Decentralised finance (DeFi) is increasingly bridging the gap between the crypto and traditional finance (TradFi) worlds, most recently signalled by Compound Treasury, who has just made history by becoming the first institutional DeFi offering to receive a credit rating from international rating agency Standard and Poor (S&P):
Today, Compound Treasury received a B- credit rating from S&P Global Ratings. This makes Compound Treasury the first institutional DeFi offering to be rated by a credit rating agency.https://t.co/F5mVyD9gVo
In TradFi lending, one of the key requirements for debt issuance in public markets is a credit rating from one of the ‘big three’ rating agencies: S&P, Moody’s, or Fitch.
Credit ratings offer prospective investors useful insights as to the relative risk of specific corporate or government debt. A rating of “D” denotes debt that is most risky or speculative, whereas “AAA”, on the other end of the spectrum, is seen to be “safe”.
Comparison of ratings. Source: Wolfstreet.com
Compound Gets ‘Junk’ Status
Compound Treasury is a product converting US dollar deposits into stablecoins, typically USDC, which it uses for its lending product offering investors a 4 percent guaranteed return. It has now become the first in DeFi to receive a rating, in this case a B- grade from S&P.
A B- grade is technically “junk”, as it is known within public markets, putting it on a par with the sovereign debt of El Salvador, Nigeria and South Africa.
S&P said Compound received a rating below investment grade due to “weaknesses” including operational and convertibility risks between fiat and stablecoins.
In outlining potential risks, the rating agency cited regulation, Compound’s “low capital base” and “hurdles to generate a 4 percent return”. Despite this, S&P suggest that the “outlook is stable” on the back of limited loan losses and rapid expansion of its balance sheet.
Compound’s general manager, Reid Cuming, viewed the rating as a signal of growing maturity in the sector, saying:
Today, Compound Treasury received a B – credit rating from S&P Global Ratings. This makes Compound Treasury the first institutional decentralised finance (DeFi) offering to be rated by a major credit rating agency, and signals tremendous progress in the crypto industry’s maturity, as traditional institutions begin to judge the risks of digital asset-powered financial offerings.
Reid Cuming, general manager, Compound Treasury
DeFi Draws Increasing Interest From TradFi
Reid further suggested that “Compound Treasury is predictable, liquid, compliant, transparent, and now rated”, which “helps our institutional clients more easily understand the opportunity and risks of crypto-powered cash management”.
Despite slowing down in 2022, it’s clear that DeFi has garnered the attention of TradFi companies as they seek to innovate and offer products in response to growing consumer demand. To illustrate, one company in the US recently concluded the first DeFi-based mortgage loan, which perhaps is one of the reasons banking giants such as ING are exploring the space.
It should go without saying, but investors would be well advised to DYOR (do your own research) as week after week we continue to see DeFi hacks, most recently to the tune of US$80 million.
Meta, formerly known as Facebook, will start testing digital collectibles on a small number of users on its Instagram platform, according to Meta CEO Mark Zuckerberg.
A small group of creators and collectors in the US on Instagram will be able to use NFTs as profile pictures in a move similar to what Twitter has done in recent months. The test group will be able to post NFTs at no cost by linking their third-party digital wallets in-app. Each NFT will get a special “shimmer” around the photo attributing the piece to both creator and owner.
Ethereum and Polygon Provide Initial Blockchain Support
Ethereum and Polygon are blockchains that will be supported, with Flow and Solana launching soon. Rainbow, MetaMask and Trust Wallet, along with Coinbase, Dapper and Phantom, will be compatible with the platform.
Zuckerberg commented: “Meta plans to bring NFTs to apps in our family. This week, we’re starting to test digital collectibles on Instagram so creators and collectors can display their NFTs on their profile. Similar functionality is coming to Facebook soon, along with augmented reality NFTs on Instagram Stories via Spark AR [a free studio that allows businesses and private users to create their own filters] so you can place digital art into physical spaces.”
Adam Mosseri, head of Instagram, tweeted in agreement:
NFTs on Instagram 🎉
This week we’re beginning to test digital collectibles with a handful of US creators and collectors who will be able to share NFTs on Instagram. There will be no fees associated with posting or sharing a digital collectible on IG.
The news comes after speculation that Meta will support NFTs from Ethereum, Solana and Polygon, and confirms the rumour raised last year that the social media giant would support NFTs via the Novi digital wallet.
Well-known US e-commerce platform Bolt has bought the crypto payment service Wyre in a billion-dollar deal, with the Aussie start-up’s founder joining the Young Rich List as the Silicon Valley deal earns him more than A$260 million.
With @bolt’s $1.5 billion acquisition of Wyre, crypto "will be a major part of Bolt’s strategy going forward," CEO @KuruvillaMaju told me.
On May 5, Bolt announced that it had acquired Wyre for an estimated US$1.5 billion, netting the latter company’s Australian founder, Michael Dunworth, an estimated A$267 million for handing over his 12.5 per cent holding in the company.
Secure, Regulated Crypto-to-Fiat Payments
Wyre uses blockchain-based technology to offer merchants fast cross-border payments. The start-up also vends a crypto-based payments application programming interface (API) that allows businesses to plug directly into secure, regulated crypto-to-fiat payment infrastructure.
Founded in 2013, Wyre has spent the intervening years attaining its money-transmitter licences, now valid in 27 US states and also legally operable in China and Brazil.
This acquisition will pave the way for seamless, secure crypto transactions, and NFT enablement for our retailers.
Maju Kuruvilla, CEO, Bolt
Growing Demand to Pay with Crypto
According to the press release from Bolt, the acquisition was made because of the “growing demand for purchasing goods and services with cryptocurrency and the opportunity of Web3”. Wyre’s API will help reduce the barriers to entry to utilise cryptocurrencies for payments from Bolt’s massive list of retailers.
Bolt CEO Maju Kuruvilla also stated in an interview that he hopes the integration will increase crypto adoption as it allows new functionality for “every crypto asset, every chain, to every merchant, irrespective of any shopping platform”.
Bolt is an incumbent in the payments space, and they can see crypto is where the market is heading […] They are like Peter Parker, and we’re the spider that’s going to bite them, turning them into Spider-Man.
Michael Dunworth, founder and CEO, Wyre
The newly added crypto functionality is planned to be fully integrated before the end of the year. Once complete, the acquisition will bring the power of Bolt’s CheckoutOS – its one-click checkout service that helps with authentication, payments, and fraud protection – to the cryptocurrency ecosystem.
This acquisition is the fulfilment of a longtime ambition. When I wrote the draft business plan for Bolt, I had always imagined cryptocurrency at its centre.
Ryan Breslow, founder and executive chairman, Bolt
Another Australian blockchain start-up, Lygon, recently secured more than A$12 million in funding for the joint venture of the ‘Big Four’ Australian banks and IBM to create the first digital bank guarantee.
Australia’s Royal Melbourne Institute of Technology (RMIT) has successfully launched its Green Cryptocurrency Laboratory. Co-founded with the CloudTech Group, a leader in FinTech and blockchain technology, the lab will focus on reducing the carbon footprint of crypto.
RMIT partners with CloudTech to create the Green Crypto Laboratory, launched on May 6.
Researching ‘Green Crypto’
The May 6 event was hosted by Professor Zahir Tari, who has been named the lab’s director. RMIT is the world’s No 2 leading blockchain university and home of the Blockchain Innovation Hub. The Hub’s partnership with CloudTech aims to find answers to the increasing carbon footprint crypto technology is developing.
You might be shocked to learn that [blockchain technology] consumes more electricity to maintain the Bitcoin network each year than a medium-sized European country like Finland.
Professor Zahir Tari, joint director, RMIT Green Crypto Lab
The first project for the lab will be to develop Green Bitcoin, which will be a blockchain network based on PoST as the “underlying consensus mechanism”.
RMIT Making Crypto Waves
RMIT’s Blockchain Innovation Hub has been at the forefront of crypto development in Australia. In April it submitted a proposal to help the Melbourne portside precinct recover from the pandemic via the Docklands DAO. And, in October 2021, the university urged the Australian government to reform capital gains tax on crypto, stating that “reform will offer clarity for taxpayers and confidence in the tax system as a whole”.
Let’s take a closer look at today’s altcoins showing breakout signals. We’ll explain what the coin is, then dive into the trading charts and provide some analysis to help you decide.
1. Binance Coin (BNB)
Binance BNB is the biggest cryptocurrency exchange globally, based on daily trading volume. Binance aims to bring cryptocurrency exchanges to the forefront of world financial activity. Aside from being the largest cryptocurrency exchange, Binance has launched a whole ecosystem of functionalities for its users. The Binance network includes the Binance Chain, Binance Smart Chain, Binance Academy, Trust Wallet, and Research projects, which all employ the powers of blockchain technology to bring new-age finance to the world. Binance Coin is an integral part of the successful functioning of many of the Binance sub-projects.
BNB Price Analysis
At the time of writing, BNB is ranked the 4th cryptocurrency globally and the current price is US$323.70. Let’s take a look at the chart below for price analysis:
After a 30% decline from last week, BNB has ranged between $310 and $358. The recent price recovery was approaching probable resistance near $375 but could be aiming for stops above the relatively equal highs near $380. Continuation of the trend could target the daily gap near $394.
Aggressive bulls might add to positions near $320 and $316. Price action near $310 may be more likely to provide support – if it gets there – during any retracements.
Relatively equal lows clustered around $300 seem likely to be swept if the bearish trend resumes. If this move occurs, the price might find support at the significant higher-timeframe level near $290.
2. Waves (WAVES)
WAVES is a multi-purpose blockchain platform that supports various use cases, including decentralised applications (DApps) and smart contracts. The platform has undergone various changes and added new spin-off features to build on its original design. Waves’ native token is WAVES, an uncapped supply token used for standard payments such as block rewards. Waves initially set out to improve on the first blockchain platforms by increasing speed, utility, and user-friendliness.
WAVES Price Analysis
At the time of writing, WAVES is ranked the 55th cryptocurrency globally and the current price is US$12.14. Let’s take a look at the chart below for price analysis:
During Q1 high, WAVES‘ slight drop marks the current range as a reasonable area to expect accumulation.
The recent bearish flip of the 9, 18 and 40 EMAs might cause bulls to be less aggressive in bidding. However, possible support near $14.12 and $12.10 – between the 41.8% and 46.6% retracements – could see at least a short-term bounce.
Long-term consolidation suggests that the areas near $25.45 and $30.61 may be more likely to cause a longer-term trend reversal.
Bears are likely to add to their shorts at probable resistance beginning near $20.77, which has confluence with the 18 EMA. A fast break of this resistance could trigger more selling near $23.42, the start of the bearish move.
3. The Sandbox (SAND)
The Sandbox SAND is a blockchain-based virtual world allowing users to create, build, buy and sell digital assets in the form of a game. By combining the powers of decentralised autonomous organisations (DAOs) and non-fungible tokens (NFTs), the Sandbox creates a decentralised platform for a thriving gaming community. The Sandbox employs the powers of blockchain technology by introducing the SAND utility token, which facilitates transactions on the platform.
SAND Price Analysis
At the time of writing, SAND is ranked the 39th cryptocurrency globally and the current price is US$1.76. Let’s take a look at the chart below for price analysis:
SAND‘s impressive gains during Q1 halted at $4.95 before retracing 70% of the move. This price action created several areas of possible higher-timeframe resistance in the process.
The price found resistance on its last swing upward near $2.43 – an area that could provide resistance again. If this swing high breaks, the price might find resistance near $2.85. If this area does provide resistance, it would suggest the formation of a higher-timeframe consolidation.
The fast move up left little higher-timeframe support. However, a vast zone between $1.90 and $1.72 has provided support before and could give support again on a retest. This zone is between the 61.8%-to-78.6% retracement levels of 2021 Q4’s parabolic move.
Continuation downward through this level, especially if the overall market remains bearish, could retrace most of Q4’s move to the next higher-timeframe support near $1.55.
These coins have high liquidity on Binance Exchange, so that could help with trading on AUD/USDT/BTC pairs. And if you’re looking at buying and HODLing cryptos, then Swyftx Exchange is an easy-to-use popular choice in Australia.
Terra USD (UST), the world’s largest and most controversial algorithmic stablecoin, lost its peg to the US dollar this past weekend which has continued into the week, causing LUNA to tumble by as much as 56 percent in a day.
LUNA US dollar price (7 days). Source: CoinMarketCap
UST Tokenomics Explained
UST relies on LUNA to keep its price pegged to the US dollar via a set of on-chain mint and burn mechanisms. In brief, it works as follows:
Terra maintains UST’s peg of USD through an elastic monetary policy enabled by its dual, UST-LUNA token model. When the value of a unit of UST is above the USD peg, users are incentivised to burn LUNA and mint UST. When the value of a unit of UST is below the USD peg, users are incentivised to burn UST and mint LUNA. During times of UST contraction, LUNA valuation decreases, and during times of expansion, it increases. LUNA is the variable counterpart to UST. By modulating supply, LUNA’s valuation increases as the demand for UST increases.
The de-pegging appeared to commence shortly after a series of significant withdrawals on the Anchor Protocol, a lending market offering high yields to users who deposit UST:
Massive withdrawals from Anchor Protocol past hour, frequency increasing
There's only $300MM left of exit liquidity left on pool 53 before BTC peg
In addition, a large amount of UST was also withdrawn from Curve, a decentralised finance (DeFi) protocol allowing users to swap between stablecoins. There was also evidence of a single wallet dumping US$85 million of UST on ETH and US$108 million on Binance:
i'm curious which fund uses a base account to manage $200M of assets https://t.co/ogJ39kU2FJ
— larry – $LUNA $OSMO validator #IBCgang (@larry0x) May 7, 2022
The initial depeg was seemingly defended by Jump Capital, who earlier this year bailed out victims of the US$320 million Wormhole exploit. However it didn’t stop there as overnight, UST’s peg continued its freefall, reaching as low as 0.73 to the US dollar on Binance at the time of publication.
In response, the Luna Foundation Guard has deployed some of its BTC and UST reserves, although it claims that it hasn’t been sold but rather lent to market makers:
1/ The LFG Council just voted to deploy 1.5B in capital (0.75B in BTC, 0.75B in UST) to allay market concerns around UST. Some more context on why and how: https://t.co/TfaAPkzgUJ
There are a lot of moving parts to this story and the saga is clearly far from over. We’re seeing UST undergo a massive crisis of confidence and at this stage it’s too soon to tell whether it will recover. Current signs are ominous and if UST fails, it’s likely to spread contagion throughout the broader stablecoin market.
An Australian investor in the NFT space has managed to turn US$300 into a whopping US$5 million. Steve Morlando is the proud owner of Bored Ape #2177 (above), a particularly rare ape in the series, which he bought last year for what amounts to 0.01 percent of its current value.
Morlando acquired the Ape before NFTs took off. He says he won’t be selling it anytime soon, unless somebody quadruples their offer, and he freely admits the project could yet crash and be worth nothing. The Aussie is a seasoned online gambler and blogger and is a huge proponent of the emerging NFT market, to the point of launching his own collection.
Morlando is also a long-term investor who seeks out projects to hold for a minimum of 10 years. “In 2020 I was on Twitter and all the crypto people I followed started talking about NFTs,” he told The Sydney Morning Herald. “I got very close to buying a few but didn’t and probably researched it for three or four months before, eventually, I bought a Beeple piece called Bull Run for $1000, and then the whole space just exploded.
I had offers of $300,000 to $400,000 on that piece just two or three months after I bought it. And then May came around, and I saw a project called the Bored Apes. I had a few ethereum left in my wallet and I thought they looked cool, so I minted 10 of them, and I was lucky enough to get one of the rarest ones, a gold ape … for which I now get offers of $5 million-plus, weekly.
Steve Morlando, NFT investor
NFTs are ‘Double-Sided’
For Morlando, NFTs have two different sides. On one side, some NFTs are just beautiful art and on the other side are projects like BAYC, which is “like gambling squared”. He explains that you are gambling when you pick a project that does well, “then you are gambling if you are to get a rare one in the set, and then you gamble again if the project team can do what they say they’re going to do”.
Regulatory Clarity Needed in Australia
The NFT space in Australia is heating up with projects garnering a high degree of popularity in the country. As a result, more clarity needs to be offered regarding regulation for digital assets and artists. It has been noted that the country needs to implement policy specifically related to NFTs to stave off a potential “brain drain” on the Australian economy, according to NSW Liberal Senator and crypto proponent Andrew Bragg.
Regulatory clarity will offer greater protection to artists from Australia, such as those of the Yolngu nation in the Northern Territory who have started to digitise their work as NFTs in an effort to create a new stream of income and share their art with the global market.
NFTs are set to go 3D as the result of a partnership between Sony and Theta Labs that has revolutionary ramifications for how future viewers engage with the metaverse.
The Theta Project will take the form of a decentralised video streaming and/or delivery network with its own native crypto asset, THETA. Associated NFTs will be crafted for the Sony Spatial Reality Display (SRD) and are designed for three-dimensional viewing. They will also be available in 2D versions:
Sony’s SRD is a tablet-like device that leverages technologies such as augmented reality and 3D enhancements. The Japanese multinational’s official YouTube channel has issued a video that showcases the device:
Nick Colsey, Sony’s VP of business development, believes NFTs will only enhance the SRD experience:
Immersive, three-dimensional NFTs are a great way to showcase the potential of Sony’s SRD for metaverse enthusiasts and collectors. Theta’s NFTs are the latest way we can show our rapid adoption of metaverse-friendly technology.
Nick Colsey, VP of business development, Sony Corporation
No Need For Designated 3D Eyewear
The revolutionary aspect of the SRD monitor is that it allows the viewer to partake in 3D experiences without the need for traditional 3D accessories such as glasses or goggles. Instead, the device tracks eye movement and automatically adjusts the 3D display as the viewer moves.
As Theta Labs’ co-founder and CEO Mitch Liu notes, “the metaverse is already 3D”, which opens up the need for users to be able to “visualise and showcase their NFTs in a way that has a physical presence”.
Release Date TBA
Sony and Theta will jointly release an NFT called ‘The Tiki Guy’, which takes the form of a 3D tiki mask. Only 10 of these NFTs will be minted. All NFTs (including the 2D versions) will be released on ThetaDrop, Theta Labs’ NFT marketplace. When? “Later this year” is as accurate as the forecast gets.
In February, Samsung’s South Korean customers who ordered the new Galaxy S22 smartphone or S8 tablet were able to collect Theta-based NFTs with their purchases. And almost a year ago, Sony Interactive Entertainment published a patent application for an eSports betting platform that would support Bitcoin payments.
It’s clear on the evidence of their latest partnership announcement that both Sony and Theta are marching deeper into crypto-based leisure territory. With Sony’s net profit down 12 percent year-on-year according to fiscal Q1 figures, perhaps Theta’s NFTs will prove just the tonic.
Let’s take a closer look at today’s altcoins showing breakout signals. We’ll explain what the coin is, then dive into the trading charts and provide some analysis to help you decide.
1. Kava.io (KAVA)
KAVA is a cross-chain DeFi lending platform that allows users to borrow USDX stablecoins and deposit a variety of cryptocurrencies to begin earning a yield. The Kava DeFi hub operates as a decentralised bank for digital assets, allowing users to access a range of decentralised financial services, including its native USD-pegged stablecoin, USDX, as well as synthetics and derivatives. Through Kava, users are able to borrow USDX tokens by depositing collateral, effectively leveraging their exposure to crypto assets.
KAVA Price Analysis
At the time of writing, KAVA is ranked the 94th cryptocurrency globally and the current price is US$3.06. Let’s take a look at the chart below for price analysis:
KAVA retraced nearly 40% from its April high during the past 10 days. The price is now testing possible support near $3.260. Bulls accumulated near this level during February and March before the last significant rally.
If this level breaks, relatively equal lows near $2.924 provide an attractive target for bears. Bulls have rejected bears below this level multiple times, near $2.744. This level could provide support again.
A more significant downward move could reach an inefficiently traded area and old accumulation on the monthly chart between $2.135 and $1.678. The upper half of this zone may be the primary bearish target.
If Tuesday’s high cannot reach $3.534, then the high may provide the closest resistance. A break through this level will likely encounter resistance near the 2022 yearly open, near $3.863. This level also has confluence with the 9 EMA and April’s range lows.
A more significant rally might reach above the May monthly open into a pocket of inefficient trading on the daily near $4.510. This level is at the midpoint of April’s distribution range and bearish rejection of bulls on the monthly.
2. Secret (SCRT)
Secret SCRT is the native coin of the Secret Network, a decentralised network for private/secure computation. Nodes on the network (known as secret nodes) can perform generalisable computations over encrypted data, which allows smart contracts (known as secret contracts) to use private and sensitive data as inputs. Our focus is on computational privacy, not just transactional privacy. Developers can build decentralised, privacy-preserving “Secret Apps” on the network. The privacy functionality of the Secret Network is critical for many fields, including decentralised finance, Web3, machine learning, access control, and many more.
SCRT Price Analysis
At the time of writing, SCRT is ranked the 102nd cryptocurrency globally and the current price is US$2.93. Let’s take a look at the chart below for price analysis:
SCRT has retraced 54% since its early April high, potentially dropping this much again before finding a bottom.
An old swing high near $2.879 could provide a tradable bounce, although bulls should be cautious about overstaying their welcome. The inefficiently traded areas below, near $2.550 and $2.287, provide attractive targets for bears.
Near $1.169, an inefficiently traded area on the monthly chart may be the next bearish target if these levels break. Reaching this zone would run the stops of most bulls and retest last summer’s accumulation area.
A retest of these closer resistances could reach up to $3.860. This level is near the 18 EMA, shows consolidation before last week’s breakdown, and has confluence with December’s swing low.
If markets become more bullish, the price could reach above the May open to $4.304. This area is near the 40 EMA, shows consolidation before a breakdown, and would run the stops of aggressive bears. A rally this high with daily candle closes in the region could lead to a more significant bullish movement.
3. eCash (XEC)
eCash XEC follows through on key blockchain scaling promises. An innovative Avalanche consensus layer and its own token layer are unique technical highlights of eCash, which also aims to introduce features never before seen in a Bitcoin project such as staking, fork-free network upgrades, and subchains. Built by an experienced team of bitcoin developers who founded Bitcoin Cash, eCash is a fork of bitcoin with a more aggressive technical roadmap.
XEC Price Analysis
At the time of writing, XEC is ranked the 61st cryptocurrency globally and the current price is US$0.00006294. Let’s take a look at the chart below for price analysis:
XEC has retraced 60% from its April high and is testing an old support area for the third time.
Bulls’ stops under relatively equal lows near $0.00006205 provide a tempting target for bears. The small pocket of inefficiently traded price action bordering these lows could provide a tradable bounce.
However, if the price reaches this level, bulls should be cautious. Traders “selling the news” could push the price down to other potential supports. If this happens, relatively equal lows near $0.00004869 may be the next bearish target. This level shows a bearish rejection of bulls on the weekly chart in May 2021 and could become support.
Below, a large zone of inefficient trading on the monthly chart starts near $0.00004107. This area offers a reasonable bearish target and could see a longer-term bullish reversal. However, this is a wide range, and the price could reach below the inefficiently traded area to $0.00002624.
Bears might see the upper half of the recent consolidation, near $0.00007134, as a place to hunt short setups. This level has confluence with the 9 EMA and soon the 18 EMA.
If bulls can run bears’ stops above this resistance, $0.00007904 could provide the next resistance. This area has confluence with the 40 EMA and started late April’s selloff.
A more significant rally might reach as high as $0.00009274, where the last consolidation before April’s high took place. Bears have rejected bulls at this level before on the monthly chart.
These coins have high liquidity on Binance Exchange, so that could help with trading on AUD/USDT/BTC pairs. And if you’re looking at buying and HODLing cryptos, then Swyftx Exchange is an easy-to-use popular choice in Australia.
Let’s take a closer look at today’s altcoins showing breakout signals. We’ll explain what the coin is, then dive into the trading charts and provide some analysis to help you decide.
1. Eos (EOS)
EOS is a platform designed to allow developers to build decentralised apps. The project’s goal is relatively simple: to make it as straightforward as possible for programmers to embrace blockchain technology and ensure the network is easier to use than rivals. As a result, tools and a range of educational resources are provided to support developers who want to build functional apps quickly. EOS also aims to improve the experience for users and businesses. While the project tries to deliver greater security and less friction for consumers, it also vies to unlock flexibility and compliance for enterprises.
EOS Price Analysis
At the time of writing, EOS is ranked the 44th cryptocurrency globally and the current price is US$1.98. Let’s take a look at the chart below for price analysis:
EOS has been ranging since early 2022. Last week, the price bounced from an inefficiently traded area near $1.92 before testing the consolidation range low near $1.87. Both of these regions could provide support or resistance again.
Today, the price is testing possible support near $1.95. Bulls have rejected bears multiple times on higher timeframes in this region. The price is in the middle of its range with no apparent signs of its next direction, while market conditions remain bearish.
However, any rejection from possible resistance near $2.15 would suggest that the price is preparing to consolidate for longer or run Q1 2022’s lows into possible support near $1.78. This region saw strong buying in late 2018 and early 2020.
If the two closer resistances break, bulls might eye $2.37 to $2.66 as the next significant resistance. This large, inefficiently traded area on the monthly, above March’s high, provides an appealing target for bulls aiming for bears’ stops.
2. SafePal (SFP)
SafePal SFP is a cryptocurrency wallet launched in 2018 that helps users to protect and grow their digital assets. SafePal provides hardware and software wallets, all paired and managed through the SafePal App, and was the first hardware wallet invested in and backed by Binance. SFP is a BEP-20 token that can be transferred to any wallet that supports the Binance Smart Chain network. It can also be exchanged with other assets and can serve as a means of payment for services. SFP also serves as the SafePal governance token, and holders can create proposals and vote on new features such as adding new blockchains on SafePal products.
SFP Price Analysis
At the time of writing, SFP is ranked the 409th cryptocurrency globally and the current price is US$0.6182. Let’s take a look at the chart below for price analysis:
SFP continued its rally during March through the daily gap between $0.6237 and $0.7030, turning this region into an area of possible support.
However, a stop run under the relatively equal lows at $0.5827 could form a wick below this level, potentially reaching an untapped daily gap beginning near $0.5460.
Resistance beginning at $0.8765 has seen significant profit-taking, shown by the long upper wicks on the daily candles. A break of this resistance may reach the next significant swing high at $0.9432, continue into probable resistance just above, and possibly set new monthly highs at $1.05.
3. Horizen (ZEN)
Horizen ZEN is an interoperable blockchain system, supported by a decentralised node infrastructure. Its sidechain platform focuses on scalable data privacy, and as such enables businesses as well as developers to build private or public blockchains using the unique sidechain technology known as Zendoo. Horizen claims to be completely decentralised, fully customisable with privacy features, and supports low costs associated with building blockchains with configurable revenue models and an unlimited number of tokens and digital assets.
ZEN Price Analysis
At the time of writing, ZEN is ranked the 126th cryptocurrency globally and the current price is US$32.31. Let’s take a look at the chart below for price analysis:
ZEN saw an energetic run during Q1, climbing approximately 90% before cooling off into resistance beginning near $50.85 pinned down last month’s attempt to rally, which is likely to retest possible support near $30.14.
A deeper marketwide retracement could take out the relatively equal lows below the weekly open and support near $28.69. This move may offer entries near probable support between $26.47 and $25.78.
However, more bullish market conditions may prompt a rally to the relatively equal highs near $38.67 into resistance beginning at $40.46. If the price reaches this level, the last high at $46.58 gives the next likely target before price discovery begins.
These coins have high liquidity on Binance Exchange, so that could help with trading on AUD/USDT/BTC pairs. And if you’re looking at buying and HODLing cryptos, then Swyftx Exchange is an easy-to-use popular choice in Australia.
