Bitcoin - Forex Combo Strategy: The Ethereum Killer
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Bitcoin - Forex Combo Strategy: The Ethereum Killer
Written by: PaxForex analytics dept - Wednesday, 10 July 2019 0 comments
Welcome back everyone to this week’s update on my Bitcoin - Forex Combo Strategy! I am sure that everyone has come across the term “Ethereum Killer” and several projects have claimed to be one, aimed high and ultimately failed to dethrone the world’s second largest cryptocurrency by market value. This past Sunday, CCN reported that the “Ethereum Killer” is already here and named Binance as the culprit. Since the publications, the article has stirred up quite some controversy and resulted in it’s CEO Changpeng Zhao to come out and defend the allegations.
The articles pointed out the Binance is refusing to list Ethereum pairs and has delisted existing ones. New coins are paired with Bitcoin (BTC), Tether (USDT) and Binance Coin (BNB). In response to a question why Binance is not offering Ethereum, Changpeng Zhao responded “Just because you don’t do something doesn’t mean you are against it. Like you didn’t donate to every charity in the world, are you against all charity?” This left the possibility open that Binance is slowly and quietly trying to push Ethereum aside, but he tried to counter those claims by adding “I like the positivity for #bnb, but we really don't have to diss any other coin. #eth can do much more than #bnb in features. Let's grow together.”
He did attack CCN for the article by stating “What's wrong with CCN these days? Bad bad article. So many wrong facts. Binance Singapore and Jersey all recently listed ETH.” The big unanswered question is if he is angry because CCN put the spotlight on his stealth ambitions or if the article is indeed wrong. Binance is also challenging Ethereum’s DEX dominance with the launch of its own decentralized exchange. Changpeng Zhao quickly dismissed the claims by adding “Thanks for the nice article! But almost too supportive. lol. @Binance_DEX does not challenge Ethereum, it doesn't even have smart contracts. It challenges ourselves, exchanges. :)” While Changpeng Zhao came out quickly to play down the ambitions of Binance in regards to Ethereum, he has not entirely ruled out that the aim is indeed to dethrone Ethereum.
Ethereum’s founder Vitalik Buterin has attacked Binance in the past, especially after Binance delisted Bitcoin SV (BSV). He pointed out “They’ve asked for big listing fees. They influence which coins win and lose by deciding which trading pairs they have – so it’s weird to criticize that one decision (the delisting) without looking at all their others.” Buterin also stated in 2018 the “I hope centralized exchanges burn in hell!” Binance has courted new projects which intended to use the Ethereum blockchain and successfully purged them to switch over to Binance, granted them listings they would have not as easily obtained elsewhere and offered Ethereum developers a position at Binance after Ethereum will crash.
Binance has done an excellent job and while it’s CEO Changpeng Zhao has criticized the notion that his project is indeed the “Ethereum Killer”, Binance has all the required attributes to do just that if they want to. I have been very bearish on Ethereum as there appear to be more issues than solutions. While many dApp developers take advantage of smart contracts on the Ethereum blockchain, the competitions is offering better solutions. I think that over the next 12-18 months Ethereum could drop out of the Top 5 cryptocurrencies by
market value. I am looking to sell any rallies above $330.
Now let’s get to my performance update since last week’s post “Bitcoin - Forex Combo Strategy: UN and Cuba Looking into Blockchain”. Bitcoin rallied after I increased my holdings to 500 which carry an average entry price of $8,500. I see a rocky path ahead to $20,000. Ripple remained stuck below the $0.4000 mark. I currently hodl 20,000,000 Ripple at an average entry price of $0.3775 and remain bullish on the long-term prospect of XRP. The two charts below show price action in Bitcoin and Ripple together with my entry positions in each.
Forex trading remains a big driver of revenues to my Bitcoin - Forex Combo Strategy and I closed my 300 lots EURAUD position on July 5th at 1.6045 for a profit of 75 pips or $157,748. On July 9th 2019 I added a 600 lots long position in the GBPUSD at 1.2450. The margin requirement was $149,777 and each pip is worth $6,000. This is an addition to my 300 lots long position which I took on July 3rd 2019 at 1.2575 for a margin requirement of $75,436 with a pip value of $3,000.00. On July 8th 2019 I bought 300 lots in the EURJPY at 121.600 for a margin requirement of $67,349 with a pip value of $2,754.47. The trading recommendation can be found at “EURJPY Fundamental Analysis – July 8th 2019.” The three charts below show my closed EURAUD trade, my enhanced GBPUSD position and my new EURJPY trade.
Here is the summary of my Bitcoin - Forex Combo portfolio: I hodl 500 Bitcoins worth $6,486,950 and and 20,000,000 Ripple worth $7,710,000 plus a total cash portfolio worth $7,720,809. In addition I have the following forex positions in my portfolio: a 900 lots GBPUSD long position worth $210,213 and a 300 lots EURJPY long position worth $298,724. My total Bitcoin - Forex Combo portfolio is worth $22,426,696, up $1,206,817 from last week’s value of $21,219,879 and at a new all-time high. I remain bullish on Bitcoin and Ripple while my bearish stance on Ethereum has not changed. I will continue to enhance my cash-flow through the forex investment part of my strategy and build out my cryptocurrency portfolio. Are you ready to grow you balance and enjoy the many benefits of trading? Join me today at PaxForex and feel free to use my strategy. Just comment below with any questions you may have and I will be happy to help you get started with my Bitcoin - Forex Combo Strategy!