The NWST1100 index rose 3.01% over the last week. Bitcoin and Ether have led the crypto markets upward. Ethereum Tokens represented by the NWSET100 index (+32.03%) have been the best performers in the last month.
*Below, we present a standardized weekly report and next week’s outlook, prepared based on Swingtum Theory of intelligent finance. We gauge the crypto market’s 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: “An upward move to Pivot R2 (+11%) was likely; however, a pullback (-10%) would follow in the second leg”. The NWST1100 chart shows the ascending channel; the index had topped but did not reach Pivot R2; in the second leg, a pullback followed. The Momentum indicators at the top show: PPO lines, RSI, and the PPO histogram have fallen, the Breadth indicator at the bottom of the chart has flattened.
The chart on the right shows The percentage of digital assets trading above a 50-days moving average breadth indicator: Three A50R lines are overbought. Large caps were overbought. The graph tells us that the upward trend could resume.
* 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
If we look ahead, the Momentum indicators give us the following signals: the RSI is 62 (bullish); PPO lines, RSI, and PPO histogram bars may change direction; the Breadth indicators, at the bottom of the chart, may continue rising in the coming days. The waves are at least partially predictable due to their quasi-periodic nature. My opinion is based on this setup: an upward move to the Upper Channel is likely. The index price may test the previous high, but a test of support, represented by the lower channel line, is also possible.
Performance of different groups of Digital Assets (Coins and Tokens)
The table shows that the total (NWST1100) index rose 3.01% over the last week. Bitcoin and Ether have led the crypto markets upward. The chart shows that Ethereum Tokens represented by the NWSET100 index (+32.03%) have been the best performers in the last month.
Crypto (Digital Assets) compared with global equity
The chart compares the performance of the average Digital Asset (Coins, Tokens) represented by our NWST1100 index with the average global share represented by the Dow Jones global W1Dow index. Their quotient hit a record high last week; however, it is 7% lower now. The Percentage Change Marks on the chart show that NWST1100 outperformed W1Dow by 239.7% this year, while over the last 12 months, NWST1100 was 429% 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 66.6% 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 66.6% gains today.
*The box in the middle of the chart shows the original NWST1100 price; at the bottom is W1Dow.