House Of Chimera

2021-04-28 21:12:18 House Of Chimera pinned «Bitcoin Analysis: Week 17 - (Part 1 out of 7) Bitcoin is currently trading at 54,316$ with an intraday volume of ~45 billion. In this analysis, the fundamentals of Bitcoin and its implications will be highlighted, and an on-chain analysis on Bitcoin will…» Open / Comment

2021-04-28 21:12:07 Conclusion
Considering the fundamentals of Bitcoin, House of Chimera thinks that Bitcoin will recover from its short-term downtrend. The main reason is that Bitcoin has regained the EMA 50 line, which is highly bullish. If we could break the middle BB line of $56.871, that would allow Bitcoin to regain its ATH and therefore stay in a bull mode."

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2021-04-28 21:11:30 Bitcoin Analysis: Week 17 - (Part 6 out of 7)

NVT Golden-Cross
This is a modified index of the NVT that provides local tops/bottoms. The NVT (Network Value to Transactions ratio) is similar to the PE ratio used in equity markets. The golden cross NVT indicator shows that if the value is above 2.2, the down risk goes up, and therefore the risk of holding Bitcoin goes up. If the indicator goes below -1.6 it shows huge upside potential.

The current NVT golden cross value is around -2.37, therefore indicating that Bitcoin is currently undervalued based on its NVT ratio. That indicates that the network valuation is lower than the value being transmitted on its payment network, therefore indicating that the network valuation is undervalued. Open / Comment

2021-04-28 21:11:13 Bitcoin Analysis: Week 17 - (Part 5 out of 7)

But what about the ‘leveraged’ market?
The cryptocurrency market very risks willingly in comparison with other financial markets. Investors are not scared away by losing 30% of their investment within hours, a matter of fact they are willing to buy the dip. However, the same ideology is being seen in leveraged trading.

The BTC estimated leverage ratio shows the following: The exchange's open interest divided by their BTC reserve which shows how much leverage is used by users on average. The indicator allows understanding of if the market is exposed to high leverage. If the market is overleveraged, it makes the market very volatile and vulnerable. The house of cards principle works here, a small change and it will all come down.

The funding rate of Bitcoin did reset and this is very healthy for the market. A high funding rate indicates a potentially overleveraged market, and as we highlighted above that has direct implications. Open / Comment

2021-04-28 21:10:48 Bitcoin Analysis: Week 17 - (Part 4 out of 7)

Miners are they selling?
Miners are one of the driving forces of the cryptocurrency market, assuming that miners are in general good sellers and have a significant impact on the market, it is important to understand their position. The Miners’ Position Index (MPI) shows the ratio of BTC leaving all miners wallets to its 1-year moving average. If the value is above 2, it indicates the selling pressure of miners. The current MPI is below 0, therefore negative indicating that miners are mainly holding on to their coins. However, it is a fallacy that miners are not selling at all, considering miners do have operational costs, and these need to be covered.

The narrative of miners not selling is being strengthened by the miner's outflow. This indicator shows the total amount of BTC transferred from all miners’ wallets. The miner's outflow has recently been very low, especially after March 2021in comparison with all of 2020. Open / Comment

2021-04-28 21:10:14 Bitcoin Analysis: Week 17 - (Part 3 out of 7) CME Micro BTC Futures CME is releasing their micro BTC futures on the 3rd of May. The most important aspect of the micro future is that it is 1/10 of a bitcoin, which is 1/50th of the contract size of the traditional… Open / Comment

2021-04-28 21:09:49 Bitcoin Analysis: Week 17 - (Part 3 out of 7)

CME Micro BTC Futures
CME is releasing their micro BTC futures on the 3rd of May. The most important aspect of the micro future is that it is 1/10 of a bitcoin, which is 1/50th of the contract size of the traditional contract. That allows investors to be exposed to Bitcoin while being able to construct an efficient portfolio more efficiently.

The CME Micro Futures can have an enormous influence on the market, considering it is one of the biggest futures cryptocurrency exchange. The CME futures are mainly targeting institutional investors, however, allowing investors to buy smaller contracts allows them to hedge more efficiently and lowering their risks. Open / Comment

2021-04-28 21:09:28 Bitcoin Analysis: Week 17 - (Part 1 out of 7) Bitcoin is currently trading at 54,316$ with an intraday volume of ~45 billion. In this analysis, the fundamentals of Bitcoin and its implications will be highlighted, and an on-chain analysis on Bitcoin will… Open / Comment

2021-04-28 21:08:41 Bitcoin Analysis: Week 17 - (Part 1 out of 7)

Bitcoin is currently trading at 54,316$ with an intraday volume of ~45 billion. In this analysis, the fundamentals of Bitcoin and its implications will be highlighted, and an on-chain analysis on Bitcoin will be performed.

PayPal
PayPal is one of the biggest payment providers in the world, and processed 15.4 billion payments with a value of 963 USD billion in solely 2020. The company has about 30 million merchants in its network. A month ago PayPal let US users pay with Bitcoin, Ethereum, and Litecoin and the anticipation is that these services will be rolled out to the rest of the world very soon. The CEO of PayPal, Dan Schulman, told in an interview that the demand for these services is multiple folds of the initial expectations. He also added that the financial system is going to change drastically in the next 5 to 10 years, adding to the narrative that cryptocurrencies are here to stay.

Interestingly, the retail demand on PayPal their cryptocurrency services is much higher than expected, which adds to the narrative that retail users are willing to use an alternative financial system. Besides that, it pushes other payment providers to the cryptocurrency industry due to the fact they don’t want to miss out. Open / Comment

2021-04-27 16:16:53 ZilliqaFootballStars
Zilliqa just announced a secret project with a bunch of football stars. The project is currently still secret but it is a high probability of being an NFT project. The exposure of these football stars is huge, they have a combined Twitter following of 43.95 million. The followers of these football stars are fans, therefore the engagement rate is relatively high boosting the exposure of the Zilliqa project even further. The football industry is the biggest sport by revenue on a global scale and therefore partnering up with football superstars creates value for the Zilliqa ecosystem.

The Zilliqa ecosystem is benefitting from positive implications by;
1. Potential new investors
2. Being part of the European Football industry with a revenue of approximately 30 billion USD.
3. Adding reputation to their NFT solutions

Potential new investors
The new exposure could lead to new investors, therefore leading to an increase in the value of the native Zilliqa token $ZIL. The current price of $ZIL is under valuating the Zilliqa ecosystem. I would be very surprised if Zilliqa won’t be in the top 30 based on market caps by the beginning of Q3.

European Football Industry
Zilliqa is penetrating a new market, one of the biggest global sports industries. The creation of value is huge here, considering this allows Zilliqa to add more football players if their secret project is successful. Especially, considering all these players are managed by the Gestifute company. Do you know who is also being managed by this sports agent? Cristiano Ronaldo.

NFT Market
The valuation of the NFT market was estimated at 250$ million in 2020. Considering the latest growth of the industry, this might be closer to 500-1.000$ Million now. The NFT market is one of the quickest growing markets within the blockchain industry, therefore it makes sense that Zilliqa is trying to play a role within the industry. The ecosystem is trying to be a global bridge for superstars within various industries to launch their own NFTs. The upcoming Xcademy project will only strengthen Zilliqa their position within the NFT market by adding global YouTube stars to their long list.

Conclusion
House of Chimera is incredibly bullish on Zilliqa and we are excited to see what the further brings of #ZilliqaFootballStars. There is so much development within the ecosystem, such as new integrations and projects such as XcademyOfficial and UFFSports. I think it will hit the top 30 based on market cap fairly soon.

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