For far too long, like any nascent field, certain wasteful debates have inordinately dominated cryptocurrency and blockchain conversations. Blockchain vs bitcoin, tech crypto vs money crypto; you get the drift. For a recent example from tech history, witness the bruising, multi billion dollar fight between BluRay and HD DVD in the 90s. Bluray won the fight. Apparently. Think of that when you are streaming GOT on your favourite streaming service. The limited point here is, with the way technology is advancing, what once seemed like a brutal, critical, existential fight-unto-death might seem completely irrelevant in just a few years, when a paradigm has completely shifted.
Full marks then to E&Y, for breaking out of its peer group and launching Nightfall, a truly public, open blockchain on top of the Ethereum network, instead of opting for yet another consortium-driven effort that will fragment adoption and extend blockchain’s version of Bluray v HD-DVD, while the real tech continues to get built out independently. Crypto purists might scoff at the potential of something like this, but this is exactly the sort of mainstream corporate adoption that crypto and blockchain needs; An advisory firm like E&Y with its deep relationships across industries can significantly hasten the process of Ethereum adoption. Prima facie, it looks like E&Y has done its homework here, and has incorporated NFT (Non-fungible tokens, critical for asset tracking, among other things) compatibility through the ERC-721 framework, as well as ZKPs (Zero Knowledge Proofs), another interesting area that is critical to privacy and security in a number of blockchains, including bitcoin and ZCash. Nightfall, in the long run, therefore has the potential to make crypto-bull wet dreams come true.
After what seemed like an interminable winter, crypto markets are finally looking up over the past several weeks. Crypto’s largest asset looks like it’s headed right toward a dominant bullish chart pattern, the Golden Cross.A historically bullish pattern in technical analysis, the Golden Cross occurs when a shorter term moving average (MA) crosses above a longer-term MA. Perhaps two of the most commonly used moving averages for this pattern are the 50-day and 200-day MAs.
At present for Bitcoin, the daily chart 50-day MA looks like it is headed toward the 200-day MA for a potential crossover in the not-so-distant future.
Golden cross patterns such as these can sometimes indicate longer-term trends ahead and can be useful in longer-term trend outlooks. Bitcoin also had a Golden Cross near the end of the last bear market cycle back in 2015, indicating on the 2016 – 2017 bull run. Gaining steam during the upward trend, the 50-day MA looked to hold above the 200-day MA as a type of support.
If enough people, both among technical analysts as well as fundamental analysts, believe that a corner has been turned, a corner will indeed have been turned. That is just reflexivity at work, as we have mentioned before!