Adam Todd and his team will go down in the history books for being the first ever commission-free futures exchange. This will certainly be remembered as a “red letter day” among all cryptocurrency trading enthusiasts.
Although 2019 is still a few months away, now is a good time to examine the outlook for the cryptocurrency market as we transition into a new trading year. Before we preview 2019, let’s review the first nine months of 2018. We will compare the top ten cryptocurrencies (in terms of market cap) against the DGTX token. For those of you who may not be aware, DGTX is a native cryptocurrency which will be used by The Digitex Futures Exchange to handle all trading activity on the exchange. Please review the following table.
Top Ten Cryptocurrencies Versus DGTX
As you can see, the DGTX token has absolutely destroyed the top ten cryptocurrencies in terms of YTD rate of return. In fact, DGTX is the only coin on the list with a positive return for 2018. This is based on the DGTX ICO price of $0.01 per token from 15 January 2018.
Why has DGTX dramatically outperformed the largest cryptocurrencies for 2018? Because The Digitex Futures Exchange is on the verge of launching a revolutionary product which will completely change the way futures exchanges operate.
As we all know from previous experiences, most major changes within an industry or corporation are inevitably designed to benefit the industry or corporation instead of the customer. That’s certainly not the case with Digitex. Adam Todd, the founder and CEO of Digitex, is always searching for ways to benefit the customer. Therefore, this new form of trading at Digitex will help the customer more than it benefits Digitex.
Ever since the first US futures exchange was formed in 1848, commodity brokers were used to fill the role of intermediaries between the customer and the futures exchange. Essentially, the broker acts as a “middleman” for all transactions. As a payment for his services, the broker collects a commission from the customer. The Digitex Futures Exchange is removing the broker from the equation, which will create a commission-free trading experience for all Digitex customers. This explains why the DGTX token has increased 272% during 2018. Traders, speculators and DGTX token owners know that Adam Todd and the Digitex team will experience a dramatic surge in new account activity when the exchange opens near the end of 2018.
In addition to unveiling a commission-free trading experience, Adam created another brilliant move by linking the DGTX token to all trading activity on the Digitex exchange. Each trade conducted on the exchange will be denominated in DGTX tokens. In fact, all aspects of the exchange will be denominated in DGTX. This includes everything such as account balance, profit and loss, margin requirement, tick value and settlement process. One hundred percent of Digitex customers will use and own the native token. As the Digitex account activity increases, there will be a corresponding increase in the internal demand for DGTX. This is another reason which explains the sharp increase in DGTX during the past eight months.
Please review the recent price activity of DGTX. The following table includes ten weeks of price activity.
DGTX Price Activity
The data clearly confirm that DGTX has enjoyed a substantial rally during the past 2 ½ months. In fact, the vast majority of the rally has occurred during the past few weeks. On 14 August, DGTX was trading at $0.004417 per token. Three weeks later, on 8 September, the value of the token increased to $0.045796. This represents a dramatic increase of 937%. Why did DGTX enjoy such an explosive price advance? Because traders and speculators in the crypto community are anticipating a successful launch of The Digitex Futures Exchange in Q4.
Investors are discovering that Adam Todd and the Digitex team are successfully employing blockchain technology to disrupt the futures industry. The “good news” for investors is the fact that Digitex is just getting started. To borrow an expression from the world of sports, blockchain technology is still in the first inning of a nine inning baseball game. The Digitex Futures Exchange will continue to introduce new and exciting innovations to the crypto futures trading community.
DGTX Forecast for 2019
What’s in store for 2019 in regard to DGTX price performance? Of course, it’s impossible to accurately forecast the future direction of any investment vehicle. However, we can develop an educated guess in terms of important price levels for DGTX as 2019 approaches.
Over the course of the past several decades, traders have used Fibonacci numbers to help forecast the price direction of various asset classes. Very briefly, Fibonacci was a brilliant Italian mathematician from the 13th century. He created a sequence of numbers which were eventually used by the financial community to locate support and resistance levels for stocks and commodities. Please review the following table.
DGTX Fibonacci Price Levels
These price levels represent the next set of resistance points for DGTX. Based on the recent performance of DGTX, we could easily exceed each price level within the next few weeks. At least for now, these are the important numbers to watch as we approach the final few months of 2018.
Momentum Traders are Establishing a Position in DGTX
Based on the recent trading activity in DGTX, it certainly appears as though the momentum traders could be entering this market. On 8 September, trading volume exploded to its highest level of 2018. According to data provided by CoinMarketCap, $646,203 worth of DGTX tokens were traded on this day. If the daily volume continues to increase, DGTX could move sharply higher in a short period of time as the momentum traders follow the trend of the market.
Trading volume is a very important indicator for any market. If the volume is increasing as the price is moving higher, this is a very bullish combination. It suggests that traders and speculators are willing to pay a higher price for the underlying security. This is precisely the type of trading behavior that has occurred in DGTX during the past several trading days. It represents a very bullish argument for higher prices.
How high can the momentum traders push DGTX? Of course, it’s impossible to forecast. However, we can examine the trading activity in Bitcoin from 2017, when the momentum crowd pushed the price level dramatically higher in a short period of time. Please examine the following table.
The Historical Advance of Bitcoin
As you can see from the table, the price of Bitcoin literally exploded in 2017. As soon as the price penetrated $2,000, the momentum traders entered the market and pushed Bitcoin to much higher levels. This is what happens when momentum traders decide to deploy their investment capital into a particular market. They have the ability to drive prices sharply higher in a short period of time.
It certainly appears that DGTX is perfectly positioned for higher prices as we transition into 2019. Of course, nobody can forecast the future price direction of any security. However, DGTX has a great deal of potential based on the opening of The Digitex Futures Exchange in Q4. The sky’s the limit for Digitex and its native cryptocurrency!
Personally, I’m a big believer in momentum based trading. The majority of my most profitable trades have been achieved through participation in momentum based trading. This type of approach will usually drive a security well beyond its intended target.
If the momentum traders establish a position in DGTX, we could witness a dramatic move in a relatively short period of time. As I mentioned earlier, one of the “key statistics” in determining active participation by the momentum crowd is a sharp increase in daily trading volume. Without question, DGTX volume has definitely increased during the past several trading days. In fact, volume has averaged $391,305 worth of DGTX tokens during the previous five trading sessions. This is well over 100% above the typical volume of the previous few weeks.
This is a very positive sign because an increase in volume attracts other traders to establish a position in DGTX. This is precisely how a security turns into a full blown mania. Buckle up! 2019 could be a very exciting year for the DGTX token.
Brief Summary of Cryptocurrency Trading for 2019
- DGTX has dramatically outperformed the top ten cryptocurrencies for 2018.
- The crypto community is beginning to realize the upside capacity of DGTX.
- DGTX upside potential is based on the huge demand for commission-free trading.
- From 14 August through 8 September, the DGTX token increased 937%.
- Fibonacci numbers are an excellent source for determining important price levels.
- It appears that momentum traders are establishing positions in DGTX.
- DGTX trading volume has risen sharply during the past several days.
- Volume is a very important indicator in determining activity from the momentum crowd.
- Momentum traders were very successful in pushing Bitcoin sharply higher in 2017.
- DGTX is perfectly positioned for higher prices as we transition into 2019.