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Coinbase Listings Boost Altcoin Prices, but There Is One 'If': Coinmetrics

News
Tue, 06/23/2020 - 13:52
Vladislav Sopov
The Coinmetric team, which works in cryptocurrency statistical analysis, revealed a report on the impact of a popular token price catalyst, the 'Listing Pump'
Coinbase Listings Boost Altcoin Prices, but There Is One 'If': Coinmetrics
Cover image via stock.adobe.com
Contents

Jon Geenty of the CoinMetrics team showcased why we shouldn't overestimate the impact of Coinbase listing announcements on altcoin performance.

Always keep market sentiment in mind

Mr. Geenty compared three preliminary listing announcements, i.e. posts about the 'exploration' of new assets. The Coinbase team posts announcements of this type to reveal that new coins are under evaluation for listing.

The analyst decided to take an announcement made in a bearish market (in late 2018), a 'flat' market (Summer, 2019) and one which was unveiled this June. 

He studied the performance of all of the assets subject to exploration against the U.S. Dollar, Ethereum (ETH), Bitcoin (BTC), Monero (XMR), ZCash (ZEC) and Dogecoin (DOGE) to avoid distorting any trend in the performance of benchmark assets. In 2018, every to-be-listed asset demonstrated relatively pale gains.

Coinmetrics: No 'listing pumps' on bear market
Image by Coinmetrics

The weakest performance demonstrated by the assets in question occurred after the announcement in 2019. The choppy flat of the Bitcoin (BTC) price and the overall market uncertainty erased almost every 'pump' gain that didn't surpass 10% against USD, Bitcoin (BTC) and Ethereum (ETH).

To compare, the last announcement appeared to be a real catalyst. The assets rallied against every benchmark in a matter of days. However, even with this beautiful perspective, the trendy OMG Network Token (OMG) pump looks like an outlier.

2020 announcement resulted in prominent pump
Image by Coinmetrics

Still a good indicator

All in all, the 'Coinbase listing pump' still looks like a reliable representation of short-term runs for the majority of assets. Typically, the price of a token surges by up to 14% against the U.S. Dollar.

Traders should act quickly to take profits from this process. As revealed by this report, most of the time, all gains are mitigated within a 20-day period.

As covered by U.Today Crypto News, the last Coinbase 'exploration' announcement was slammed by Bitcoin (BTC) proponent Max Keiser of Russia Today. He accused the exchange of a 'casino'-like approach and suggested it should be regulated like a gambling platform.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)

Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director

News
Mon, 07/13/2020 - 14:38
Vladislav Sopov
John Lilic, managing director at ConsenSys decentralized development studio, has shared an over-bullish prediction for Ethereum (ETH) progress
Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director
Cover image via stock.adobe.com
Contents

John Lilic leads international business development in the ConsenSys leading blockchain development studio. He is also an expert in energy markets and cryptocurrency segments. He tracked the progress of Bitcoin's (BTC) and Ethereum's (ETH) market capitalization statistics, coming up with an extravagant prediction.

Bitcoin (BTC) should get ready for parity

Mr. Lilic outlined that Ethereum (ETH) is showcasing much healthier dynamics than its competitor is. For instance, the flagship cryptocurrency still surpasses Ethereum (ETH) by 6.3x in terms of market capitalization, while simultaneously collecting 20% fewer fees than Ethereum (ETH).

John Lilic of ConSensys foresees parity of Bitcoin (BTC) and Ethereum (ETH) market capitalizations
Image via Twitter

Also, Ethereum (ETH) is demonstrating much more impressive price dynamics this year. It gained almost 37% against Bitcoin (BTC) in 2020. That said, Ethereum (ETH) looks severely undervalued to the top manager of ConsenSys.

However, Ether is on the path to eliminating this discrepancy. Eventually, the top two cryptocurrencies may reach market capitalization parity, concludes Mr. Lilic.

Related Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains
Related
Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains

As covered by U.Today Crypto News recently, Coinmetrics on-chain research team called Bitcoin (BTC) and Ethereum (ETH) the unique crypto behemoths that have managed to recover from Black Thursday.

Bitcoin (BTC) is losing supremacy in "fee race"

Should Ethereum (ETH) overcome its undervaluation, its price may be over $1,550 based on liquid supply and current Bitcoin (BTC) market capitalization.

Recently, it was unveiled that Ethereum (ETH) blockchain continues to surpass Bitcoin (BTC) in terms of network fees for more than 30 days in a row. Ethereum (ETH) is seeing this advantage for the first time in its history.

As U.Today Crypto News reported previously, ex-Messari analyst and angel investor Qiao Wang identifies two main catalysts of Ethereum's (ETH) price run in the mid-term perspective.

Related Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang
Related
Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang

According to Wang, the upcoming rally may be fueled by a long-awaited transition to Proof of Stake and fixing the monetary policy of Ether token.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)