Over the last week, NWST1100 rose by 0.84%, the index price moved up during the first four days of the week then upside momentum succumbed to bearish pressure. This year NWST1100 outperformed W1Dow by 67.5% while over the last 12 months, it was 31.3% higher.
*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 the last week had been: a move upward was more likely, the market could reach R1 resistance. The NWST1100 chart shows that the assumption proved to be incorrect, the index moved up during the first four days of the week, it did not establish any kind of sustained attempt to move to R1. Then the index price has been hovering near the upper Keltner Channels indicator’s line, 14-day RSI lines (upper box) has changed the slope. That was a sign that upside momentum succumbed to bearish pressure. Buyers were not strong enough. At the top we see momentum indicators: PPO lines are sloping up but the PPO histogram is sloping down, Breadth indicators at the bottom have flattened out. The chart below compares the percentage of DA trading above 50 days EMA for:
- 100 Large-caps members of NWSL100 (top box)
- 1100 members of NWST1100
- 100 Ethereum Tokens members of NWSET100
- 100 Coins members of NWSCo100 (bottom box)
over the last 10 months. All four A50R lines are under the green oversold border. *The percentage of digital assets trading above a specific moving average is a breadth indicator that measures internal strength or weakness in the underlying index.
Outlook for this week
Looking ahead, the Momentum indicators give us the following signals: the RSI is 55; PPO lines may continue direction in the coming days. At the bottom of the chart, we see the Breadth indicators that may continue rising. This constellation is the basis for my opinion: the sideways trend is more likely, but the index could attempt to move up to R1.
Performance of different groups of Digital Assets (Coins and Tokens)
The crypto markets picked up different directions, tokens fell, coins remained at the same level while Bitcoin and Ether grew over the last week. The table shows that the total (NWST1100) index rose by 0.84%.
Crypto (Digital Assets) compared with global equity
We have already shown the superiority of crypto investments as a new investment class. For the sake of objectivity, we review various timespans, however, the chart shows that crypto investments are superior over various timespans. The chart below compares the performance of the average represented by our NWST1100 Digital Asset index with the average global share represented by the Dow Jones global W1Dow index. The Percentage Change Marks on the chart shows that this year NWST1100 outperformed W1Dow by 67.5% while over the last 12 months, NWST1100 was 31.3% higher. The blue curve is the average index price over the last twelve months. We can see that the NWST1100 spot price is 27.1% higher than twelve months index average price. This means: If we bought one NWST1100 every day over the last twelve months, our investment is recording 27.1% gains today.
*The box in the middle of the chart shows the original NWST1100 price, at the bottom of the chart is W1Dow.