Last week, the NWST1100 surged by 4.83%. Crypto markets have passed their May peak. Zilliqa (ZIL) Token is a member of the NWSL100 crypto index that made the biggest jump in our ranking in the last two weeks.
*We gauge the crypto market breadth and direction of the market by showing charts 2100NEWS Digital Assets Total Index (NWST1100) which represents the top 1100 Digital Assets. The information-laden chart is difficult to read at first glance but the chart shows key price information, important decisive price levels, momentum, trading volumes, and crypto market breadth.
The previous report showed that our assumption for last week had been: that an upward movement in the larger sideways trend was more likely, the price could test resistance R1. The forecast was correct, as evidenced above by theNWST1100 chart, which shows that the crypto markets have passed their May peak and the 2100NEWS DA Indexes table which measures the performance of various groups of tokens and coins.
Outlook for this week
Looking ahead, the indicators are giving us the following signals: at the top, we see momentum indicators, the RSI is 68- bullish (can be overbought for days), the PPO could stay flat in the coming days. At the bottom of the chart, we see the Breadth indicators that could go up or remain flat. This constellation is the basis for my opinion: a weak uptrend is more likely. The price of theNWST1100 index could test 900 points (+6%). A retreat to Pivot (800 points) is also possible.
Performance of different groups of Digital Assets (Coins and Tokens)
Looking at the table, you can see crypto markets continued the trend in the last week. The total (NWST1100) index surged by 4.83%.
Crypto (Digital Assets) compared with global equity
The chart below compares the performance of the average represented by our NWST1100 Digital Asset index with the average global share represented by Dow Jones global W1Dow index. This year the NWST1100 outperformed W1Dow twice by 60%. The first wave up was an extended Christmas rally, then the pair suffered a collapse caused by the corona pandemic, and the crypto markets had fallen more than the equity markets and lost their advantage. Since March 18th NWST1100 vs. W1Dow pair had rebounded and peaked a month ago. This year, crypto investment represented by NWST1000 beat global equity by 47.5%. The box in the middle of the chart shows the original NWST1100 price, at the bottom of the chart is W1Dow. The blue curve is the average index price over the last twelve months. We can see that the NWST1100 price and W1Dow price are above average.
Indexes Revision 6-5-2020
The Bi-weekly revision update both, the amount of each asset publicly available and any additions and deletions from the indexes. On the tables below there are additions and deletions from NWS30, NWSL100, and NWSM200. As we can see on the tables Loopring, botXcoin, and Homeros have improved their rankings they were added to NWSL100 and deleted from NWSM200. Playfuel and Cryptonex were deleted from NWSL100. New mid-caps are Xensor, GoldKeyCoin, CWV Chain … Other additions and deletions this week for the other indexes from the family are available in each index presentation.
We elect the member of the NWSL100 crypto index with the biggest jump in our ranking. We will look at how the market, rates the progress of the project in case of price changes. It seems important to us whether the project is out of the ordinary tide of crypto project prices. Considering an investor’s point of view, peer comparison should be efficient and effective. In order to make appropriate peer comparison, we gauged the Zilliqa (ZIL) Token with 2100NEWS Digital Assets 100 Large Cap Index (NWSL100). In the chart below, we see the ZIL compared to NWSL100 at the top, the box in the middle of the chart shows the original ZIL price, and at the bottom of the chart we see NWSL100 and the correlation between ZIL and NWSL100. On average (violet area chart), the relationship between ZIL and NWSL100 has shown that it was stronger during the recovery rally in May. ZIL has beaten NWSL100 by 195% in the last three months. However, if we compare the ZIL green area graph with the orange index area graph while observing the correlation graph, the correlation graph gives us an explanation that the correlation is weak (Pearson’s correlation coefficient = 0.51). ). ZIL was moving in the same direction as the NWSL100 but grew faster during the rally phase. It has been therefore a poor representative of the NWSL100 index in terms of price changes.
Zilliqa (ZIL) Website: https://www.zilliqa.com//
ZIL Large-cap Ethereum based Token is 38th in the 2100NEWS ranking. It is an Index member: NWST1100, NWSL100, NWSTo100, NWSET100
2100NEWS DA Orderbook Quality Evaluation Grade: Good: 19.3 (Average for Largecaps: 14.6)
Over the past week, the average market cap was 190.0 million $, the average daily volume was 73.2 million $.
Introduced in 2017, Zilliqa is centered around the idea of ‘Sharding’ and was designed to enhance the scalability of cryptocurrency networks such as Ethereum. Sharding is analogous to the concept of ‘divide and conquer’, where transactions are divided into smaller groups for miners to perform parallel transactional verification. The upshot of this is the ability to reach consensus more quickly, which would increase the number of transactions in a given period. According to the white paper, transactions speed could scale to approximately 1000x that of Ethereum’s network. Zilliqa’s high throughput means that developers can focus on fleshing out their ideas rather than worrying about network congestion.