Prep work

What a weekend in the crypto space! Read on below to find out more on what happened! Also, happy Diwali (Deepavali) to one and all! Diwali is the Hindu festival of lights, that symbolizes the spiritual "victory of light over darkness, good over evil and knowledge over ignorance"! 

Today in history (1904), the St Louis police started using fingerprints as a new method of investigation.

In today's newsletter, we will be covering China's congress passing a cryptography law, Topco Associates piloting Mastercard's blockchain tech and China looking into blockchain and AI for cross-border financing.

Please do not forget to answer the polls down below too! It's a great way to interact with you and hear what you have to say. Happy reading!

Blast off 

Wow... what a weekend, huh? It was so reminiscent of the days of the 2017 bull run. Over the weekend, total market capitalization ballooned from ~$209 billion to ~$262.3 billion at one point on Saturday morning. Total market capitalization currently stands at ~$250 billion. 24-hour volume registered an average of ~$130 billion over the weekend. 

This large run up came moments after Chinese president Xi Jinping declared that the country should "seize the opportunity" to adopt blockchain, at the 18th collective study of the Central Committee in Beijing. Notable movers of the weekend include Chinese projects Tron (TRX), Neo (NEO), Ontology (ONT), Qtum (QTUM) and Bytom (BTM), each up ~22.7%, ~20.4%, ~32.6%, ~27.8% and ~88.3% respectively. 

BTC is currently trading at ~$9,380, up from Friday's ~$7,640. At one point on Saturday, BTC was trading at ~$10,300 and up ~42% over Friday (BTC's 3rd largest single day % gain in history). On the daily chart, BTC went from trading below its 100-day EMA to trading above its 21-day EMA line. RSI is at ~62, indicative of strong bullish momentum. On the weekly chart, BTC broke to the upside of both its 50- and 21-EMA line - just on Friday, BTC was about to close below its 100-EMA line! That's the power of China for ya! 

While this nice run up is great and all, we are still not out of the waters just yet as BTC has yet to break out of its higher highs and lower lows trading formation since end June this year.

Embracing blockchain

On 26 October, the Standing Committee of the 13th National People's Congress in China passed a cryptography law that will come into effect on 1 January, 2020. This comes a day after China President Xi Jinping urged China to seize blockchain technology-related opportunities.

The new law seeks to tackle emerging regulatory and legal challenges in commercial cryptography use-cases as they are vital in developing the Chinese economy. Despite the continued ban of cryptocurrency trading, cryptography is seen as "key to the country’s push to be more competitive in the blockchain space".

The national congress stated that the new law will encourage research and development of commercial cryptography technologies, build an inclusive systematic market regulatory system, and boost nationwide educational efforts. 

Trace it down 

The largest American retail food group purchasing organization, Topco Associates, will pilot a traceability platform created by logistics company Envisible for its operations.

This "Wholechain" platform is based on Mastercard's blockchain-based Provenance Solution, and will be used by Topco to track the sources of meat, produce and seafood.

Full steam ahead 

According to Reuters, the Deputy head of the Chinese regulator State Administration of Foreign Exchange (SAFE) Lu Lei mentioned plans to implement blockchain and AI in cross border financing, particularly in risk management applications.

His call to innovate is in tandem with China's President Xi Jinping's recent appeal for the country to speed up its incorporation of blockchain technologies as a focal point of innovation.

He also pointed out the significance of risk management, highlighting the need to pay extra attention to the speedy development of digital finance and fintech, especially when there is uncertainty of where a new type of business is going. 

Blockchain term of the day - Sell wall

A situation where a large limit order has been placed to sell when a cryptocurrency reaches a certain value. This can sometimes be used by traders to create a certain impression in the market, preventing a cryptocurrency from rising above that value, as supply will likely outstrip demand when the order is executed.

Special announcement  - CoinMarketCap 'The Capital' Global Conference

Other news 

• According to the Cyberspace Administration of China, 506 enterprise blockchain projects have registered with the Chinese government since March this year.

• The United Arab Emirates' Securities and Commodities Authority (SCA) has created a draft resolution on cryptocurrency asset regulation, offering greater transparency for cryptocurrency-related projects in the nation.

• Crypto exchange OKEx is joining Kakao subsidiary Ground X's global public blockchain, Klatyn.

Crypto calendar  

TBA         - Justin Sun's lunch with Warren Buffett

Poll of the Day

How much do you agree with this statement: "China president Xi Jinping's statement pulled the crypto market out of the bear cycle"

Why or why not? Share with me in the polls!  

What you said

How much do you agree with this statement: "I do not hesitate in loading up my crypto bags."

The average vote was 7.6. 

"Why or why not?"

I agree since I am just starting in the BTC market. – Safest choice!

Still buy on dips. Good diversity hedge vs. bond, real estate und stock bubbles. – Yeah, definitely. I believe everyone should at the very least own 1 BTC, and 32 ETH (to be a node in ETH 2.0).

Expect to go lower – Would be good to DCA!

Its clearly the future of finance – No doubt.

i think the market is one of the lowest we will ever see.. it is a matter of time before some good projects especially blockchain will sky rocket.. so its good to buy at dip.. regarding BTC its no brainer just buy & forget u will get exceptional returns.. – Yeah, markets have already retraced substantially since the 2018 highs.

Knowing that our dear old Federal government is one of several governments purchasing crypto then dumping it to hold the market down I just buy and hold! At some point the old debt based fiat system will go into hyperinflation and when it does Liteoin, Bitcoin Cash and other actual crypto currencies will go no offer with the us dollar! Dont fall for the head fake. When they dump just buy more while its on sale. Their loss will become your gain! – Interesting perspective! I wouldn’t rule this one out. It could happen.

I my finances allowed for it, I'd do it daily – Same.  

Volatility raises questions about timing of investment – That’s where DCA-ing comes in.

cause blockchain is the future of info trading, and in this game of life somethings got to give but i aint giving up on crypto... – Glad to have you on board!

Everything will be tokenised. Every months loading up! – Wooo! HODL gang.

Whenever I have extra cash it goes into crypto, with a monthly amount. no matter the price. Diversity however is a different thing. I research and do homework before buying new coins. but I buy no matter the place or price. Have a list of coins and how much of each i want, $ cost averaging really going a long way to show that it profitable to buy like that. – That’s awesome! I think you’ve got a great strategy going. Perhaps just be careful about buying too many altcoins – I don’t think many will make it.

"What are your plans for the weekend?"

Probably nothing, just look for a job and get some sleep besides mining. – Hope you were able to find one you like!

Think of how to reinstate every wallets,every accounts and every crypto assets that was mine.Some bloody phone thief stole my phone and I'm seeing total loss coming – Oh shoot! I’m sorry to hear that! Do look into getting a ledger/ trezor!

Barbecue! – Ahhh, you’re makin me hungry!     

Play with crypto – Always fun (:

It's Diwali.. so fireworks & traditional food with family.. Happy Diwali to everyone !! – Happy Diwali!!!

Raking leaves and going fishing! – Wish I could join you to fish!

Halloween slumber party! – That sounds hella fun…

figure ways on how to fit blockchain anything not just in my life but also the people that need it the most poor/commoners – Hope it was a productive one for you. Yeah, there are so many industries that could use blockchain solutions.

Working on schoolassignments. – Mannn, it’ll pay off buddy.

Cooking – Hope you cooked up a storm!

well, it friday afternoon and i'm working in bed and not in a bar, so think it gonna be a relaxing weekend – It’s one of those weekends, eh?

See you again tomorrow!

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