Bitcoin Price Analysis: BTC/USD Some Support at These Levels?

Bitcoin appears to have broken down from its falling wedge consolidation to signal that a steeper drop is underway. However, there are still a couple of potential support areas where buyers might be waiting.

Price is currently testing one of these now at the $4,800 area that lines up with a former resistance back in September 2018. Stochastic is closing in on oversold territory but does have some room to head further south, so there may still be some selling pressure left. In that case, Bitcoin could make its way down to the next long-term floor.

This might be all the way down to the $3,000 area, which is a previous resistance turned support level. The 100 SMA is below the longer-term 200 SMA to confirm that the path of least resistance is to the downside. In other words, the selloff is more likely to gain traction than to reverse. However, the gap between the moving averages is narrowing slightly to reflect slowing bearish pressure.

BTC/USD Chart - TradingView

Volume remains elevated so there could be potential for big moves. Liquidity is expected to be thinner in the days ahead as most traders will be out for the Thanksgiving holidays, which might also mean high potential for volatility even on minor market updates.

Traders are blaming the uncertainty surrounding the Bitcoin Cash hard fork for the recent slump, but the SEC announcement on ICO operators violating securities laws may have also contributed to the move late in the week. After all, FUD has been in play and has been exacerbating the declines, with more analysts pointing out that it would take much longer before bitcoin recovers from this drop.

With that, it’s understandable that investors are taking money off the table and may be feeling discouraged from putting in more funds despite more inflows expected early next year.

Images courtesy of TradingView

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Bcoin Developers Release Cross-Chain Atomic Swap Application

Bcoin Developers Release Cross-Chain Atomic Swap Application

Technology & Security

On Friday, Nov. 16, the developers behind the full node projects Bcoin and Bcash announced an application that allows users to complete cross-chain atomic swaps between both the BCH and BTC chains. The Bcoin programmers have also released a guide, videos and code for beginners and experts who want to swap BTC for BCH in a decentralized fashion.

Also read: Markets Update: Traders Expect Major BCH Action When Exchanges Open

BCH and BTC Cross-Chain Swaps With No Middlemen

Bcoin Developers Release Cross-Chain Atomic Swap ApplicationThe Bcoin developers recently released an application for users who want to learn how to execute atomic swaps between the BCH and BTC blockchains. Cross-chain atomic swaps have generated a lot of buzz lately, as the process allows people to swap two different cryptocurrencies, but without the need for third parties. Both Bcoin and Bcash are full node BTC and BCH implementations built with Javascript/NodeJS. With the atomic swap application, the Bcoin programmers wholeheartedly believe that in order “to protect both users, there must be no scenario in which one person can control both coins at the same time.”

“Atomic swaps enable some of the coolest layer-two technology in crypto, like Lightning and DEXs,” the Bcoin team stated. “We put together an illustrated guide to walk you through the process, complete with code and videos.”

Bcoin Developers Release Cross-Chain Atomic Swap Application

Bcoin’s atomic swap guide, written by Matthew Zipkin, gives readers a comprehensive look into the technology under the hood. Similar to other types of second-layer technologies, cross-chain swaps use a protocol called Hash Time Locked-Contract (HTLC). Bcoin’s website explains the process through written descriptions and shows visuals of Alice and Bob performing an atomic swap. The guide also shows how the script is written by creating HTLC scripts with the Bcoin and Bcash libraries. Additionally, the walkthrough details how to fund swaps and redeem them once the funds are sent to the designated addresses. The atomic swap templates are accompanied by a video demonstration of the cross-chain trade.

Bcoin Developers Release Cross-Chain Atomic Swap Application

Centralized Exchanges and Hacks Bolster
the Need for Atomic Swaps

Over the last year concepts such as cross-chain atomic swaps have been growing more popular because of issues with centralized exchanges, which are still being hacked to this day. The decred (DCR) development team was the first to perform a cross-chain atomic swap between DCR and LTC back on Sept. 20, 2017. In the Bcoin and Bcash atomic swap guide, Zipkin cites the decred atomic swap Github repository.

There have also been a few other individuals and teams from various cryptocurrency projects who have been attempting to produce viable and decentralized models. Three months ago, BCH developer Mark Lundeberg published a proof-of-concept of a way to do peer-to-peer atomic swaps without an “obvious on-chain fingerprint.” Lundeberg’s “Swap Channels” essentially hide atomic swaps using ordinary payment channels.

Bcoin Developers Release Cross-Chain Atomic Swap Application

The Bcoin application’s documentation further explains how users can install to Windows, Mac and Linux, with accompanying videos for each operating system. The platform’s developers have also released API documentation for programmers who want to integrate the protocol into websites or other types of applications. In addition, the Bcoin team said users can make requests at the Github repository and contributors can earn bounties.

What do you think about the Bcoin and Bcash cross-chain atomic swaps? Let us know your opinion in the comments section below.

Images via Shutterstock, Twitter, Bcoin, and the Bcoin blog. 

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Ripple Price Analysis: XRP/USD Triangle Break to Confirm Upside Momentum

Ripple continues to trade inside its longer-term ascending channel but has formed lower highs and higher lows to consolidate in a symmetrical triangle. Price is hovering around the resistance and a break higher could confirm the bullish momentum.

The 100 SMA is above the longer-term 200 SMA to signal that the path of least resistance is to the upside. In other words, resistance is more likely to break than to hold. The moving averages are also close to the bottom of the triangle to add to its strength as support in another dip.

An upside break from the triangle could spur a rally that’s the same height as the formation, which spans .4500 to around .7500. Ripple could encounter near-term resistance at the mid-channel area of interest at .6000 and the channel top at .7500.

Stochastic is already indicating overbought conditions and is starting to turn lower to suggest a return in selling pressure. This could lead to another dip to the channel bottom or triangle support before more buyers rush in.

XRP/USD Chart - TradingView

Ripple has been one of the more resilient cryptocurrencies after the latest market slide, even overtaking Ethereum in the rankings based on total market cap. Positive developments for Ripple keep XRP supported as traders continue to look forward to the xRapid platform serving big financial institutions and leading to strong volumes down the line.

Still, there’s a lot of uncertainty hanging over the markets this week as the Bitcoin Cash hard fork “mining war” continues. Many are worried that similar issues could arise for other altcoins in the future, weighing heavily on their values as the community fails to reach a consensus as well.

For now, the “flippening” continues to be the main buzz for Ripple on social media and some are predicting that it might even overtake bitcoin at some point.

Images courtesy of TradingView

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