Last week, NWST1100 soared 21.26%; the index moved over 143-day EMA on Wednesday and exited the bearish trend, which lasted almost three months. Perpetual Protocol (PERP) Token is a member of the NWSL100 crypto index that made the most significant jump in our ranking over the last two weeks.
*Below, we present a standardized weekly report and next week’s outlook. First, we gauge the market’s crypto market breadth and direction by showing charts 2100NEWS Digital Assets Total Index (NWST1100), which measures 1100 (by market capitalization) major crypto assets’ performance. The information-laden chart is difficult to read initially, but the chart shows essential price information, crucial decisive price levels, momentum, trading volumes, and crypto market breadth.
The previous report showed that our assumption for the last week had been: the second test of resistance represented by 143-day EMA was more likely (+7%). A serious toll took many liquidated bears; a short squeeze opened up the prospect of run higher. The NWST1100 chart shows that the assumption proved to be correct. In retrospect, the NWST1100 index had moved over the resistance represented by 143-day EMA on Wednesday, and exited the bearish trend, which lasted almost three months. The Momentum indicators at the top show: RSI, PPO histogram, PPO lines, and the Breadth indicators at the bottom of the chart have risen.
The chart on the right shows breadth indicators: Two A50R lines were overbought. Ethereum Tokens and Large caps indexes’ A50R lines were changed from oversold to overbought in one week. Two weeks ago, we warned investors to use oversold conditions as buying opportunities.
* 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. The chart on the right side 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)
Outlook for this week
Looking ahead, the RSI is 71 (bullish); PPO lines, the Breadth indicators, at the bottom of the chart, may continue direction, RSI and PPO histogram bars may change direction in the coming days. My opinion is based on this constellation: 143-day EMA flipped to support, markets could start a consolidation; however, the trend is upward.
Performance of various groups of Digital Assets (Coins and Tokens)
The table shows that the total (NWST1100) index soared 21.26% during the last week. Bitcoin and Ether led the markets up. The chart shows that all groups of coins and tokens, represented by 2100NEWS indexes, have reported gains since the end of Jun.
Crypto (Digital Assets) compared with global equity
The chart 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. Their quotient hit a record high more than three months ago; however, it plunged by 45%, which means that shares were a better investment for four months, but this changed two weeks ago. The Percentage Change Marks on the chart show that this year NWST1100 outperformed W1Dow by 107.2%, while over the last 12 months, NWST1100 was 276% higher. The blue curve is the average index price during the previous twelve months. We can see that the NWST1100 spot price and W1Dow price are above average, but the NWST1100 spot price is 42.7% higher than twelve months index average price. That means: If we bought one NWST1100 every day over the last twelve months, our investment is recording 42.7% gains today.
*The box in the middle of the chart shows the original NWST1100 price; at the bottom of the chart is W1Dow.
Indexes Revision 7-30-2021
The Bi-weekly revision update both the amount of each asset publicly available and any additions and deletions from the indexes. Perpetual Protocol improved its ranking; it was added to NWSL100, so it was deleted from NWSM200. Loopring was deleted from NWSL100, and it is a new member of NWSM200. New mid-caps are Clover, Gala, and Aavegotchi.
We gauged the Perpetual Protocol (PERP ) Token with 2100NEWS Digital Assets 100 Large Cap Index (NWSL100) to make an appropriate peer comparison. On average (violet area chart), the relationship between PERP and NWSL100 has shown that it was more potent over the last three months. PERP has outperformed NWSL100 by 180% during the previous three months. First, however, let’s compare the PERP green area graph with the orange index area graph while observing the correlation graph. The correlation graph explains that the correlation is weak (Pearson’s correlation coefficient = 0.23). For 90% time, It was moving in the same direction as the NWSL100, so it has been an ordinary representative of the NWSL100 index in terms of price changes.
*We elect the member of the NWSL100 crypto index with the most significant 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.
Perpetual Protocol (PERP) Website: https://www.perp.fi/
PERP Large-Cap Ethereum based Token is 95th in the 2100NEWS ranking. It is an Index member: NWST1100, NWSL100, NWSTo100, NWSET100, NWSDM100
2100NEWS DA Orderbook Quality Evaluation Grade: Poor, 13.4 (Average for Tokens: 14.3)
Over the last week, the average market cap was 479.5 million $, and the average daily volume was 62.2 million $.
Perpetual Protocol is a decentralized perpetual contract protocol for every asset, made possible by a Virtual Automated Market Maker (vAMM). Like Uniswap, traders can trade with our vAMMs directly without the need for counterparties. The vAMMs provide guaranteed on-chain liquidity with predictable pricing set by constant product curves. The vAMMs are also designed to be market neutral and fully collateralized. PERP holders can become stakers by staking the PERP tokens in their possession to a Staking Pool. In return, stakers are rewarded with a portion of the transaction fees in stable coins plus staking rewards in PERP.
*The chart below shows the PERP compared to NWSL100 at the top, the box in the middle of the chart shows the original PERP price, and at the bottom of the chart, we see NWSL100 and the correlation between PERP and NWSL100.