CRYPTO-ADDICTS · the MACD crossed downwards on the 4h horizon, the CCI broke the level of 100...

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CRYPTO-ADDICTSDIAMOND REPORT

EDITION #29 | July 20 2018


http://www.crypto-addicts.com


The Diamond Report is a weekly comprehensive information document, created by the Crypto-Addicts team with the objective of educating, training and empowering members of the Crypto-Addicts community.

This document is strictly confidential and is the property of Crypto-Addicts. Any reproduction or use for commercial purposes is strictly prohibited without the express consent of Crypto-Addicts.



CONTENTDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM

About Us ..…………………………………………………………………………………....………….. 4

General Mood ..……………………………………………………………………….………..……..… 6

Weekly Overview ..……………………………………………………………….……….…………….. 7

Global Market Cap ..………………………………………………………….………….….………….. 8

Dominance ..……………………………………………………………………….…………....……….. 9

Market Trend ..……………………………………………………………………….………….……….. 10

Crypto Wallet ..……………………………………………………………………….………...………... 13

Highlighted Crypto ..………………………………………………………………….……..………….. 15

Correlations ..……………………………………………………………………….…………..………... 20

Volatility ..……………………………………………………………………….………………….…….. 21

Risk-Return ..……………………………………………………………………….….………...……….. 24

ICO Analysis ..……………………………………………………………………….…………..……….. 28

ICO Calendar ..……………………………………………………………………….………………….. 32

Next week ..……………………………………………………………………….…………….……….. 33

3COPYRIGHT © CRYPTO-ADDICTS 2018. ALL RIGHTS RESERVED.

https://www.crypto-addicts.com/


COPYRIGHT © CRYPTO-ADDICTS 2018. ALL RIGHTS RESERVED.

ABOUT US

Crypto-Addicts is a team of financial analysts and professionals based in Brussels (Belgium), and active in

cryptocurrencies since 2014. We provide recommendations and personal advice based on the fundamental and technical

analysis of cryptocurrencies. Experienced and passionate, we are fully dedicated to offer the best advice, analysis and

personal support to help cryptocurrency investors secure and grow their capital.

4

JulienCo-Founder and CFO

StephanieMarketing Manager

BenjaminCo-Founder and CEO

ArnaudTrader and Analyst

LesleyTrader and Analyst

DIAMOND REPORT #29BY CRYPTO-ADDICTS.COM




When Bitcoin currency is converted from

currency into cash, that interface has to remain

under some regulatory safeguards. I think the

fact that within the Bitcoin universe an

algorithm replaces the function of the

government … [that] is actually pretty cool.

Al Gore

THEY SAID IT BETTER


DIAMOND REPORT #29BY CRYPTO-ADDICTS.COM




GENERAL MOODDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM


Hello everyone,

Despite the sharp decline in recent days, we can still look back at the week and say that it was a good one... even a very good one.

We must admit that last week, although we broke a significant resistance, the uncertainty remained after experiencing a fall of the entire market.

Since then, Bitcoin has taken power and went from $ 6,200 to $ 7,400 at the time of writing, an increase of nearly 20%.

The market, however, has taken a particular shape for more than 48 hours: while the BTC continues to hold in a range between $ 7300 and $ 7500, the Alts collapse (increasing at the same time the dominance of the BTC vis-a-vis the Altcoins).

Several reasons can explain this increase in dominance. The institutions could be attracted to enter the Bitcoin market at first, and only afterwards the Alts market, could push more cautious investors to focus on BTC by withdrawing their capital from the Alts.

Another explanation, although complementary, would simply be a migration in regard to the market : seeing the Alts decline, many investors will migrate their capital to a value that can resist the shock, here the Bitcoin. Another explanation would be the seasonality : the summer has often been favorable to the BTC. Indeed, from a historical point of view, the months of January, May and September would be the “worst” for Bitcoin, while the summer and the month of December would be periods favorable to an increase.

What is our opinion on the market?

We are going in the right direction, of course, but before talking about a return to growth, we will have to reach a higher threshold of $ 10,000. Otherwise, a pullback would still be very likely.

Regarding dominance, this is yet another reason to insist on the importance of diversification and equitable balancing of a portfolio: the best wallet is one that resists in times of crisis and increases with the market.

Benjamin for Crypto-Addicts




WEEKLY OVERVIEWDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM

7

INCERTITUDE OF BITCOINBTC broke the $ 7,000 level this week

and is now at $ 7,420.

XLM AND ISLAMIC FINANCEXLM received the certification of

conformity to Islamic finance this week.

BLACKROCKThe CEO of the firm has changed his mind about the BTC and could enter

the market.

BLOCKCHAIN AND CFAThe “Chartered Financial Analyst”

exam now includes topics related to Blockchain and Cryptos.




● On July 12, the total market capitalization was approximately $ 245 billion. After peaking at $ 299 billion this week, the total market cap is now $ 282 billion.

● The trend follows and will continue to follow the price of Bitcoin. Without Bitcoin, total capitalization increased from $ 139 billion to $ 153 billion.

● Compared to the previous week, the total capitalization including BTC is up 15.10% while without it, it is up 10.07%.

GLOBAL MARKET CAPDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM



● The domination of Bitcoin increased this week from 43.3% to 45.1%. In one month, this represents an increase of 5%, which may explain the relative stability of Bitcoin compared to Alts.

● The share of ETH, XRP, and IOTA has decreased.

● The rest of the currencies remained more or less stable.


DOMINANCEDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM




MARKET TREND 1/3DIAMOND REPORT #29BY CRYPTO-ADDICTS.COM


From a moving average point of view, we find that 100-day and 50-day moving averages are beginning to show signs of reversal even though the 50 is still below 100.

The 100-day moving average served as resistance during the recent upward push and will have to be crossed in order for the $ 7,800 to be reached.

What is the situation of Bitcoin?

Since the Diamond Report last week, the daily technical situation on Bitcoin has improved. Indeed, on July 12, the MACD showed signs of bearish turnaround and has also crossed the decline the next day. This indicator is now positive and above its line of 0.

The CCI and the WaveTrends are both positive too, indicating that BTC could reach its target around $ 7,800.





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What can we observe from a Fibonacci point of view?

We see that the 50% retracement converges with the horizontal supports and thus form a crucial area between $ 11300 and $ 11500. Also note that the BTC is currently testing the 78.6% retracement level that has been used since the beginning of the long-term downtrend.

Bitcoin, after breaking resistance at $ 6,750, $ 7,100 and $ 7,350 is currently under $ 7,500. The next resistance at $ 7800 is also the target area of the inverted head and shoulders configuration which was confirmed on July 17th.

If this resistance breaks, the Bitcoin could then move to the $ 9000 level and to the $ 10000 zone.






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The technical situation in 4h horizon is a little different from the daily : the MACD crossed downwards on the 4h horizon, the CCI broke the level of 100 downwards and WaveTrends crossed downwards too.

That's why a drop to $ 7,100 is not excluded in the short term before resuming a solid rise and breaking the $ 7,800.


If we analyze moving averages over a 4-hour horizon, we find that BTC has crossed the 3 moving averages when forming the 2nd shoulder.

We also find that moving averages are trending upwards and that short averages are above long.



The ratios in this wallet are based on different elements such as volatility, market caps, news, market situation, etc. We divided this wallet in long-term (weeks to months), mid-term (days to weeks) and short-term (day-trading) positions. Part of our Fund portfolio is dedicated to risk capital and already follows some of these positions.

Many beginners think they can double their capital in a few days. The problem is that to get there, they have to have an extremely aggressive strategy of day trading, and scalping, putting almost their entire wallet at stake. If prices fall, it's fatal and they lose a lot.

We are convinced, and years of experience have proved it to us, that in order to generate regular profit, good portfolio management is crucial. In the current situation, we have almost 40% of our wallet in FIAT, for the simple and good reason that the recovery is not yet confirmed and we prefer to be cautious before increasing our exposure to the market.

CRYPTO WALLET 1/2DIAMOND REPORT #29BY CRYPTO-ADDICTS.COM



CRYPTO WALLET 2/2DIAMOND REPORT #29BY CRYPTO-ADDICTS.COM


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Mid-term positions are on coins that lost a lot of their value as a result of the fall in recent weeks. Nevertheless, as their decrease is mainly due to the market downturn - and not for fundamental reasons - we believe that these coins are excellent investments.

These coins are NOT “signals”, they are ALREADY in our wallet. And because readers of this document will read it at different times, we cannot give you solid entry points. Make your research to know when to buy them. That being said, ratios remain valid!

20%LONG-TERM

COIN SUGGESTIONS2% XLM4% NEO3% ADA2% OMG1% XRP4% BNB4% EOS

5%SHORT-TERM

COIN SUGGESTIONS

Day-trading (follow our signals sent

Telegram)

15%MID-TERM

COIN SUGGESTIONS3% IOTA

2% TEL or BCC2% EDO2% DASH3% ICX2% GVT1% DCR




NEO is a decentralized and distributed network protocol that is based on blockchain technology.

People can use it to digitize assets or stocks, and accomplish certain financial matters through peer-to-peer networks such as recording and issuing, making transactions, settlement and payment.

NEO was founded in 2014 and was open source in real time on GitHub in June 2015.

Since its creation, the NEO team has seen the rise and the boom of the blockchain industry and the frenzy and cooling of the digital money market.

We believe that technology is the engine of progress and that together we can create the future. Motivated by this, NEO was created to bring our traditional economy into the new era of the "smart economy".

HIGHLIGHTED CRYPTO 1/5DIAMOND REPORT #29BY CRYPTO-ADDICTS.COM

15

NEO





● Digital assets are programmable assets that exist as electronic data. Thanks to the blockchain technology, the digitization of assets can be decentralized, reliable, traceable, highly transparent and without intermediaries. On the NEO blockchain, users can record, exchange and circulate multiple types of assets. Proof of the connection between digital and physical assets is possible thanks to the digital identity. Goods registered through a validated digital identity are protected by law.

● Digital identity refers to information about the identity of individuals, organizations and other entities that exist in electronic form. The more mature digital identity system is based on the X.509 Public Key Infrastructure (PKI) standard. In NEO, we will implement a set of X.509 compatible digital identity standards. This set of digital identity standards, in addition to a compatible X.509-level certificate issuance template, will also support the Web Of Trust point-to-point certificate issuance model.

● What do we like about NEO? Identity verification and Smart Contract.


16

NEO





Total coin analysis score 78%

Open communication channels 100%

Team strength 46%

Product strength 78%

Coin strength 81%

Brand awareness 100%

Advisory board strength 0%

Activity on social media 50%

Short name NEO

Total coin supply 100,000,000

Circulating supply 100,000,000

Consensus method Byzantine Fault Tolerance

Market cap $2,258,054,500

Transaction per second 1000

Algorithm NA

Average monthly ROI 900,68%

Total ROI 19.815,86%

Volatility trailing 30 days 37,06%

Volatility trailing 7 days 17,90%

USD price per coin $34,6

More info https://neo.org/


17

NEO


Google search trends




What is the technical situation of NEO?

The short-term situation of NEO is potentially good. NEO recently touched the support of Gann's extreme fan, repeatedly tested. To that extent, a return on the $ 38 resistance is likely.

The moving averages, they, show a sag of the curve, characterized from a chartist point of view by the appearance of a triangle of consolidation. Statistically, this triangle is not a good sign, but NEO being on a very important support, a bullish exit related to a market recovery during the summer could occur.

Indicators follow this trend. Stochastic is in a state of over-selling, while trend indicators show more weaknesses.







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Support and resistance of NEO

From a chartist point of view, NEO / USDT is under solid resistance at $ 39, repeatedly tested and confirmed by the VPVR. According to Fibonacci, the following are at $ 41, $ 52.8 and $ 60.8.

Regarding the supports, we have a long term at $ 32.8 confirmed by VPVR and supports at $ 30.6 and $ 27. A break below would bring the crypto into thresholds before December 2017.




What means correlation ?● The correlation coefficient r measures the strength and direction of a linear relationship between two variables. The value of the correlation r

is always between +1 and –1 (1 means perfect relation, 0 means no linear relation and -1 means perfect inverse relation).● Correlations are used to have a balanced portfolio. It is good to have in your portfolio stocks with inverse correlations, so you can position

yourself on new stocks when your stocks are falling.

CORRELATIONSDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM


*correlation 90d



What is volatility?

Volatility is a statistical measure of the returns/price dispersion for a given asset. It refers to the amount of uncertainty or risk about the size of changes in a security's value.

A higher volatility means that a security's value can potentially be spread out over a larger range of values. This means that the price of the security can change dramatically over a short time period in either direction. A lower volatility means that a security's value does not fluctuate dramatically, but changes in value at a steady pace over a period of time.

A stop loss can, for example, be calculated via volatility. As:

[Stop_Loss]=volatility*1,96 (factor of personal accepted risk)* [Current_Price] * ([Time to Invest]/[Period of volatility Used])^(1/2)*

*if your volatility is based on 2 days and you want to invest in 6 hours, the ratio will be [6h/(24h*2days)]^(1/2)

The calculator is published every Thursday at 1.30 PM (CEST)

VOLATILITY 1/2DIAMOND REPORT #29BY CRYPTO-ADDICTS.COM





How to read the volatility distribution?

The distribution shows how the different crypto volatilities are dispersed throughout the market. High concentration means that your diversified portfolio could have the same kind of movement (up/down depending on the coins trend and correlation) with a relative risk stability size. Low concentration means that you will have a high heterogeneity of price variations.

Hence, some coins will significantly increase the risk of your portfolio. This is why diversification is important, but it could be interesting to also look at correlations. Please find the volatility % relative to the current price distribution on July 11th 2018 – Probability of high and low market movements.

VOLATILITY 2/2DIAMOND REPORT #29BY CRYPTO-ADDICTS.COM





CURRENT VOLATILITYDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM





Why are we interested by risk-return ranking?

Risk is absolutely fundamental to investing. No discussion of returns or performance is meaningful without at least some mention of the risk involved.

In other words, all investors try to achieve the highest return taking the lowest risk. As many types of risk measure could be used, the easiest measurable risk proxy is the volatility.

If investors accept the notion that investment risk is defined by a loss of capital and/or underperformance relative to expectations, it makes defining low risk and high-risk investments substantially easier.

Moreover, investors also have to include factors like time horizon and their risk tolerance in their investment analysis.

How is this ranking calculated?

This ranking is constructed by the return ratio divided by the volatility from the same timeframe period. This way, we can risk and show the coins with the most stable trend (lower volatility) and the best growth trend (positive return).

In our ranking, if a coin has 1% of volatility for 10% of return and another has a 2% volatility for the same return, the first coin will received a better ranking as their risk-return ratio is better.

NB : this is NOT a % of decrease risk but the potential % risk of loss distribution.

RISK-RETURNDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM





GLOBAL MARKET RISK-RETURNDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM





TOP 25 RISK-RETURN RANKINGDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM




RECOMMENDATIONSDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM

● Try to invest in the coins with the best risk-return ratio, avoiding a pump (or other market manipulation) in a too small market cap coins. Indeed, a less ranked coin is more dangerous due to a higher volatility.

● Don’t forget to adapt your stop loss in line with volatilities avoiding to be stopped before a potential good return. Our targets calculator is published every Thursday.

● Note that the past doesn’t predict the future but can give you current sustainable market trends or ideas of coins which fit with your risk return potential expectations.

● Note also that the highest ranked tokens should give you a more stable growth for a lower risk, but could also experience a decrease for some time before recovering in a slower rise.




ICO ANALYSISDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM

28

We know that blockchains are revolutionizing the world, and that is also thanks to DApps. A new decentralized Internet with thousands of revolutionary DApps is being built, but currently there is no app store or search engine to find the popular or fashionable DApps.

Elph is a portal for decentralized applications but also a portfolio of digital assets. It brings together a Token application store, decentralized identity, and secure digital asset storage to simplify the use of blockchain-based applications. Several key features will help discover, organize, and simplify the upcoming decentralized Internet, such as a portfolio, to securely store its Ethereum-based digital assets, including ERC20 tokens. But also the DApp Use Portal: to explore and use the DApps built on the Ethereum blockchain.

Elph supports protocols designed for distributed applications, making them as easy to use as normal Internet websites. It will support thousands of DApps such as digital platforms, games, decentralized exchanges and exchanges.






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TEAM

The team consists of five highly qualified co-founders, all graduates of Berkley University.

Ritik Malhotra is the co-founder and CEO. He spent a few months early in his career as a software engineer for Twitter and Intel. He then founded Streem, a popular multimedia cloud storage product that he sold to Box. He now manages a successful venture capital fund. Note that the CTO worked for Coinbase and Steem as a Senior Engineer.

TOKENS

The ELPH Token is an integral part of the protocol allowing owners to approve and categorize DApps in the store.

The process is the following :

Submission Process: developers keep ELPH tokens to add their app to the store.

DApp Ranking Algorithm: Token owners vote up and down the DApps in the store based on the number of ELPH Tokens they hold. The DApps are sorted according to the cumulative voting data.

Network Reward: all participants in the network receive tokens.

TOKEN DISTRIBUTION

The ICO proceeds with the allocation:

-Not communicated at the moment-






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RISK

● The ELPH Token and the Elph application are completely separate from each other. You can use the ELPH app without having to own or interact with an ELPH Token.

● Their communications are rather weak.● They already use excuses for the lack of updates. Found on their

Telegram: "We worked on the development of our product and therefore we did not have the opportunity to update our blog".

● The project does not yet have a business plan, which could lead to undercapitalization or overcapitalization.

GOOD POINTS

● Elph is super lightweight compared to other standalone App browsers for Mac and Windows. There is no need to synchronize with Ethereum to interact with DApps, which makes the integration process quick and easy.

● They should provide a toolbox filled with different protocols so that DApp developers can easily build their projects.

● An alpha version of ELPH is currently available on Mac and Windows. They are currently working on the release of an iOS and Android solution.

● Note that the team itself could be considered a good point.

They want to develop a simple project and want to make their platform / portfolio fast, easy and clean. It is too early in development for a sell date, but it might be worthwhile to wait for the business plan.

Rating 6.2/10


VERDICT



INTEREST OF ICOsDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM

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What is an ICO?Crowdfunding through a cryptocurrency or token for a new project. Now around 1450 coins are traded on different exchange platforms.

AdvantagesDemocratization: every project can launch an ICO with less time and resources but still high-risk venture. Immense profit potential: buy cheaper and sell later at higher valuation.

Main risksNo regulations: no protection from States. Hence, potential fraud or manipulative behavior. No track record: the majority of ICOs don’t even have a working product, just a conceptual white paper.




UPCOMING ICO CALENDARDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM





NEXT WEEKDIAMOND REPORT #29BY CRYPTO-ADDICTS.COM

33

FUTURE OF BITCOINOn a solid resistance approaching

$ 7,800, BTC risks a rebound on the $ 6,700 support. A bullish break could

be the beginning of a new growth.

WAVESDEX beta and portfolio on the Waves

platform will be completed on July 24th.

BNBAdditional announcement waiting for their BNB platform. BNB is on solid technical support, waiting for news.

TRONRumors of a secret project launched on

July 30.




A question regarding what you’ve just read? Contact your personal analyst anytime - he’ll be happy to explain or clarify any informations

shared in this document.

WWW.CRYPTO-ADDICTS.COM



CRYPTO-ADDICTS · the MACD crossed downwards on the 4h horizon, the CCI broke the level of 100...

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