from the recent lows a few days ago so let’s read more in today’s altcoin news.

If the ongoing upswing is coming when Bitcoin and Ethereum consolidate, which usually indicates that it may be breaking the recent downtrend and beginning to navigate higher, as most altcoins start catching the tailwinds that were created by Bitcoin and Etherem’s upswings.  There are still some issues that are hampering the growth of the coin, with the Yearn ecosystem being caught within the vicious cycle limiting how much value is captured by the token as the founder’s risk that has been priced in the YFI could be limiting its near-term upside as the founder Andre Cronje has been playing with other projects that cost speculators major sums of capital.

yfi/usd
Image Courtesy of Cold Blooded Shiller. Source YFIUSD on TradingView.

There’s one key technical level which if it gets broken, it could send it rocketing higher in the upcoming few weeks. Further rejection at this level could spell trouble for the near-term outlook and will lead to further downside. One analyst is now pointing to $6,000 as a potential downside target. YFI’s token is now trading up by 5% at its price of $14,500 which marks a notable surge from the multi-day lows of $13,000 which was set a few days ago. It is important to note that it is still caught in a consolidation phase as it was trading around the price for the past couple of weeks.

yfi daily
YFI 24-hour Price (Source: Coingecko)

If YFI surmounts $16,000 and will start marching back up towards $20,000 the technical outlook remains in the bears’ favor. Furthermore, the lack of attractive yields on the yVaults leads to less value that will be captured by YFI which is hampering the technical strength. While sharing the thoughts on the yearn.finance token technical outlook, one analyst explained that $16,000 is a key level that the coin has to overcome in the near-term. He noted that a breakdown before the could be dire which will put a price of $6000 target on the charts:

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 “Another diagonal for YFI. $16k is still the level to overcome in order to see strength for continuation. 2 failed/awkward breaks of diagonals previously. Let’s see how we do today.”

Yearn. Finance’s near-term technical strength could reflect that on the Defi sector which means that the inflows of capital are set to follow Bitcoin’s surge that can provide it with another boost.

DC Forecasts is a leader in many crypto news categories, striving for the highest journalistic standards and abiding by a strict set of editorial policies. If you are interested to offer your expertise or contribute to our news website, feel free to contact us at [email protected]

Source: https://www.dcforecasts.com/altcoin-news/if-yfi-surmounts-16000-it-could-start-a-new-uptrend-analysis/

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