WEEK OF NOVEMBER 6, 2023
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What’s Moving The Markets?
Fed Keeps Current Interest Rate
The Federal Reserve has chosen to maintain its pause on interest rate hikes for the second consecutive meeting, as part of its year-long effort to combat inflation and having raised interest rates in over ten consecutive meetings from March 2022 to 2023.
Elon’s Cybertruck High Hopes
Tesla plans to produce 200,000 units of its Cybertruck electric pickup truck annually, with the possibility of increasing that to 250,000 by 2025, as CEO Elon Musk announced, with deliveries set to begin on November 30, nearly four years after its initial unveiling.
Amazon’s Inflated Numbers
Amazon employed illegal strategies, including a secret algorithm named ‘Project Nessie,’ to increase prices for U.S. households by over $1 billion, according to the U.S. Federal Trade Commission in a lawsuit filed in September.
UK Crypto Regulation
The UK government has unveiled its comprehensive regulatory framework for crypto assets and stablecoins, with an initial focus on fiat-backed stablecoins and a phased approach to regulate other aspects of the cryptocurrency sector, marking a significant milestone in aligning digital currencies with traditional financial services.
SEC Charges Safemoon Executives
The US Securities and Exchange Commission has filed charges against the crypto company SafeMoon, including its founder and CEO, for fraud, the sale of unregistered securities, and misappropriation of investor funds for personal use.
Paypal Crypto Services
PayPal has gained approval from the UK’s Financial Conduct Authority (FCA) to provide certain crypto services and advertise them to citizens after successfully registering as a crypto service provider and complying with anti-money laundering regulations.
Bear Case: Bears will want to defend 4430 which a level that has acted as both support and resistance in the past. If bears are able to defend 4430, next strong demand below sits at 4205. If price is able to break above 4430, next supply above sits at 4491.25.
Bulls Case: Bulls will need to break and hold above 4430 which has acted as resistance in the past. If price pullbacks, 4205 may act as possible demand below 4300 physiological level.
EARNINGS RELEASE CALENDAR
FOR WEEK OF NOVEMBER 6TH
Expert Insights & Predictions
How to Position for the Upcoming Bull Run
Understanding risk aversion for oneself is crucial before diving into the specifics of where to invest your capital. It’s essential to recognize that not every individual should approach those risks equally. Based on my experience navigating two bull markets and learning from past mistakes, the following plan provides a framework for structuring my personal investment strategy.
Finding Projects: Distinguishing potential investment projects from failures requires careful consideration. The following are ways to ensure your potential investment will see a safer return:
- Conduct thorough research on forums and social media platforms, but exercise caution as much of the information may be biased. Independent research is necessary to make informed decisions, and active community engagement is a positive indicator.
- Check if the project is listed on Coin Market Cap or CoinGecko.
- Verify if the project is actively traded on an exchange.
- Ensure the project has utility and an active GitHub.
- The contract is showing a safe score on Dextools.
Bitcoin: Bitcoin is on the verge of becoming the future world’s reserve currency. With every cycle, it gains a larger market cap and higher liquidity, consuming traditional currencies and markets. Speculations about an upcoming ETF hint at the potential influx of trillions of dollars into the market. Considering my relatively lower risk appetite, 90% of my portfolio is invested in Bitcoin. My confidence in Bitcoin is rooted in its decentralization and potential as the future of digital gold or as the global reserve currency.
Layer 1 Crypto: Investing in a layer one cryptocurrencies such as Ethereum ($ETH) or Solana ($SOL) is advisable. These serve as more centralized alternatives to Bitcoin, potentially yielding significant gains against Bitcoin under favorable market conditions.
Utility Tokens: Projects like Chainlink ($LINK) are considered blue-chip investments. Additionally, it’s wise to observe projects that have survived multiple bull runs and continued functioning during bearish phases. Notable examples include $STORJ, $SNT, and $BLZ, all facilitating the transition from Web 2.0 to decentralized Web 3.0 services. Recognize that these tokens might be relatively more centralized compared to Bitcoin. Think of these as comparative to investing in a technology company’s stock.
Real World Assets: Consider diversifying your portfolio by investing in lending protocol tokens like Maker or Compound.
DEX or Gas Tokens: Lastly, consider decentralized exchange (DEX) tokens for potentially significant gains during the bull run. Rather than investing solely in a Layer 1 token, diversify your investments with layer 2 tokens like Radium DEX ($RAY), the token powering the Solana DEX.
Remember, there’s no one-size-fits-all investment formula, and acknowledging the inherent risks is crucial. Diversification and extensive research are key to successfully navigating the impending bull run. Only invest what you can afford to lose, consider less risky cryptocurrencies or Bitcoin, invest in small allocations, practice dollar-cost averaging, and remember to secure profits. — @AdamBitcoinP2P1