Digitex Fundamentals Are Stronger Than Ever 1

Digitex Fundamentals Are Stronger Than Ever

Digitex Futures
• Ali Martinez
August 4, 2020

Following a successful launch event on Friday, July 31, word is getting out that the DGTX token is the only exchange token that offers a passport to zero-fee trading. With ringing endorsements from the crypto community, technical indicators show that DGTX has found a new higher support level. Several critical metrics also reveal that the price could climb even further this year, given what’s to come. 

Industry Leaders Give DFE Vote of Confidence

During Friday’s mega public launch event, several prominent figures in the cryptocurrency industry were outspoken in their support for Digitex, underscoring the solid fundamentals of the Digitex offering. Trader Cobb, a well-known technical analyst, affirmed that DFE’s ladder system brought something to the crypto space that was missing. He maintains that this platform gives professional traders the ability to use the right tools to profit from the cryptocurrency market.

“Digitex Futures Exchange has given us something that did not exist. I traded through the 2017-2018 boom. I have traded for 15 years now. I have traded the foreign exchange, bonds, commodities. I have ran funds. I have been involved in trading my whole life. The frustrating thing that I had through 2017-2018 was the lack of orders, the lack of professionalism as far as trading tools go. What Digitex Futures Exchange has replicated is fantastic, not just for me as a retail user, but it is really important to give professional traders the ability to use the right tools that they used to. When you trade futures in the S&P, you use a ladder. Digitex Futures Exchange has created a ladder for cryptos. I’m stoked. I’m bloody happy for what DFE has done,” said Cobb.

Along the same lines, Mika, a scalp trader and Digitex community member, said that Adam’s trading strategy is what made him a profitable trader. He affirmed that due to the success that he has had as a scalping trader, using DFE to implement this strategy is a no-brainer.

“I was trading horse racing bets on Betfair using [Adam’s] BetTrader trading ladder software and heard through a group of traders that you were opening a zero-fee exchange based on the same ladder interface. After hearing this news, I bought the first token of my life. I started trading on the DFE testnet and had a 60-day run without making a loss. I don’t care if I’m trading Bitcoin, bananas, or whatever else – scalping works with any medium,” affirmed Mika.

Meanwhile, Ready Set Crypto’s Doc Severson stated that he would personally have been happy if the DFE would have launched last year. But he admitted that, in light of the booming demand for crypto futures, now is the perfect timing given that the market readiness is there.

Sitting On Top Of Massive Support

So in light of the general enthusiasm for the DFE, what next for DGTX? IntoTheBlock’s “In/Out of the Money Around Price” (IOMAP) model reveals that in the event of a bullish impulse, the most significant resistance barrier ahead of this cryptocurrency sits between $0.094 and $0.097. Here, approximately 60 addresses had previously purchased over 63 million DGTX.

In some cases, a massive supply barrier could prevent further price traction. But if the buying pressure behind DGTX is significant enough, it may slice thought this resistance level and aim for new yearly highs.

In the case of DGTX, the IOMAP cohorts show that there are no major supply barriers ahead of the $0.095 mark that will prevent the price from surging towards $0.15 or higher.

Digitex Fundamentals Are Stronger Than Ever 2

Another Bull Run on the Way?

As positive sentiments among market participants began to run high in anticipation of the Digitex Futures Exchange official launch, DGTX entered a bull rally. The bullish momentum behind saw the price skyrocket nearly 250% between June 22 and July 27. The upswing was significant enough to push this cryptocurrency to a new yearly high of $0.123.

On July 29, only two days before the launch event, IntoTheBlock registered a significant spike in the volume of large transactions on the DGTX network. Roughly $2.66 million worth of this altcoin were transferred on this day alone. Despite weekend price volatility, two clear positive signals have emerged.

Firstly, DGTX has found a new critical support level, according to the Fibonacci retracement indicator. The 61.8% Fibonacci retracement level, which was previously acting as stiff resistance between June 2019 and July 2020, absorbed the price pressure and means DGTX is now seeing a healthy rebound.

Digitex Fundamentals Are Stronger Than Ever 3

Bouncing off this critical support level can be considered a bullish sign. The 61.8% Fibonacci retracement level is regarded by some of the most prominent technical analysts as the ‘golden’ retracement area. Thus, the recent drop to this hurdle could result in a further upward advance and may lead to new yearly highs.

The second positive indicator is that smaller investors have continued to rush to buy DGTX over recent days. Santiment’s holder distribution chart reveals that the number of addresses holding between 0.01 to 10,000,000 DGTX has surged since last week, helping to distribute DGTX over a broad base of investors.

Digitex Fundamentals Are Stronger Than Ever 4

From here, things are looking bright for Digitex. During Friday’s event, Adam teased some of what we can expect from Digitex over the coming year, with a new white paper and roadmap due out over the next month or so. With so much optimism around what Digitex Futures Exchange has to offer, it seems to be a matter of time before DGTX breaks above the overhead resistance and climbs to new higher highs.

With Ali’s analysis in mind, there has never been a better time to get your hands on some DGTX. As Adam said last week, you won’t see these prices again once all our plans are unveiled. Spread the word, and be there when DGTX reaches a new ATH! 

August 4, 2020
Digitex Futures

Digitex Fundamentals Are Stronger Than Ever

Ali Martinez
Digitex Fundamentals Are Stronger Than Ever 5

Following a successful launch event on Friday, July 31, word is getting out that the DGTX token is the only exchange token that offers a passport to zero-fee trading. With ringing endorsements from the crypto community, technical indicators show that DGTX has found a new higher support level. Several critical metrics also reveal that the price could climb even further this year, given what’s to come. 

Industry Leaders Give DFE Vote of Confidence

During Friday’s mega public launch event, several prominent figures in the cryptocurrency industry were outspoken in their support for Digitex, underscoring the solid fundamentals of the Digitex offering. Trader Cobb, a well-known technical analyst, affirmed that DFE’s ladder system brought something to the crypto space that was missing. He maintains that this platform gives professional traders the ability to use the right tools to profit from the cryptocurrency market.

“Digitex Futures Exchange has given us something that did not exist. I traded through the 2017-2018 boom. I have traded for 15 years now. I have traded the foreign exchange, bonds, commodities. I have ran funds. I have been involved in trading my whole life. The frustrating thing that I had through 2017-2018 was the lack of orders, the lack of professionalism as far as trading tools go. What Digitex Futures Exchange has replicated is fantastic, not just for me as a retail user, but it is really important to give professional traders the ability to use the right tools that they used to. When you trade futures in the S&P, you use a ladder. Digitex Futures Exchange has created a ladder for cryptos. I’m stoked. I’m bloody happy for what DFE has done,” said Cobb.

Along the same lines, Mika, a scalp trader and Digitex community member, said that Adam’s trading strategy is what made him a profitable trader. He affirmed that due to the success that he has had as a scalping trader, using DFE to implement this strategy is a no-brainer.

“I was trading horse racing bets on Betfair using [Adam’s] BetTrader trading ladder software and heard through a group of traders that you were opening a zero-fee exchange based on the same ladder interface. After hearing this news, I bought the first token of my life. I started trading on the DFE testnet and had a 60-day run without making a loss. I don’t care if I’m trading Bitcoin, bananas, or whatever else – scalping works with any medium,” affirmed Mika.

Meanwhile, Ready Set Crypto’s Doc Severson stated that he would personally have been happy if the DFE would have launched last year. But he admitted that, in light of the booming demand for crypto futures, now is the perfect timing given that the market readiness is there.

Sitting On Top Of Massive Support

So in light of the general enthusiasm for the DFE, what next for DGTX? IntoTheBlock’s “In/Out of the Money Around Price” (IOMAP) model reveals that in the event of a bullish impulse, the most significant resistance barrier ahead of this cryptocurrency sits between $0.094 and $0.097. Here, approximately 60 addresses had previously purchased over 63 million DGTX.

In some cases, a massive supply barrier could prevent further price traction. But if the buying pressure behind DGTX is significant enough, it may slice thought this resistance level and aim for new yearly highs.

In the case of DGTX, the IOMAP cohorts show that there are no major supply barriers ahead of the $0.095 mark that will prevent the price from surging towards $0.15 or higher.

Digitex Fundamentals Are Stronger Than Ever 6

Another Bull Run on the Way?

As positive sentiments among market participants began to run high in anticipation of the Digitex Futures Exchange official launch, DGTX entered a bull rally. The bullish momentum behind saw the price skyrocket nearly 250% between June 22 and July 27. The upswing was significant enough to push this cryptocurrency to a new yearly high of $0.123.

On July 29, only two days before the launch event, IntoTheBlock registered a significant spike in the volume of large transactions on the DGTX network. Roughly $2.66 million worth of this altcoin were transferred on this day alone. Despite weekend price volatility, two clear positive signals have emerged.

Firstly, DGTX has found a new critical support level, according to the Fibonacci retracement indicator. The 61.8% Fibonacci retracement level, which was previously acting as stiff resistance between June 2019 and July 2020, absorbed the price pressure and means DGTX is now seeing a healthy rebound.

Digitex Fundamentals Are Stronger Than Ever 7

Bouncing off this critical support level can be considered a bullish sign. The 61.8% Fibonacci retracement level is regarded by some of the most prominent technical analysts as the ‘golden’ retracement area. Thus, the recent drop to this hurdle could result in a further upward advance and may lead to new yearly highs.

The second positive indicator is that smaller investors have continued to rush to buy DGTX over recent days. Santiment’s holder distribution chart reveals that the number of addresses holding between 0.01 to 10,000,000 DGTX has surged since last week, helping to distribute DGTX over a broad base of investors.

Digitex Fundamentals Are Stronger Than Ever 8

From here, things are looking bright for Digitex. During Friday’s event, Adam teased some of what we can expect from Digitex over the coming year, with a new white paper and roadmap due out over the next month or so. With so much optimism around what Digitex Futures Exchange has to offer, it seems to be a matter of time before DGTX breaks above the overhead resistance and climbs to new higher highs.

With Ali’s analysis in mind, there has never been a better time to get your hands on some DGTX. As Adam said last week, you won’t see these prices again once all our plans are unveiled. Spread the word, and be there when DGTX reaches a new ATH! 

Latest News

scalping

Level Up Your Scalping with These Candlestick Patterns

Trading
Uncategorized
• Ali Martinez
July 29, 2020

On Friday, July 31, Digitex Futures Exchange will open the doors and launch zero-commission cryptocurrency futures trading to the public for the very first time. While we’re still two days out from the official release, the DFE platform reached an astounding 24-hour volume high of $2.9 billion in trading volume on Tuesday July 28th, 2020.

To prepare for this Friday’s big launch event, there is no better time to understand how to use the platform and learn the basics of how to trade crypto derivative products. More importantly, having the ability to quickly recognize candlestick patterns can make trading strategies such as scalping highly profitable.

Candlestick Patterns to Level Up Your Scalping Strategy

As the cryptocurrency market sits on the cusp of its next bullish cycle, having a solid trading strategy is a must. Understanding when to buy and sell can make a huge difference in anyone’s portfolio.  Although trading is not necessarily easy, there are a number of easy-to-spot candlestick patterns that can help provide a framework about the trending direction of any given asset.

Some of the most popular pair of candlesticks patterns used by professional traders include, bullish and bearish engulfing, morning and evening star, and hammer and shooting star. By no means, the forecast presented by these technical formations is 100% accurate, but they have proven to provide significant opportunities to profit.

Level Up Your Scalping with These Candlestick Patterns 9

Bullish and Bearish Engulfing

Bullish and bearish engulfing patterns are the most widely known candlesticks patterns in trading. These technical formations forecast when upward and downward trends are about to reverse. Therefore, they indicate who is winning the raging battle between the bulls and the bears.

A bullish engulfing pattern develops when a red (purple) candlestick is succeeded by a green (blue) candlestick, which body overlaps the body of the previous candlestick. On the left side of the image below, it shows how the DGTX/USD trading pair is currently developing this type of candlestick pattern, indicating a potential breakout.

Traders with a lot of experience in the industry usually wait for the following candlestick to trade above the engulfing one to enter long positions.

Level Up Your Scalping with These Candlestick Patterns 10

On the other hand, a bearish engulfing pattern signals that prices are bound for a steep correction. The moment a red candlestick overlaps the body of a preceding green candle it suggests that the bears have overtaken the bulls. Thus, sellers will have a better chance to push prices in a downward direction.

As seen in the image above, DGTX went through a corrective period after this technical formation developed on April 10. The token saw its price take a 20% nosedive upon the completion of the bearish engulfing pattern, before it bounced to up to new higher highs.

Morning and Evening Star

Morning and Evening star patterns consist of three candlesticks that describe whether the bull or the bears are taking control of the price action of any asset. These technical formations are also reversal patterns that anticipate oversold and overbought territories. When employed with other indexes, they have proven to be quite accurate.

On DGTX’s 1-day chart, a morning star pattern formed in mid-May following a downward trend. It consisted of three different candlesticks: a large red candlestick, a small-bodied candlestick or doji, and a green candlestick. This technical pattern was able to anticipate that DGTX was about to reverse, which was indeed followed by a 19% upswing.

Level Up Your Scalping with These Candlestick Patterns 11

An evening star, however, is used to detect when an uptrend is about to reverse. This bearish candlestick pattern also consists of three candles: a large green candlestick, a small-bodied candle or doji, and a red candle. As it happened in late May, the occurrence of this technical pattern led to a steep correction across most major digital assets, before prices recovered.

Inverted Hammer and Shooting Star

An inverted hammer and a shooting star pattern look very similar, but they present different scenarios. The former is a bullish candlestick pattern since it tends to occur in a downward trend. Meanwhile, the latter is used to predict that an uptrend is coming to an end.

In mid-December 2019, the DGTX/USD trading pair presented this type of candlestick pattern. It formed at the bottom of a downtrend and acted as a buy signal suggesting a high potential for a reversal to the upside. During that time, the inverted hammer was effectively able to predict an upswing of 19%.

Level Up Your Scalping with These Candlestick Patterns 12

A shooting star pattern formed in early May on DGTX’s daily chart. As seen in the image above, this candlestick pattern formed right on the top of an uptrend while the inverted hammer developed on the bottom of a downtrend. It was able to forecast that DGTX was bound for a correction.

Don’t forget that this Friday, July 31, is our big public launch event, where we’ll raffle $250,000 worth of DGTX as part of our celebration. Ten lucky traders will be awarded with $5,000 in DGTX each, while another 1,000 will take away $200 each. If you haven’t yet set your reminder on YouTube, what are you waiting for? You don’t want to miss out! 

July 29, 2020
Trading
Uncategorized

Level Up Your Scalping with These Candlestick Patterns

Ali Martinez
scalping

On Friday, July 31, Digitex Futures Exchange will open the doors and launch zero-commission cryptocurrency futures trading to the public for the very first time. While we’re still two days out from the official release, the DFE platform reached an astounding 24-hour volume high of $2.9 billion in trading volume on Tuesday July 28th, 2020.

To prepare for this Friday’s big launch event, there is no better time to understand how to use the platform and learn the basics of how to trade crypto derivative products. More importantly, having the ability to quickly recognize candlestick patterns can make trading strategies such as scalping highly profitable.

Candlestick Patterns to Level Up Your Scalping Strategy

As the cryptocurrency market sits on the cusp of its next bullish cycle, having a solid trading strategy is a must. Understanding when to buy and sell can make a huge difference in anyone’s portfolio.  Although trading is not necessarily easy, there are a number of easy-to-spot candlestick patterns that can help provide a framework about the trending direction of any given asset.

Some of the most popular pair of candlesticks patterns used by professional traders include, bullish and bearish engulfing, morning and evening star, and hammer and shooting star. By no means, the forecast presented by these technical formations is 100% accurate, but they have proven to provide significant opportunities to profit.

Level Up Your Scalping with These Candlestick Patterns 13

Bullish and Bearish Engulfing

Bullish and bearish engulfing patterns are the most widely known candlesticks patterns in trading. These technical formations forecast when upward and downward trends are about to reverse. Therefore, they indicate who is winning the raging battle between the bulls and the bears.

A bullish engulfing pattern develops when a red (purple) candlestick is succeeded by a green (blue) candlestick, which body overlaps the body of the previous candlestick. On the left side of the image below, it shows how the DGTX/USD trading pair is currently developing this type of candlestick pattern, indicating a potential breakout.

Traders with a lot of experience in the industry usually wait for the following candlestick to trade above the engulfing one to enter long positions.

Level Up Your Scalping with These Candlestick Patterns 14

On the other hand, a bearish engulfing pattern signals that prices are bound for a steep correction. The moment a red candlestick overlaps the body of a preceding green candle it suggests that the bears have overtaken the bulls. Thus, sellers will have a better chance to push prices in a downward direction.

As seen in the image above, DGTX went through a corrective period after this technical formation developed on April 10. The token saw its price take a 20% nosedive upon the completion of the bearish engulfing pattern, before it bounced to up to new higher highs.

Morning and Evening Star

Morning and Evening star patterns consist of three candlesticks that describe whether the bull or the bears are taking control of the price action of any asset. These technical formations are also reversal patterns that anticipate oversold and overbought territories. When employed with other indexes, they have proven to be quite accurate.

On DGTX’s 1-day chart, a morning star pattern formed in mid-May following a downward trend. It consisted of three different candlesticks: a large red candlestick, a small-bodied candlestick or doji, and a green candlestick. This technical pattern was able to anticipate that DGTX was about to reverse, which was indeed followed by a 19% upswing.

Level Up Your Scalping with These Candlestick Patterns 15

An evening star, however, is used to detect when an uptrend is about to reverse. This bearish candlestick pattern also consists of three candles: a large green candlestick, a small-bodied candle or doji, and a red candle. As it happened in late May, the occurrence of this technical pattern led to a steep correction across most major digital assets, before prices recovered.

Inverted Hammer and Shooting Star

An inverted hammer and a shooting star pattern look very similar, but they present different scenarios. The former is a bullish candlestick pattern since it tends to occur in a downward trend. Meanwhile, the latter is used to predict that an uptrend is coming to an end.

In mid-December 2019, the DGTX/USD trading pair presented this type of candlestick pattern. It formed at the bottom of a downtrend and acted as a buy signal suggesting a high potential for a reversal to the upside. During that time, the inverted hammer was effectively able to predict an upswing of 19%.

Level Up Your Scalping with These Candlestick Patterns 16

A shooting star pattern formed in early May on DGTX’s daily chart. As seen in the image above, this candlestick pattern formed right on the top of an uptrend while the inverted hammer developed on the bottom of a downtrend. It was able to forecast that DGTX was bound for a correction.

Don’t forget that this Friday, July 31, is our big public launch event, where we’ll raffle $250,000 worth of DGTX as part of our celebration. Ten lucky traders will be awarded with $5,000 in DGTX each, while another 1,000 will take away $200 each. If you haven’t yet set your reminder on YouTube, what are you waiting for? You don’t want to miss out! 

Latest News

dgtx

DGTX Storms Up 167%; Aiming Higher with Public Launch

Digitex Futures
• Ali Martinez
July 20, 2020

After nearly eight months of an operational testnet, and almost three months of mainnet trading, we’re seeing trading volumes on Digitex Futures Exchange exceed $250 million on a daily basis. With an engaged user base, liquid markets, and a robust matching engine, DFE is ready to open its doors to the general public on July 31, 2020. 

As the launch date approaches, we’ve seen a significant number of investors rush to exchanges to get a piece of DGTX’s price action. The increased buying pressure has been significant enough that it pushed its price up by nearly 167% since the beginning of the month. DGTX went from trading at a low of $0.043 in July to hit a new yearly high of $0.116 over the last weekend.

DGTX US dollar price chart

Although some investors seem to have taken advantage of the price action to realize some profits, different on-chain metrics suggest that DGTX is poised for further gains.

DGTX’s Fundamentals Look Stronger Than Ever

After going on a tear over the last month, DGTX has made it to the weekend headlines, featuring as one of Cointelegraph’s “Cryptocurrencies to Watch.” As mentioned in a previous blog post, the only thing needed for the DGTX price to explode was to turn the $0.066 multi-year resistance level into support. Now that this has been achieved, there is plenty of room to go up.

Data from IntoTheBlock reveals that the number of addresses holding a balance in DGTX is increasing steadily. More and more market participants appear to be adding this altcoin to their portfolios. The constant growth in demand recently saw the total number of addresses with a balance in DGTX hit a new all-time high of 13,640.

Total Addresses With Balance in DGTX
Source: IntoTheBlock

As a result, DGTX is becoming more widely distributed over time. A better supply distribution can be perceived as a positive sign. It demonstrates the true utility of the token and is a signal of increasing interest among investors. Furthermore, Digitex has always been opposed to the idea of whales dominating DGTX token ownership, due to the potentially destabilizing effect it can have if a whale decides to dump their tokens.

The percentage of addresses with balances of 0.1% to 1% of the circulating supply, defined as “Investors” by IntoTheBlock, is currently hovering around 27.5%. Meanwhile, “retail” addresses holding less than 0.1% of the circulating supply is at nearly 43%.

The increasing distribution of DGTX tokens could be correlated to the recent expansion into a broader market. Indeed, KuCoin, a global cryptocurrency exchange, added support for DGTX to its retail platform earlier in July. The listing put DGTX in front of KuCoin’s five million-strong user base, spread over 200 countries.

DGTX Distribution Chart

One of the most basic economic laws, which is the law of demand, explains that the higher the demand for a particular asset, the higher its price. Therefore, a further increase in interest among market participants in DGTX would likely result in new higher highs.

But first, IntoTheBlock’s “In/Out of the Money Around Price” (IOMAP) model reveals that there is an important supply barrier that DGTX must overcome to resume the ongoing bull rally. Based on the IOMAP cohorts, nearly 140 addresses had previously purchased 4.90 million DGTX at an average price of $0.105.

Such a significant supply barrier may have the ability to hold in the event of another upswing as holders within this range will look for bigger gains from their long positions.

DGTX Faces Strong Resistance Ahead

It is worth mentioning that out of all DGTX addresses, more than 60% are “In the Money.” These figures indicate that the investor base is confident about upwards price action in the future.

With all of this in mind, it is time for you to sign up for a testnet account, that will automatically convert to a mainnet account on launch day. We will also host an all-day trading event on July 31 with giveaways of up to $250,000 worth of DGTX tokens. So mark your calendars and clear your schedules, as zero-fee trading is about to be released upon the world.

July 20, 2020
Digitex Futures

DGTX Storms Up 167%; Aiming Higher with Public Launch

Ali Martinez
dgtx

After nearly eight months of an operational testnet, and almost three months of mainnet trading, we’re seeing trading volumes on Digitex Futures Exchange exceed $250 million on a daily basis. With an engaged user base, liquid markets, and a robust matching engine, DFE is ready to open its doors to the general public on July 31, 2020. 

As the launch date approaches, we’ve seen a significant number of investors rush to exchanges to get a piece of DGTX’s price action. The increased buying pressure has been significant enough that it pushed its price up by nearly 167% since the beginning of the month. DGTX went from trading at a low of $0.043 in July to hit a new yearly high of $0.116 over the last weekend.

DGTX US dollar price chart

Although some investors seem to have taken advantage of the price action to realize some profits, different on-chain metrics suggest that DGTX is poised for further gains.

DGTX’s Fundamentals Look Stronger Than Ever

After going on a tear over the last month, DGTX has made it to the weekend headlines, featuring as one of Cointelegraph’s “Cryptocurrencies to Watch.” As mentioned in a previous blog post, the only thing needed for the DGTX price to explode was to turn the $0.066 multi-year resistance level into support. Now that this has been achieved, there is plenty of room to go up.

Data from IntoTheBlock reveals that the number of addresses holding a balance in DGTX is increasing steadily. More and more market participants appear to be adding this altcoin to their portfolios. The constant growth in demand recently saw the total number of addresses with a balance in DGTX hit a new all-time high of 13,640.

Total Addresses With Balance in DGTX
Source: IntoTheBlock

As a result, DGTX is becoming more widely distributed over time. A better supply distribution can be perceived as a positive sign. It demonstrates the true utility of the token and is a signal of increasing interest among investors. Furthermore, Digitex has always been opposed to the idea of whales dominating DGTX token ownership, due to the potentially destabilizing effect it can have if a whale decides to dump their tokens.

The percentage of addresses with balances of 0.1% to 1% of the circulating supply, defined as “Investors” by IntoTheBlock, is currently hovering around 27.5%. Meanwhile, “retail” addresses holding less than 0.1% of the circulating supply is at nearly 43%.

The increasing distribution of DGTX tokens could be correlated to the recent expansion into a broader market. Indeed, KuCoin, a global cryptocurrency exchange, added support for DGTX to its retail platform earlier in July. The listing put DGTX in front of KuCoin’s five million-strong user base, spread over 200 countries.

DGTX Distribution Chart

One of the most basic economic laws, which is the law of demand, explains that the higher the demand for a particular asset, the higher its price. Therefore, a further increase in interest among market participants in DGTX would likely result in new higher highs.

But first, IntoTheBlock’s “In/Out of the Money Around Price” (IOMAP) model reveals that there is an important supply barrier that DGTX must overcome to resume the ongoing bull rally. Based on the IOMAP cohorts, nearly 140 addresses had previously purchased 4.90 million DGTX at an average price of $0.105.

Such a significant supply barrier may have the ability to hold in the event of another upswing as holders within this range will look for bigger gains from their long positions.

DGTX Faces Strong Resistance Ahead

It is worth mentioning that out of all DGTX addresses, more than 60% are “In the Money.” These figures indicate that the investor base is confident about upwards price action in the future.

With all of this in mind, it is time for you to sign up for a testnet account, that will automatically convert to a mainnet account on launch day. We will also host an all-day trading event on July 31 with giveaways of up to $250,000 worth of DGTX tokens. So mark your calendars and clear your schedules, as zero-fee trading is about to be released upon the world.

Latest News

trading

Boost your trading skills with these crucial chart patterns

Trading
• Ali Martinez
July 14, 2020

Profitable trading involves spending some time learning the ropes. For this reason, Digitex’s business model was created around helping our users achieve their trading goals. Our team has been focused on producing educational material to allow users to take advantage of our zero-commission trading platform, creating more winning traders.

With the upcoming launch of the Digitex Futures Exchange, there is no better time to understand how to use the platform and learn the basics of how to trade crypto derivative products. More importantly, having the ability to quickly recognize chart patterns can make trading strategies such as scalping and swing trading highly profitable.

Crucial Chart Patterns to Boost Your Trading Skills

With the high levels of FUD (fear, uncertainty, and doubt) surrounding the cryptocurrency market, chart patterns provide a framework to filter all the nonsense. The analysis of such technical formations is crucial to determine who is winning the raging battle between bulls and bears.

As a rule of thumb, the trend of any given asset is usually interrupted by indecision periods. During these times, traders must identify whether or not a chart pattern is forming that could help forecast if the trend continues.

It is worth noting that chart patterns can take a long time to develop fully, which usually results in more significant price movements. Especially when the price action evolves around the previous trend.

These types of technical formations are known as continuation patterns, and the most common ones include triangles, channels, and pennants.

Boost your trading skills with these crucial chart patterns 17

Triangles

Triangles are one of the most common chart patterns employed in technical analysis due to the frequency in which they tend to develop. The price action of any given cryptocurrency can lead to the formation of ascending or descending triangles. The main difference between the two is that the former usually results in a breakout while the latter results in a breakdown.

By measuring the distance of the between the two highest points of a triangle, a potential target can be determined.

Bitcoin, for instance, generally forms this type of continuation pattern within all time frames. On the image below, one can see that on the left, a horizontal line was created along with the swing highs while a rising trendline developed along with the swing lows. This is considered an ascending triangle, which successfully predicted a potential target of nearly 10%.

Boost your trading skills with these crucial chart patterns 18

On the right side of the image above, however, Bitcoin developed a descending triangle. A horizontal trendline was created along with the swing lows while a descending trendline formed along with the swing highs. The distance between the highest points of the triangle anticipated a nearly 50% correction. When BTC finally broke down of this pattern in mid-November 2018, its price plummeted 47.5%.

Channels

Channels are composed of two parallel trendlines that can slope up or down. Typically, a parallel channel with a downward slope occurs in an uptrend, while a parallel channel with an upward bias shows up in a downtrend. There is a tendency to draw a parallel line equal to the channel’s distance to determine a potential target when an asset breaks out or down of this pattern.

These continuation patterns are commonly seen across the different time frames of DGTX. Recently, this utility token broke out of a descending parallel channel after trading within it for over three months. Moving past the upper boundary of the channel allowed DGTX to surge to $0.067, which is roughly the same target determined by this technical pattern.

Boost your trading skills with these crucial chart patterns 19

An ascending parallel channel was also spotted on DGTX’s 4-hour chart in late December 2018. Following the break of the lower boundary of this bearish formation, the price of this altcoin dropped by 20%. The downward impulse allowed it to reach the target calculated by drawing a parallel line equal to the ascending channel’s distance.

Pennants

Pennants are created by two trendlines that eventually converge. One of them goes in a downward direction while the other in an upward direction. As shown in the image below, the distance between the pennant’s highest points provides a potential target to take profits once prices eventually break out or down.

In an ascending trend, the creation of a pennant can lead to further gains. Ethereum’s price action, for instance, formed a pennant in March 2017 as the ICO mania was kicking off. Even though this pattern forecasted a 42% upswing, Ether was able to climb over 50% once it broke out of it.

Boost your trading skills with these crucial chart patterns 20

As ETH was reaching an exhaustion point a couple of months later, another pennant formed. This time, however, the outcome was bearish since the preceding trend was downward. As a result, the price of Ethereum plunged over 15%, which was consistent with the target given by this technical formation.

It’s Time to Practice

Now that you have learned about some of the most common continuation patterns in technical analysis, it’s time for you to practice. If you’re already trading on the DFE mainnet, then our zero-fee trading environment is perfect for testing out these chart patterns without the edge of commissions working against you.

If you’re still waiting for the chance to get onto the DFE mainnet, then why not test out what you’ve learned so far on the Digitex testnet platform? It’s free to sign up, and doing so means you’re automatically queued for a mainnet account.

We’ve now opened up the Digitex mainnet to over 30,000 traders, and next week, we’ll be inviting the one million users from our waitlist. With a public launch only weeks away, the DFE is shaping up to be one of the most liquid exchanges on the market.

July 14, 2020
Trading

Boost your trading skills with these crucial chart patterns

Ali Martinez
trading

Profitable trading involves spending some time learning the ropes. For this reason, Digitex’s business model was created around helping our users achieve their trading goals. Our team has been focused on producing educational material to allow users to take advantage of our zero-commission trading platform, creating more winning traders.

With the upcoming launch of the Digitex Futures Exchange, there is no better time to understand how to use the platform and learn the basics of how to trade crypto derivative products. More importantly, having the ability to quickly recognize chart patterns can make trading strategies such as scalping and swing trading highly profitable.

Crucial Chart Patterns to Boost Your Trading Skills

With the high levels of FUD (fear, uncertainty, and doubt) surrounding the cryptocurrency market, chart patterns provide a framework to filter all the nonsense. The analysis of such technical formations is crucial to determine who is winning the raging battle between bulls and bears.

As a rule of thumb, the trend of any given asset is usually interrupted by indecision periods. During these times, traders must identify whether or not a chart pattern is forming that could help forecast if the trend continues.

It is worth noting that chart patterns can take a long time to develop fully, which usually results in more significant price movements. Especially when the price action evolves around the previous trend.

These types of technical formations are known as continuation patterns, and the most common ones include triangles, channels, and pennants.

Boost your trading skills with these crucial chart patterns 21

Triangles

Triangles are one of the most common chart patterns employed in technical analysis due to the frequency in which they tend to develop. The price action of any given cryptocurrency can lead to the formation of ascending or descending triangles. The main difference between the two is that the former usually results in a breakout while the latter results in a breakdown.

By measuring the distance of the between the two highest points of a triangle, a potential target can be determined.

Bitcoin, for instance, generally forms this type of continuation pattern within all time frames. On the image below, one can see that on the left, a horizontal line was created along with the swing highs while a rising trendline developed along with the swing lows. This is considered an ascending triangle, which successfully predicted a potential target of nearly 10%.

Boost your trading skills with these crucial chart patterns 22

On the right side of the image above, however, Bitcoin developed a descending triangle. A horizontal trendline was created along with the swing lows while a descending trendline formed along with the swing highs. The distance between the highest points of the triangle anticipated a nearly 50% correction. When BTC finally broke down of this pattern in mid-November 2018, its price plummeted 47.5%.

Channels

Channels are composed of two parallel trendlines that can slope up or down. Typically, a parallel channel with a downward slope occurs in an uptrend, while a parallel channel with an upward bias shows up in a downtrend. There is a tendency to draw a parallel line equal to the channel’s distance to determine a potential target when an asset breaks out or down of this pattern.

These continuation patterns are commonly seen across the different time frames of DGTX. Recently, this utility token broke out of a descending parallel channel after trading within it for over three months. Moving past the upper boundary of the channel allowed DGTX to surge to $0.067, which is roughly the same target determined by this technical pattern.

Boost your trading skills with these crucial chart patterns 23

An ascending parallel channel was also spotted on DGTX’s 4-hour chart in late December 2018. Following the break of the lower boundary of this bearish formation, the price of this altcoin dropped by 20%. The downward impulse allowed it to reach the target calculated by drawing a parallel line equal to the ascending channel’s distance.

Pennants

Pennants are created by two trendlines that eventually converge. One of them goes in a downward direction while the other in an upward direction. As shown in the image below, the distance between the pennant’s highest points provides a potential target to take profits once prices eventually break out or down.

In an ascending trend, the creation of a pennant can lead to further gains. Ethereum’s price action, for instance, formed a pennant in March 2017 as the ICO mania was kicking off. Even though this pattern forecasted a 42% upswing, Ether was able to climb over 50% once it broke out of it.

Boost your trading skills with these crucial chart patterns 24

As ETH was reaching an exhaustion point a couple of months later, another pennant formed. This time, however, the outcome was bearish since the preceding trend was downward. As a result, the price of Ethereum plunged over 15%, which was consistent with the target given by this technical formation.

It’s Time to Practice

Now that you have learned about some of the most common continuation patterns in technical analysis, it’s time for you to practice. If you’re already trading on the DFE mainnet, then our zero-fee trading environment is perfect for testing out these chart patterns without the edge of commissions working against you.

If you’re still waiting for the chance to get onto the DFE mainnet, then why not test out what you’ve learned so far on the Digitex testnet platform? It’s free to sign up, and doing so means you’re automatically queued for a mainnet account.

We’ve now opened up the Digitex mainnet to over 30,000 traders, and next week, we’ll be inviting the one million users from our waitlist. With a public launch only weeks away, the DFE is shaping up to be one of the most liquid exchanges on the market.

Latest News

Bullish

On-chain Volume Metrics Show Bullish Signals for DGTX

Digitex Futures
• Ali Martinez
July 7, 2020

DGTX has had an impressive bull run thus far this year, despite the global financial turmoil caused by the ongoing pandemic. This utility token went from trading at an average of $0.037 during its closed mainnet period, to reach a recent new yearly high of $0.066, providing investors sizable opportunities to profit. Furthermore, all the on-chain signals point to further growth. 

Following the recent listing of the DGTX token on KuCoin, the buying pressure behind it has done nothing but shoot up. As KuCoin’s millions of users were granted access to trade this altcoin, its price may be bound for further gains.

DGTX US dollar price chart

A Key Resistance Level Ahead of DGTX

By measuring the Fibonacci retracement indicator from the peak of mid-April 2019 to March’s swing low, a critical multi-year resistance can be spotted. Indeed, the 61.8% Fibonacci retracement level has been preventing DGTX from achieving its upside potential since June 2019.

Each time this cryptocurrency has attempted to turn this hurdle into support for over the past year, it gets rejected by it. However, the strength of this barrier seems to be weakening over time. A further increase in demand for DGTX may finally allow it to overcome such a massive supply wall, which would likely lead to higher highs.

If this were to happen, the next key resistance walls to pay close attention to are provided by the 50%, 38.2% and 23.6% Fibonacci retracement levels. These resistance clusters sit at $0.80, $0.095, and $0.12, respectively.

DGTX US dollar price chart

It remains to be seen whether or not the overhead resistance will finally break, but several metrics add credence to the bullish outlook.

On-Chain Metrics Turn Bullish

On-chain volume, along with daily active addresses and social volume, is a “great triple thread to track,” according to Santiment.

These fundamental gauges can help determine whether a given cryptocurrency is poised for a further advance.

The behavior analytics platform maintains that when these three indices rise together that it is a reliable sign for upward price movement.

Digitex has recently ramped up the onboarding to its mainnet. This, combined with the promise of a rapid onboarding throughout July is helping to drive demand for the DGTX token. Furthermore, after KuCoin announced it would add support for DGTX, these metrics started trending up. On-chain volume surged to levels not seen since early April, daily active addresses rosed to a new yearly high, and social volume started picking up.

These positive movements are reflected in the price of DGTX, which has nearly doubled from its yearly average.

If this trend continues, DGTX would likely see its price double yet again towards $0.12, as it marches towards the 23.6% Fibonacci retracement level upon the break of the overhead resistance.

DGTX's On-Chain Volume, Daily Active Addresses, and Social Volume by Santiment

While DGTX sits on the cusp of its bull rally, a small dose of patience can play a significant role in helping traders profit from the next major price movement of this cryptocurrency. The mainnet recently saw daily trading volumes exceed $200 million after the latest group prompted trading activity to rise further.

An increase in new traders, and ultimately a public launch this summer, will be likely to drive demand for the token beyond the levels indicated in the current trends, when they’re taken in isolation. Put simply, DGTX seems poised for further growth no matter which technical or fundamental indicators you consider.

The Digitex Futures Exchange offers a zero-fee trading environment that is perfect for traders to take advantage of the upside potential DGTX has. Those who are still waiting for a chance to get onto the DFE mainnet should test out the Digitex testnet platform. Not only is signing up free of any charges, but it guarantees a spot on the queue for a mainnet account.

July 7, 2020
Digitex Futures

On-chain Volume Metrics Show Bullish Signals for DGTX

Ali Martinez
Bullish

DGTX has had an impressive bull run thus far this year, despite the global financial turmoil caused by the ongoing pandemic. This utility token went from trading at an average of $0.037 during its closed mainnet period, to reach a recent new yearly high of $0.066, providing investors sizable opportunities to profit. Furthermore, all the on-chain signals point to further growth. 

Following the recent listing of the DGTX token on KuCoin, the buying pressure behind it has done nothing but shoot up. As KuCoin’s millions of users were granted access to trade this altcoin, its price may be bound for further gains.

DGTX US dollar price chart

A Key Resistance Level Ahead of DGTX

By measuring the Fibonacci retracement indicator from the peak of mid-April 2019 to March’s swing low, a critical multi-year resistance can be spotted. Indeed, the 61.8% Fibonacci retracement level has been preventing DGTX from achieving its upside potential since June 2019.

Each time this cryptocurrency has attempted to turn this hurdle into support for over the past year, it gets rejected by it. However, the strength of this barrier seems to be weakening over time. A further increase in demand for DGTX may finally allow it to overcome such a massive supply wall, which would likely lead to higher highs.

If this were to happen, the next key resistance walls to pay close attention to are provided by the 50%, 38.2% and 23.6% Fibonacci retracement levels. These resistance clusters sit at $0.80, $0.095, and $0.12, respectively.

DGTX US dollar price chart

It remains to be seen whether or not the overhead resistance will finally break, but several metrics add credence to the bullish outlook.

On-Chain Metrics Turn Bullish

On-chain volume, along with daily active addresses and social volume, is a “great triple thread to track,” according to Santiment.

These fundamental gauges can help determine whether a given cryptocurrency is poised for a further advance.

The behavior analytics platform maintains that when these three indices rise together that it is a reliable sign for upward price movement.

Digitex has recently ramped up the onboarding to its mainnet. This, combined with the promise of a rapid onboarding throughout July is helping to drive demand for the DGTX token. Furthermore, after KuCoin announced it would add support for DGTX, these metrics started trending up. On-chain volume surged to levels not seen since early April, daily active addresses rosed to a new yearly high, and social volume started picking up.

These positive movements are reflected in the price of DGTX, which has nearly doubled from its yearly average.

If this trend continues, DGTX would likely see its price double yet again towards $0.12, as it marches towards the 23.6% Fibonacci retracement level upon the break of the overhead resistance.

DGTX's On-Chain Volume, Daily Active Addresses, and Social Volume by Santiment

While DGTX sits on the cusp of its bull rally, a small dose of patience can play a significant role in helping traders profit from the next major price movement of this cryptocurrency. The mainnet recently saw daily trading volumes exceed $200 million after the latest group prompted trading activity to rise further.

An increase in new traders, and ultimately a public launch this summer, will be likely to drive demand for the token beyond the levels indicated in the current trends, when they’re taken in isolation. Put simply, DGTX seems poised for further growth no matter which technical or fundamental indicators you consider.

The Digitex Futures Exchange offers a zero-fee trading environment that is perfect for traders to take advantage of the upside potential DGTX has. Those who are still waiting for a chance to get onto the DFE mainnet should test out the Digitex testnet platform. Not only is signing up free of any charges, but it guarantees a spot on the queue for a mainnet account.

Latest News

bitcoin

A Technical Index To Help You Time Bitcoin’s Price Action

Trading
• Ali Martinez
June 23, 2020

Thousands of technical indicators are used by traders all over the world to try to forecast the direction of Bitcoin’s trend and profit from it. While most of these indexes are easily accessible to the public, there is one, in particular, that is widely used by institutional investors. Here, we demonstrate how retail traders can use it to their advantage. 

The Tom Demark (TD) Sequential indicator is often described as one of the most efficient gauges since it can be easily adapted to any trading strategy. This index serves the purpose of identifying local tops and bottoms as it signals when an uptrend or a downtrend is about to reach an exhaustion point and reverse.     

Over the years, the TD setup has proven to be essential in determining Bitcoin’s price action. In 2020, for instance, it was able to predict one of the most significant corrections that the flagship cryptocurrency has seen thus far. 

In mid-February when Bitcoin surged to a yearly high of $10,500, the TD Sequential presented a sell signal in the form of a green nine candlestick. Following the bearish formation, BTC went through a massive bearish impulse that saw its price plummet by nearly 63%.

Then, it was also able to accurately estimate that BTC was reaching an oversold territory on March 16. After providing a buy signal in the form of a red nine candlestick that transitioned into a green one, the price of Bitcoin recovered over 56% of the losses incurred.  

Bitcoin US dollar price chart
TD Sequential Times BTC’s Price Action During March’s Market Meltdown. (Source: TradingView)

The high level of precision that this technical index has to determine where Bitcoin is headed next, makes it ideal for any trader to consider it before entering any long or short positions. For this reason, we will explore some of the most simple and effective rules of the TD Sequential to help you time the price action of the bellwether cryptocurrency.  

When to Buy and When to Sell?

The TD setup usually presents different buy and sell signals that are correlated with Bitcoin’s price action. These vary between aggressive, combo, and sequential 13 candlesticks as well as others. But for now, we will direct our focus towards the most significant bullish and bearish formation that will boost your trading strategy. 

The most important buy and sell signals start with the completion of a nine candlesticks count. When a nine candlesticks countdown is completed, it is at that point that the TD Sequential indicates that a pullback or trend reversal is about to take place. This can happen in an upward or downward direction. 

When it occurs to the upside, the bearish formation develops in the form of a green nine candlestick that forecasts a one to four candlesticks correction or the beginning of a new downward countdown. Conversely, when the nine candlesticks count happens in a downward trend, the buy signal develops in the form of a red nine candlestick estimating that a bullish impulse is underway. 

It is worth noting that green nine and red nine candlesticks can transition into red or green one candlesticks, respectively, depending on Bitcoin’s price action. But this does not invalidate the forecast of each signal. 

A look at BTC’s 1-day chart shows how the formation of green and red nine candlesticks has provided several opportunities to profit since mid-December. Traders who rigorously followed these signals since then would have made at least 180% in profits. Meanwhile, those who bought Bitcoin around December 16, 2019, would have 47% returns.  

Bitcoin US dollar price chart
TD Setup Provides Sizable Opportunites to Profit. (Source: TradingView)

Another important rule to have in mind when using the TD Sequential indicator is that a green two candlestick trading above a preceding green one candle can have the potential to invalidate a sell signal. The same goes when a red nine candlestick develops and there is a red two candlestick trading below the preceding red one candle. 

If you’re already trading on the DFE mainnet, then our zero-fee trading environment is perfect for testing out these kinds of indicators in your trading strategy without the edge of commissions working against you.

If you’re still waiting for the chance to get onto the DFE mainnet, then why not test out the TD Sequential indicator on the Digitex testnet platform? It’s free to sign up and doing so means you’re automatically queued for a mainnet account. We’re onboarding more and more traders every week, turning the DFE into one of the most liquid exchanges on the market.

June 23, 2020
Trading

A Technical Index To Help You Time Bitcoin’s Price Action

Ali Martinez
bitcoin

Thousands of technical indicators are used by traders all over the world to try to forecast the direction of Bitcoin’s trend and profit from it. While most of these indexes are easily accessible to the public, there is one, in particular, that is widely used by institutional investors. Here, we demonstrate how retail traders can use it to their advantage. 

The Tom Demark (TD) Sequential indicator is often described as one of the most efficient gauges since it can be easily adapted to any trading strategy. This index serves the purpose of identifying local tops and bottoms as it signals when an uptrend or a downtrend is about to reach an exhaustion point and reverse.     

Over the years, the TD setup has proven to be essential in determining Bitcoin’s price action. In 2020, for instance, it was able to predict one of the most significant corrections that the flagship cryptocurrency has seen thus far. 

In mid-February when Bitcoin surged to a yearly high of $10,500, the TD Sequential presented a sell signal in the form of a green nine candlestick. Following the bearish formation, BTC went through a massive bearish impulse that saw its price plummet by nearly 63%.

Then, it was also able to accurately estimate that BTC was reaching an oversold territory on March 16. After providing a buy signal in the form of a red nine candlestick that transitioned into a green one, the price of Bitcoin recovered over 56% of the losses incurred.  

Bitcoin US dollar price chart
TD Sequential Times BTC’s Price Action During March’s Market Meltdown. (Source: TradingView)

The high level of precision that this technical index has to determine where Bitcoin is headed next, makes it ideal for any trader to consider it before entering any long or short positions. For this reason, we will explore some of the most simple and effective rules of the TD Sequential to help you time the price action of the bellwether cryptocurrency.  

When to Buy and When to Sell?

The TD setup usually presents different buy and sell signals that are correlated with Bitcoin’s price action. These vary between aggressive, combo, and sequential 13 candlesticks as well as others. But for now, we will direct our focus towards the most significant bullish and bearish formation that will boost your trading strategy. 

The most important buy and sell signals start with the completion of a nine candlesticks count. When a nine candlesticks countdown is completed, it is at that point that the TD Sequential indicates that a pullback or trend reversal is about to take place. This can happen in an upward or downward direction. 

When it occurs to the upside, the bearish formation develops in the form of a green nine candlestick that forecasts a one to four candlesticks correction or the beginning of a new downward countdown. Conversely, when the nine candlesticks count happens in a downward trend, the buy signal develops in the form of a red nine candlestick estimating that a bullish impulse is underway. 

It is worth noting that green nine and red nine candlesticks can transition into red or green one candlesticks, respectively, depending on Bitcoin’s price action. But this does not invalidate the forecast of each signal. 

A look at BTC’s 1-day chart shows how the formation of green and red nine candlesticks has provided several opportunities to profit since mid-December. Traders who rigorously followed these signals since then would have made at least 180% in profits. Meanwhile, those who bought Bitcoin around December 16, 2019, would have 47% returns.  

Bitcoin US dollar price chart
TD Setup Provides Sizable Opportunites to Profit. (Source: TradingView)

Another important rule to have in mind when using the TD Sequential indicator is that a green two candlestick trading above a preceding green one candle can have the potential to invalidate a sell signal. The same goes when a red nine candlestick develops and there is a red two candlestick trading below the preceding red one candle. 

If you’re already trading on the DFE mainnet, then our zero-fee trading environment is perfect for testing out these kinds of indicators in your trading strategy without the edge of commissions working against you.

If you’re still waiting for the chance to get onto the DFE mainnet, then why not test out the TD Sequential indicator on the Digitex testnet platform? It’s free to sign up and doing so means you’re automatically queued for a mainnet account. We’re onboarding more and more traders every week, turning the DFE into one of the most liquid exchanges on the market.

Latest News

Ethereum Paves the Way For Mainstream Adoption as It Signals Further Gains 25

Ethereum Paves the Way For Mainstream Adoption as It Signals Further Gains

Trading
• Ali Martinez
June 16, 2020

Digitex Futures Exchange is gearing up to roll out a new financial product this summer that will enable mainnet users to benefit from Ethereum’s price action. The new ETHUSD perpetual contracts together with the opportunity for zero-fee trading will offer a broader range of markets to our traders, attracting more users to our mainnet and driving demand for the DGTX token. 

For this reason, we have decided to take a look at the different milestones that Ethereum has reached over the past year to determine whether or not it will offer sizable opportunities for those trading it.

Ethereum’s Utility Increases Over Time

The second-largest cryptocurrency in the industry by market cap, Ethereum, has managed to expand its reach to millions of investors worldwide over the past year. Not only Japan’s e-commerce giant Ratuken launched a new mobile app that offers a spot trading service for ETH, but Swiss exchange SIX listed a joint Bitcoin and Ether exchange-traded product (ETP).

The move was meant to provide a “unique way for investors to add the two major cryptocurrencies globally to their portfolio,” according to Amun CEO Hany Rashwan.

As more retail and institutional investors gained access to Ethereum, different organizations across the globe have employed the smart contracts giant’s technology to improve their operations. IKEA, for instance, took part in a commercial transaction on the Ethereum network to facilitate the settlement of an order from a local retailer. Uniswap, on the other hand, listed the first real estate security token and UNICEF, the United Nations’ charity arm for children, launched a cryptocurrency fund based on Ether donations.

Meanwhile, professional soccer clubs Galatasaray Spor Kulübü and Juventus, as well as NBA’s Sacramento Kings and the Ultimate Fighting Championship (UFC), developed Ethereum-based digital assets as a new way to keep their fans engaged.

Now, the Ethereum Foundation prepares to transition from a proof-of-work (PoW) consensus algorithm to proof-of-stake (PoS) and its utility may expand further. The upgrade is expected to solve the scalability issues that the network has faced throughout the years and transform the crypto-economic incentives by rewarding ETH holders.

The launch of ETH 2.0 is scheduled for Q3 2020, but as speculation mounts around the upcoming hard fork, demand for this altcoin is assumed to rise.

“It’s hard to be bearish with Ethereum staking coming soon. I suspect there will be a lot more ether staked than the projected 10-30 million. Perhaps even 50 million-plus if a lot of people select to stake through exchanges/rocket pool,” said David Schwartz, a senior software engineer at decentralized exchange Nash.

While market participants grow overwhelmingly bullish about what the future holds for Ether, different charting patterns validate this momentum.

Prices Continue Trending Up

Despite the downward pressure on Ethereum since the beginning of the month, its price continues trending up from a long-term perspective. Based on the 1-day chart, the smart contract giant is contained within an ascending parallel channel that began to take shape during the March market meltdown.

Consistent with the characteristics of this technical pattern, each time Ether rises to the upper boundary of the channel, it retraces down to hit the lower boundary. From this point, it bounces back up again.

The recent bearish impulse that Ether went through allowed it to reach the bottom of the channel. If this support barrier continues to hold, ETH could surge to the middle or upper boundary of the channel like it has done it over the past three months.

Failing to do so, however, could jeopardize the bullish outlook and set off the alerts for a steep decline.

Ethereum US dollar price chart
Ethereum Is Contained Within a Parallel Channel. (Source: TradingView)

IntoTheBlock’s “In/Out of the Money Around Price” (IOMAP) model suggests that bouncing off the lower boundary of the ascending parallel channel will not be easy this time around.

Based on this on-chain metric, roughly 1.24 million addresses bought over 7.42 million ETH between $235 and $242. These price levels represent a massive hurdle that may have the ability to absorb any upside pressure. But breaking through it will increase the odds for an upswing towards $280 since there isn’t any significant resistance in-between.

On the flip side, the IOMAP cohorts reveal that if the current support level fails to hold, the most next significant barrier to watch out for sits around $204. Here, nearly 1.7 million addresses purchased more than 6 million ETH.

Ethereum Faces Strong Resistance Ahead. (Source: IntoTheBlock)
Ethereum Faces Strong Resistance Ahead. (Source: IntoTheBlock)

Due to the ambiguous outlook, the Fibonacci retracement indicator indicates that the area between the 61.8% and 78.6% Fib is a reasonable no-trade zone. This support and resistance points sit at $211 and $245, respectively.

A daily candlestick close above this area may see an increase in demand that sends Ether to the upper boundary of the aforementioned parallel channel.

Ethereum US dollar price chart
Ethereum Sits In a No-Trade Zone. (Source: TradingView)

Conversely, a sudden rise in the sell orders behind this cryptocurrency that allows it to drop below this no-trade zone might ignite a sell-off. Under such circumstances, investors should expect Ether to plunge towards the 50% or 38.2% Fib levels that lie around $188 and $165, respectively.

With the cryptocurrency market on the cusp of its next bullish cycle, it is crucial to understand the significance of the support and resistance levels previously mentioned. Although there is more room to go up, a steep correction can be extremely beneficial in the long-term. It could help flush out some of the so-called “weak hands” and allow sidelined investors to get back in the market.

A new inflow of capital into Ethereum may eventually propel its price to new-yearly highs.

June 16, 2020
Trading

Ethereum Paves the Way For Mainstream Adoption as It Signals Further Gains

Ali Martinez
Ethereum Paves the Way For Mainstream Adoption as It Signals Further Gains 26

Digitex Futures Exchange is gearing up to roll out a new financial product this summer that will enable mainnet users to benefit from Ethereum’s price action. The new ETHUSD perpetual contracts together with the opportunity for zero-fee trading will offer a broader range of markets to our traders, attracting more users to our mainnet and driving demand for the DGTX token. 

For this reason, we have decided to take a look at the different milestones that Ethereum has reached over the past year to determine whether or not it will offer sizable opportunities for those trading it.

Ethereum’s Utility Increases Over Time

The second-largest cryptocurrency in the industry by market cap, Ethereum, has managed to expand its reach to millions of investors worldwide over the past year. Not only Japan’s e-commerce giant Ratuken launched a new mobile app that offers a spot trading service for ETH, but Swiss exchange SIX listed a joint Bitcoin and Ether exchange-traded product (ETP).

The move was meant to provide a “unique way for investors to add the two major cryptocurrencies globally to their portfolio,” according to Amun CEO Hany Rashwan.

As more retail and institutional investors gained access to Ethereum, different organizations across the globe have employed the smart contracts giant’s technology to improve their operations. IKEA, for instance, took part in a commercial transaction on the Ethereum network to facilitate the settlement of an order from a local retailer. Uniswap, on the other hand, listed the first real estate security token and UNICEF, the United Nations’ charity arm for children, launched a cryptocurrency fund based on Ether donations.

Meanwhile, professional soccer clubs Galatasaray Spor Kulübü and Juventus, as well as NBA’s Sacramento Kings and the Ultimate Fighting Championship (UFC), developed Ethereum-based digital assets as a new way to keep their fans engaged.

Now, the Ethereum Foundation prepares to transition from a proof-of-work (PoW) consensus algorithm to proof-of-stake (PoS) and its utility may expand further. The upgrade is expected to solve the scalability issues that the network has faced throughout the years and transform the crypto-economic incentives by rewarding ETH holders.

The launch of ETH 2.0 is scheduled for Q3 2020, but as speculation mounts around the upcoming hard fork, demand for this altcoin is assumed to rise.

“It’s hard to be bearish with Ethereum staking coming soon. I suspect there will be a lot more ether staked than the projected 10-30 million. Perhaps even 50 million-plus if a lot of people select to stake through exchanges/rocket pool,” said David Schwartz, a senior software engineer at decentralized exchange Nash.

While market participants grow overwhelmingly bullish about what the future holds for Ether, different charting patterns validate this momentum.

Prices Continue Trending Up

Despite the downward pressure on Ethereum since the beginning of the month, its price continues trending up from a long-term perspective. Based on the 1-day chart, the smart contract giant is contained within an ascending parallel channel that began to take shape during the March market meltdown.

Consistent with the characteristics of this technical pattern, each time Ether rises to the upper boundary of the channel, it retraces down to hit the lower boundary. From this point, it bounces back up again.

The recent bearish impulse that Ether went through allowed it to reach the bottom of the channel. If this support barrier continues to hold, ETH could surge to the middle or upper boundary of the channel like it has done it over the past three months.

Failing to do so, however, could jeopardize the bullish outlook and set off the alerts for a steep decline.

Ethereum US dollar price chart
Ethereum Is Contained Within a Parallel Channel. (Source: TradingView)

IntoTheBlock’s “In/Out of the Money Around Price” (IOMAP) model suggests that bouncing off the lower boundary of the ascending parallel channel will not be easy this time around.

Based on this on-chain metric, roughly 1.24 million addresses bought over 7.42 million ETH between $235 and $242. These price levels represent a massive hurdle that may have the ability to absorb any upside pressure. But breaking through it will increase the odds for an upswing towards $280 since there isn’t any significant resistance in-between.

On the flip side, the IOMAP cohorts reveal that if the current support level fails to hold, the most next significant barrier to watch out for sits around $204. Here, nearly 1.7 million addresses purchased more than 6 million ETH.

Ethereum Faces Strong Resistance Ahead. (Source: IntoTheBlock)
Ethereum Faces Strong Resistance Ahead. (Source: IntoTheBlock)

Due to the ambiguous outlook, the Fibonacci retracement indicator indicates that the area between the 61.8% and 78.6% Fib is a reasonable no-trade zone. This support and resistance points sit at $211 and $245, respectively.

A daily candlestick close above this area may see an increase in demand that sends Ether to the upper boundary of the aforementioned parallel channel.

Ethereum US dollar price chart
Ethereum Sits In a No-Trade Zone. (Source: TradingView)

Conversely, a sudden rise in the sell orders behind this cryptocurrency that allows it to drop below this no-trade zone might ignite a sell-off. Under such circumstances, investors should expect Ether to plunge towards the 50% or 38.2% Fib levels that lie around $188 and $165, respectively.

With the cryptocurrency market on the cusp of its next bullish cycle, it is crucial to understand the significance of the support and resistance levels previously mentioned. Although there is more room to go up, a steep correction can be extremely beneficial in the long-term. It could help flush out some of the so-called “weak hands” and allow sidelined investors to get back in the market.

A new inflow of capital into Ethereum may eventually propel its price to new-yearly highs.

Latest News

Expert Tips

Expert Tips: Common Practices Before Entering a Trade

Trading
• Ali Martinez
June 14, 2020

Despite the popular belief that trading is easy, the truth of the matter is that it takes a lot of practice and know-how to become a successful trader. There is a widely known statistic that says that 90% of traders are not profitable. 

So over time, 80% of those who enter into this profession lose money, 10% usually break even, and 10% percent are able to generate returns from the price action in the markets.

For this reason, Digitex is doing everything in its power to help traders around the world reach their financial goals. This time, we want to provide you with different practices that you can employ before entering a trade to minimize losses and maximize profits.

The Power of Knowledge

First and foremost, it is very important to have a clear picture of what you are getting into. In trading as any other profession, education is what separates those who are able to reach their goals from those who do not.

It is essential for traders to not only be aware of the developments around the market and the cryptocurrency of their choice but also focus on learning something new every day. Technical indicators can provide guidance regarding what the future may hold for a given digital asset, but on-chain metrics can help identify what the so-called “market makers” are doing.

With the vast amount of data that blockchain technology provides to investors, it is important to consider diving into these metrics before entering a trade.

Protect Your Capital

People are usually optimistic and tend to discourage the potential of adverse market conditions. But with the unpredictability of the cryptocurrency market, wild price movements can be triggered at any second. Now that the market seems to be on the cusp of its next bullish cycle, having capital to deploy is a must.

Before going long or short on any cryptocurrency, it is critical to assess the risks that are involved. Having a good idea of where to place your stop-loss order before even thinking about the profits, is a great way to stay afloat in such a volatile market.

As a rule of thumb, most retail investors risk no more than 2% of their investment capital on any single trade, and hedge fund managers usually risk less than this amount, according to Investopedia.

Avoid Small-Cap Altcoins

Lower cap coins are known for their ability to post massive gains within short periods of time. Zilliqa, for instance, has seen its price skyrocket over 950% since the March market meltdown. After such an impressive rally, different metrics show that it could be bound for a correction.

Regardless of what happens with this cryptocurrency, what matters is that such high levels of volatility have the potential to pulverize your capital. Imagine that you find yourself on the wrong side of the trend with this type of altcoins that have the potential to surge or plummet significantly within minutes. 

By understanding what is at stake, you will realize that small-cap altcoins pose a lot of risk when traded. But if you still want to try your chance with these digital assets considering investing in them rather than day trading them.

Keep Calm and Stick to Your Plan

The final and most important practice to have in mind before entering any trade is to stay relax and have a solid plan of action. If you were supposed to enter a trade at a certain price and you missed your entry point, don’t worry about it. A new opportunity will likely present itself in the near future.

Chasing trades is one of the best ways to put your capital at risk. Therefore, staying true to your trading plan and maintaining a solid risk management strategy will help you minimize your losses.

Remember that you don’t need to win every trade. Indeed, many traders, including 45-years trading veteran Peter Brandt, only win 50% to 60% of their trades. However, they make sure that their winning trades are bigger than what they lose implementing stop-losses.

So before you enter into your next trade make sure to be aware of what is happening in the market, prioritize your stop-loss order over anything else, avoid some of the lower cap coins, and keep calm.

Digitex’s zero-fee model introduces a unique opportunity to try out new scalping strategies on Bitcoin futures that wouldn’t be profitable on other exchanges. We’re also putting out a ton of educational content to help create more winning traders. Sign up to our waitlist to secure your place in the queue for onboarding to our mainnet, and to receive all the latest news and announcements straight to your inbox.

June 14, 2020
Trading

Expert Tips: Common Practices Before Entering a Trade

Ali Martinez
Expert Tips

Despite the popular belief that trading is easy, the truth of the matter is that it takes a lot of practice and know-how to become a successful trader. There is a widely known statistic that says that 90% of traders are not profitable. 

So over time, 80% of those who enter into this profession lose money, 10% usually break even, and 10% percent are able to generate returns from the price action in the markets.

For this reason, Digitex is doing everything in its power to help traders around the world reach their financial goals. This time, we want to provide you with different practices that you can employ before entering a trade to minimize losses and maximize profits.

The Power of Knowledge

First and foremost, it is very important to have a clear picture of what you are getting into. In trading as any other profession, education is what separates those who are able to reach their goals from those who do not.

It is essential for traders to not only be aware of the developments around the market and the cryptocurrency of their choice but also focus on learning something new every day. Technical indicators can provide guidance regarding what the future may hold for a given digital asset, but on-chain metrics can help identify what the so-called “market makers” are doing.

With the vast amount of data that blockchain technology provides to investors, it is important to consider diving into these metrics before entering a trade.

Protect Your Capital

People are usually optimistic and tend to discourage the potential of adverse market conditions. But with the unpredictability of the cryptocurrency market, wild price movements can be triggered at any second. Now that the market seems to be on the cusp of its next bullish cycle, having capital to deploy is a must.

Before going long or short on any cryptocurrency, it is critical to assess the risks that are involved. Having a good idea of where to place your stop-loss order before even thinking about the profits, is a great way to stay afloat in such a volatile market.

As a rule of thumb, most retail investors risk no more than 2% of their investment capital on any single trade, and hedge fund managers usually risk less than this amount, according to Investopedia.

Avoid Small-Cap Altcoins

Lower cap coins are known for their ability to post massive gains within short periods of time. Zilliqa, for instance, has seen its price skyrocket over 950% since the March market meltdown. After such an impressive rally, different metrics show that it could be bound for a correction.

Regardless of what happens with this cryptocurrency, what matters is that such high levels of volatility have the potential to pulverize your capital. Imagine that you find yourself on the wrong side of the trend with this type of altcoins that have the potential to surge or plummet significantly within minutes. 

By understanding what is at stake, you will realize that small-cap altcoins pose a lot of risk when traded. But if you still want to try your chance with these digital assets considering investing in them rather than day trading them.

Keep Calm and Stick to Your Plan

The final and most important practice to have in mind before entering any trade is to stay relax and have a solid plan of action. If you were supposed to enter a trade at a certain price and you missed your entry point, don’t worry about it. A new opportunity will likely present itself in the near future.

Chasing trades is one of the best ways to put your capital at risk. Therefore, staying true to your trading plan and maintaining a solid risk management strategy will help you minimize your losses.

Remember that you don’t need to win every trade. Indeed, many traders, including 45-years trading veteran Peter Brandt, only win 50% to 60% of their trades. However, they make sure that their winning trades are bigger than what they lose implementing stop-losses.

So before you enter into your next trade make sure to be aware of what is happening in the market, prioritize your stop-loss order over anything else, avoid some of the lower cap coins, and keep calm.

Digitex’s zero-fee model introduces a unique opportunity to try out new scalping strategies on Bitcoin futures that wouldn’t be profitable on other exchanges. We’re also putting out a ton of educational content to help create more winning traders. Sign up to our waitlist to secure your place in the queue for onboarding to our mainnet, and to receive all the latest news and announcements straight to your inbox.

Latest News

Crypto

After Last Weeks Volatility, What’s Happening in Crypto Futures?

Crypto Industry
• Ali Martinez
June 9, 2020

Bitcoin has stabilized after a period of high volatility. Data reveals that retail investors appear to have stepped away due to the recent price action, while institutional investors are flooding the crypto derivatives market.

Bitcoin’s Wild Price Action Discourages Retail Investors

This month has been quite dramatic for the entire cryptocurrency industry, thus far.

On June 1, Bitcoin was able to slice through the $10,000 resistance level for the first time since the beginning of the year. Following the sudden upswing, the flagship cryptocurrency plummeted by more than $1,000 in less than five minutes.

Since then, Bitcoin was able to stabilize within a narrow trading range. This area is defined by the $9,500 support and $9,900 resistance level.

Bitcoin US dollar price chart
Bitcoin Consolidates After Wild Price Action. (Source: TradingView)

The wild price action seen at the beginning of the month was mostly felt on  BitMEX. Here, Bitcoin dropped to a low of $8,600, while most cryptocurrency derivatives trading platforms recorded a low of approximately $9,250.

The massive downswing resulted in the liquidation of more than $100 million worth of long and short BTC positions on BitMEX alone.

BitMEX Gets Obliterated by Bitcoin's Volatility. (Source: ICO Analytics)
BitMEX Gets Obliterated by Bitcoin’s Volatility. (Source: ICO Analytics)

Despite the erratic behavior that Bitcoin displayed, data from Skew reveals that the aggregated volume of some of the most popular retail-focused crypto derivatives exchanges in the market has leveled off.

“June is starting on a softer note from a trading activity perspective as Bitcoin remains just shy of $10,000,” said the cryptocurrency derivatives analytics provider.

Trading Activity Across Major Crypto Derivatives Exchanges Declines. (Source: Skew)
Trading Activity Across Major Crypto Derivatives Exchanges Declines. (Source: Skew)

Institutional Investors Are Flooding the Market

Meanwhile, institutional demand is skyrocketing. Fidelity Investments affirmed in a recent study that the overwhelming majority of large institutional investors own Bitcoin or derivatives.

The asset-management giant conducted a survey that covered nearly 800 investors across the U.S. and Europe. It concluded that roughly 80% of the respondents said they’re interested in this new asset class. It also discovered that over a quarter of such investors hold Bitcoin or are indirectly involved in the cryptocurrency market.

Tom Jessop, president of Fidelity Digital Assets, said that the negative interest rates in many European nations seem to have attracted a significant number of investors into the space.

“These results confirm a trend we are seeing in the market towards greater interest in and acceptance of digital assets as a new investable asset class,” said Jessop.

Even though price volatility was the top concern impeding wider institutional adoption, the dollar amount of outstanding contracts on the Chicago Mercantile Exchange (CME) Group reflects the rising demand among institutions.

Charles Edwards, the head of Capriole Investments, said that CME’s Bitcoin futures open interest is up by more than 300% since the beginning of 2020. Such an impressive run-up allowed the CME to take an essential share of the Bitcoin futures market.

Edwards maintains that sooner rather than later, CME may outpace the open interest volume of the once industry leader BitMEX.

CME Bitcoin Futures Open Interest Increases Steadily. (Source: Skew)
CME Bitcoin Futures Open Interest Increases Steadily. (Source: Skew)

With so much at stake, Digitex Futures Exchange is well-positioned to capture disillusioned retail traders who have, for too long, given up their fair share of profits to fee-charging exchanges. Not only can market participants benefit from our zero-commission trading platform, but our team has also put out valuable educational material that will help you become a better trader.

In our beginners’ guide, for instance, we explain the basics of how to trade crypto derivative products and give you a breakdown of the platform. We also covered different technical indexes within the Digitex Futures platform that help time profitable trades and explained simple habits to minimize potential losses.

As we increase the number of traders onboarded to the mainnet each week, liquidity is rising exponentially even before we have thousands of users on the platform. Last week, our mainnet group generated 24-hour trading volumes of over $120 million. This proves that with zero fees making scalping a viable strategy, there’s no reason to be intimidated by volatility.

Now, it is time for you to sign up and take advantage of the first exchanges in the industry that does not take a percentage of your profits.

June 9, 2020
Crypto Industry

After Last Weeks Volatility, What’s Happening in Crypto Futures?

Ali Martinez
Crypto

Bitcoin has stabilized after a period of high volatility. Data reveals that retail investors appear to have stepped away due to the recent price action, while institutional investors are flooding the crypto derivatives market.

Bitcoin’s Wild Price Action Discourages Retail Investors

This month has been quite dramatic for the entire cryptocurrency industry, thus far.

On June 1, Bitcoin was able to slice through the $10,000 resistance level for the first time since the beginning of the year. Following the sudden upswing, the flagship cryptocurrency plummeted by more than $1,000 in less than five minutes.

Since then, Bitcoin was able to stabilize within a narrow trading range. This area is defined by the $9,500 support and $9,900 resistance level.

Bitcoin US dollar price chart
Bitcoin Consolidates After Wild Price Action. (Source: TradingView)

The wild price action seen at the beginning of the month was mostly felt on  BitMEX. Here, Bitcoin dropped to a low of $8,600, while most cryptocurrency derivatives trading platforms recorded a low of approximately $9,250.

The massive downswing resulted in the liquidation of more than $100 million worth of long and short BTC positions on BitMEX alone.

BitMEX Gets Obliterated by Bitcoin's Volatility. (Source: ICO Analytics)
BitMEX Gets Obliterated by Bitcoin’s Volatility. (Source: ICO Analytics)

Despite the erratic behavior that Bitcoin displayed, data from Skew reveals that the aggregated volume of some of the most popular retail-focused crypto derivatives exchanges in the market has leveled off.

“June is starting on a softer note from a trading activity perspective as Bitcoin remains just shy of $10,000,” said the cryptocurrency derivatives analytics provider.

Trading Activity Across Major Crypto Derivatives Exchanges Declines. (Source: Skew)
Trading Activity Across Major Crypto Derivatives Exchanges Declines. (Source: Skew)

Institutional Investors Are Flooding the Market

Meanwhile, institutional demand is skyrocketing. Fidelity Investments affirmed in a recent study that the overwhelming majority of large institutional investors own Bitcoin or derivatives.

The asset-management giant conducted a survey that covered nearly 800 investors across the U.S. and Europe. It concluded that roughly 80% of the respondents said they’re interested in this new asset class. It also discovered that over a quarter of such investors hold Bitcoin or are indirectly involved in the cryptocurrency market.

Tom Jessop, president of Fidelity Digital Assets, said that the negative interest rates in many European nations seem to have attracted a significant number of investors into the space.

“These results confirm a trend we are seeing in the market towards greater interest in and acceptance of digital assets as a new investable asset class,” said Jessop.

Even though price volatility was the top concern impeding wider institutional adoption, the dollar amount of outstanding contracts on the Chicago Mercantile Exchange (CME) Group reflects the rising demand among institutions.

Charles Edwards, the head of Capriole Investments, said that CME’s Bitcoin futures open interest is up by more than 300% since the beginning of 2020. Such an impressive run-up allowed the CME to take an essential share of the Bitcoin futures market.

Edwards maintains that sooner rather than later, CME may outpace the open interest volume of the once industry leader BitMEX.

CME Bitcoin Futures Open Interest Increases Steadily. (Source: Skew)
CME Bitcoin Futures Open Interest Increases Steadily. (Source: Skew)

With so much at stake, Digitex Futures Exchange is well-positioned to capture disillusioned retail traders who have, for too long, given up their fair share of profits to fee-charging exchanges. Not only can market participants benefit from our zero-commission trading platform, but our team has also put out valuable educational material that will help you become a better trader.

In our beginners’ guide, for instance, we explain the basics of how to trade crypto derivative products and give you a breakdown of the platform. We also covered different technical indexes within the Digitex Futures platform that help time profitable trades and explained simple habits to minimize potential losses.

As we increase the number of traders onboarded to the mainnet each week, liquidity is rising exponentially even before we have thousands of users on the platform. Last week, our mainnet group generated 24-hour trading volumes of over $120 million. This proves that with zero fees making scalping a viable strategy, there’s no reason to be intimidated by volatility.

Now, it is time for you to sign up and take advantage of the first exchanges in the industry that does not take a percentage of your profits.

Latest News

Bitcoin Breaks $10,000; Will DGTX Follow? 27

Bitcoin Breaks $10,000; Will DGTX Follow?

Trading
• Ali Martinez
June 2, 2020

After a relatively quiet month in the cryptocurrency markets, volatility has returned, and Bitcoin has done nothing but shoot up. Data reveals that BTC could be poised for a further upward advance. Meanwhile, DGTX is consolidating within a narrow trading range as it prepares for a major price movement. 

Bitcoin Breaks Out, Aiming For New Yearly Highs

Bitcoin stole the spotlight of the cryptocurrency market after the price action it has experienced over the past 48 hours. The flagship cryptocurrency went through a bullish impulse that saw its price rise by 10%.

The sudden upswing allowed BTC to move past the $10,000 resistance level. It also helped break a multi-year trendline that has prevented it from reaching its upside potential since the December 2017 all-time high of nearly $20,000.

Since then, this resistance barrier has been able to reject Bitcoin at each major peak. These include the late June 2019 high of $14,000, the mid-July 2019 peak of $13,200, the early August 2019 spike of $12,300, and the mid-February 2020 high of $10,500.

Now that the pioneer cryptocurrency sliced through the resistance trendline for the first time in two years, it could be poised to enter a new full-blown bull market.

Bitcoin Breaks Above Multi-Year Trendline. (Source: TradingView)
Bitcoin Breaks Above Multi-Year Trendline. (Source: TradingView)

From a short term perspective, such as its 1-day chart, Bitcoin appears to have more gas in the tank. Within this timeframe, its price action has been contained within an ascending parallel channel that developed during March’s Black Thursday.

Since then, each time BTC surges to the upper boundary of the channel, it pulls back to hit the lower limit, and from this point, it bounces back up again. This is consistent with the characteristics of a channel.

If the price history of the past three months repeats, the bellwether cryptocurrency could advance further up towards the middle or upper boundary of the ascending parallel channel.

Bitcoin Remains Contained in an Ascending Parallel Channel. (Source: TradingView)
Bitcoin Remains Contained in an Ascending Parallel Channel. (Source: TradingView)

The Fibonacci retracement indicator adds credence to this bullish scenario. This technical index estimates that if Bitcoin is able to turn the $10,500 resistance wall into support, there isn’t any major barrier to prevent it from rising towards the 127.2% Fibonacci retracement level at $12,250.

Bitcoin Faces Strong Support and Resistance. (Source: TradingView)
Bitcoin Faces Strong Support and Resistance. (Source: TradingView)

It is worth mentioning that high levels of volatility in the market seen over the past few days sent investors into “greed,” according to the Crypto Fear and Greed Index. But greed is not necessarily a good sign as one of the most successful investors in the world Warren Buffett once said:

“Be fearful when others are greedy and greedy when others are fearful.”

For this reason, market participants must pay close attention to the 78.6% Fibonacci retracement level that sits at $9,100. A sudden bearish impulse that sends Bitcoin below this critical support level could jeopardize the bullish outlook.

Under such circumstances, the next supply barriers to watch out for are the 61.8% and 50% Fibonacci retracement levels. These support zones sit at $8,000 and $7,250, respectively.

DGTX May Soon Follow Bitcoin’s Lead

While Bitcoin is letting loose, the DGTX/BTC trading pair continues consolidating within a narrow trading range. The price action of this altcoin has been contained between the 4,300 satoshis support level and the 4,880 satoshis resistance since mid-May.

Throughout this stagnation phase, the Bollinger bands were forced to squeeze on DGTX’s 12-hour chart due to the low levels of volatility. Squeezes are typically succeeded by wild price movements. The longer the squeeze, the higher the probability of a strong breakout.

Since this technical indicator does not provide a clear path of where DGTX could be headed next, the area between the aforementioned support and resistance levels is a reasonable no-trade zone.

A decisive 12-hour candlestick close above or below this area will determine the direction of the trend.

DGTX Sits in a No-Trade Zone. (Source: TradingView)
DGTX Sits in a No-Trade Zone. (Source: TradingView)

In the meantime, it seems like the DGTX/BTC trading pair is about to bounce off support. The Tom Demark (TD) Sequential indicator is presenting a buy signal in the form of a red nine candlestick within the same timeframe.

The bullish formation suggests that DGTX could surge for one to four candlesticks. But if the buying pressure is strong enough, it could trigger a new upward countdown.

TD Sequential Presents a Buy Signal for DGTX. (Source: TradingView)
TD Sequential Presents a Buy Signal for DGTX. (Source: TradingView)

Regardless of the outlook presented by the TD setup, the area between 4,300 satoshis and 4,880 satoshis remains a no-trade zone. Therefore, one must wait for a break of support or resistance before entering any trade to avoid getting caught on the wrong side of the trend.

Upon the break of the resistance level, for instance, the next major barrier is the 38.2% Fibonacci retracement level that sits at 5,700 satoshis. Conversely, if the selling pressure increases and DGTX breaks below support, it could target the 78.6% Fibonacci retracement level at 3,800 satoshis.

Key Support and Resistance Levels to Watch Out. (Source: TradingView)
Key Support and Resistance Levels to Watch Out. (Source: TradingView)

Understanding the importance of the support and resistance levels mentioned above for both Bitcoin and DGTX could allow anyone to minimize risk while profiting from the next significant price movement of any of these cryptocurrencies.

June 2, 2020
Trading

Bitcoin Breaks $10,000; Will DGTX Follow?

Ali Martinez
Bitcoin Breaks $10,000; Will DGTX Follow? 28

After a relatively quiet month in the cryptocurrency markets, volatility has returned, and Bitcoin has done nothing but shoot up. Data reveals that BTC could be poised for a further upward advance. Meanwhile, DGTX is consolidating within a narrow trading range as it prepares for a major price movement. 

Bitcoin Breaks Out, Aiming For New Yearly Highs

Bitcoin stole the spotlight of the cryptocurrency market after the price action it has experienced over the past 48 hours. The flagship cryptocurrency went through a bullish impulse that saw its price rise by 10%.

The sudden upswing allowed BTC to move past the $10,000 resistance level. It also helped break a multi-year trendline that has prevented it from reaching its upside potential since the December 2017 all-time high of nearly $20,000.

Since then, this resistance barrier has been able to reject Bitcoin at each major peak. These include the late June 2019 high of $14,000, the mid-July 2019 peak of $13,200, the early August 2019 spike of $12,300, and the mid-February 2020 high of $10,500.

Now that the pioneer cryptocurrency sliced through the resistance trendline for the first time in two years, it could be poised to enter a new full-blown bull market.

Bitcoin Breaks Above Multi-Year Trendline. (Source: TradingView)
Bitcoin Breaks Above Multi-Year Trendline. (Source: TradingView)

From a short term perspective, such as its 1-day chart, Bitcoin appears to have more gas in the tank. Within this timeframe, its price action has been contained within an ascending parallel channel that developed during March’s Black Thursday.

Since then, each time BTC surges to the upper boundary of the channel, it pulls back to hit the lower limit, and from this point, it bounces back up again. This is consistent with the characteristics of a channel.

If the price history of the past three months repeats, the bellwether cryptocurrency could advance further up towards the middle or upper boundary of the ascending parallel channel.

Bitcoin Remains Contained in an Ascending Parallel Channel. (Source: TradingView)
Bitcoin Remains Contained in an Ascending Parallel Channel. (Source: TradingView)

The Fibonacci retracement indicator adds credence to this bullish scenario. This technical index estimates that if Bitcoin is able to turn the $10,500 resistance wall into support, there isn’t any major barrier to prevent it from rising towards the 127.2% Fibonacci retracement level at $12,250.

Bitcoin Faces Strong Support and Resistance. (Source: TradingView)
Bitcoin Faces Strong Support and Resistance. (Source: TradingView)

It is worth mentioning that high levels of volatility in the market seen over the past few days sent investors into “greed,” according to the Crypto Fear and Greed Index. But greed is not necessarily a good sign as one of the most successful investors in the world Warren Buffett once said:

“Be fearful when others are greedy and greedy when others are fearful.”

For this reason, market participants must pay close attention to the 78.6% Fibonacci retracement level that sits at $9,100. A sudden bearish impulse that sends Bitcoin below this critical support level could jeopardize the bullish outlook.

Under such circumstances, the next supply barriers to watch out for are the 61.8% and 50% Fibonacci retracement levels. These support zones sit at $8,000 and $7,250, respectively.

DGTX May Soon Follow Bitcoin’s Lead

While Bitcoin is letting loose, the DGTX/BTC trading pair continues consolidating within a narrow trading range. The price action of this altcoin has been contained between the 4,300 satoshis support level and the 4,880 satoshis resistance since mid-May.

Throughout this stagnation phase, the Bollinger bands were forced to squeeze on DGTX’s 12-hour chart due to the low levels of volatility. Squeezes are typically succeeded by wild price movements. The longer the squeeze, the higher the probability of a strong breakout.

Since this technical indicator does not provide a clear path of where DGTX could be headed next, the area between the aforementioned support and resistance levels is a reasonable no-trade zone.

A decisive 12-hour candlestick close above or below this area will determine the direction of the trend.

DGTX Sits in a No-Trade Zone. (Source: TradingView)
DGTX Sits in a No-Trade Zone. (Source: TradingView)

In the meantime, it seems like the DGTX/BTC trading pair is about to bounce off support. The Tom Demark (TD) Sequential indicator is presenting a buy signal in the form of a red nine candlestick within the same timeframe.

The bullish formation suggests that DGTX could surge for one to four candlesticks. But if the buying pressure is strong enough, it could trigger a new upward countdown.

TD Sequential Presents a Buy Signal for DGTX. (Source: TradingView)
TD Sequential Presents a Buy Signal for DGTX. (Source: TradingView)

Regardless of the outlook presented by the TD setup, the area between 4,300 satoshis and 4,880 satoshis remains a no-trade zone. Therefore, one must wait for a break of support or resistance before entering any trade to avoid getting caught on the wrong side of the trend.

Upon the break of the resistance level, for instance, the next major barrier is the 38.2% Fibonacci retracement level that sits at 5,700 satoshis. Conversely, if the selling pressure increases and DGTX breaks below support, it could target the 78.6% Fibonacci retracement level at 3,800 satoshis.

Key Support and Resistance Levels to Watch Out. (Source: TradingView)
Key Support and Resistance Levels to Watch Out. (Source: TradingView)

Understanding the importance of the support and resistance levels mentioned above for both Bitcoin and DGTX could allow anyone to minimize risk while profiting from the next significant price movement of any of these cryptocurrencies.

Latest News