Cryptocurrency Trend Table (UTC time)
Since Monday (24th Feb), the price of BTC decreased from USD$10,000 to as low as USD$8600, with about USD$1400 cut. The uncertainty around the global outbreak of COVID-19 in not only affecting investor confidence in traditional markets, but also challenges the crypto markets. Investors are more conservative, holding cash, waiting for a better condition to jump back in.
The turning point for the price of BTC occurred mid-February upon achieving its annual high. First a support point showed up at USD$9600. The price reverted upwards slightly. Once the floor clasped, the decrease trend stopped at USD$8400 after a USD$1200 drop. As shown in below chart, the 14 days average line has taken over the 21 days one, where the 56 days average line shows a downward bending curve. BTC is currently in a weak position; the next floor price could be targeting USD$7600.
Cryptocurrency in relation to other markets
We selected some alternative investment markets to determine to what extent they correlate with the crypto markets. As we can tell, there was no significant correlation between BTC and other alternative investments. Correlation between BTC and stock market volatility is low this week.
Cryptocurrency Market Panic Index
Instead of using social media panic factors that are difficult to quantify, we calculate the BTC market panic index completely based on volatility. Based on the CBOE calculation method for the S&P VIX index, we use the near- and next-term put and call BTC options to calculate the VIX trend chart (The lower the VIX, the lower the market panic). As shown on both graphs, the correlation between the BTC and ETH panic indices is extremely low this week.
Digital currency prices (2020-03-02 UTC 15:00)
News of the week
One of the world’s leading Human Resource companies, Randstad, recently chose to partner with blockchain smart contract technology suppliers to enhance its workflow automation.
The company who employs more than 40,000 people, has confirmed it is working with industry leaders such as Google Cloud Wing, IBM Cloud and Amazon Web Services, to handle this massive blockchain project on Cypherium in New York.
On 28th of February, the company revealed that it will automate its intensive administration workflow of resource distribution on Google Cloud sometime soon.
The platform, Cypherium combines 2 types of consensus mechanisms which are known as PoW and HotStuff (also used for Libra from Facebook) – it uses Java to run its smart contacts. It claims that these mechanisms are highly expendable, as well as secure and private.
Randstad predicts a significant drop in manual errors and time spent, by introducing blockchain, especially in terms of its outsource payment scheme, certificate verification procedures, and personal identification.
New verification processes will collect official data from institutions such as Public Unions through partnerships. These institutions upload digital certificate hashes to Cypherium’s public chains, while protecting data privacy through encryption. In addition, the platform will launch Decentralized Identifier Standards technology to protect sensitive data and users’ privacy.