2100NEWS WEEKLY CRYPTO REPORT Nov-6

The NWST1100 index has surged by 6.39% over the previous week and has continued the rally. Klaytn (KLAY) Large-cap Coin is a member of the NWSL100 crypto index, making the most significant jump in our ranking over the last two weeks.

*Below, we present a standardized weekly report and next week’s outlook, prepared based on the Theory Swingtum 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) significant 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 last week’s assumption. “The continuation of the rally with higher volatility and a move to Pivot R1 was likely.” The hypothesis proved to be correct. The NWST1100 chart shows the index price slid after the Federal Reserve raised its benchmark interest rate by 0.75 percentage points; the index tested the 10-Day EMA and then resumed the rally. Momentum indicators at the top show that PPO lines, RSI, and the Breadth indicators (at the bottom of the chart) have risen; the PPO histogram has flattened.

The chart on the right shows The percentage of digital assets trading above a 50-day moving average breadth indicator: Three A50R lines are overbought, NWST110 A50R line is at the midpoint and is headed to overbought territory, signaling that crypto markets rallied.

* 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:

1. 100 Large-caps members of NWSL100 (top box)
2. 1100 members of NWST1100
3. 100 Ethereum Tokens members of NWSET100
4. 100 Coins members of NWSCo100 (bottom box)

Outlook for this week

The waves are at least partially predictable due to their quasi-periodic nature. If we look ahead, the Momentum indicators give us the following signals: RSI is 70 (overbought); RSI, PPO histogram, and PPO lines may change direction in the coming days. The Breadth indicators at the bottom of the first (NWST1100) chart may flatten out. Higher volatility is expected because of the 2022 United States elections held on November 8. Based on this setup, I think the continuation of the rally with higher volatility and a move to Pivot R1 is likely.

Performance of various groups of Digital Assets (Coins and Tokens) 

The table shows that the total (NWST1100) index has surged by 6.38% over the last week. In the chart below, we can see Bitcoin, Ether, and the 2100NEWS Indices, which measure the performance of Ethereum-based tokens (NWSET100), Large caps (NWSL100), and Coins (NWSCo100). Ether has been the best-performing during the previous thirty days (+16.59%).

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 one year ago; however, it is 63% lower now. The Percentage Change Marks on the chart show that NWST1100 lagged behind  W1Dow by 59.1% over the last 12 months, while this year, NWST1100 was 49% lower. The blue curve is the average index price during the previous twelve months. We can see that the NWST1100 spot price is 40.1% lower than twelve months index’s average price. That means: If we bought one NWST1100 every day over the last twelve months, our investment is recording a 40.1% loss today. Global equity (W1Dow) spot price is 12.6% lower than twelve months index’s average price.

*The box in the middle of the chart shows the original NWST1100 price; at the bottom is W1Dow. 

Indices Revision 11-4-2022

The Bi-weekly revision updates the amount of each asset publicly available and any additions and deletions from the indexes. Aptos, GMX, and Klaytn improved their ranking; they were added to NWSL100 and deleted from NWSM200; Gala, IoTeX, Harmony, and Oasisis Network were deleted from NWSL100. New mid-caps are Illuvium, SafeMoon, Sweat Economy, etc. Additions and deletions for the other indices from the family are available in each index presentation.

Winner member

We gauged the Casper (KLAY) Large-cap Coin with 2100NEWS Digital Assets 100 Large Cap Index (NWSL100) to make an appropriate peer comparison. On average (violet area chart), the relationship between NWSL100  and KLAY has shown that KLAY was less potent over the last two months, and NWSL100 has beaten KLAY by 8% during the previous two months. First, let’s compare the KLAY green area graph with the index (orange area graph) while observing the correlation graph. The correlation graph explains the strong correlation (Pearson’s correlation coefficient = 0.85). It was moving in the same direction as the NWSL100; however, it has been a good representative of the NWSL100 index regarding price changes.

*We elect the member of the NWSL100 crypto index with the most significant jump in our ranking. We will examine how the market rates the project’s progress in case of price changes. It seems important to us whether the project is out of the ordinary tide of crypto project prices. Peer comparison should be efficient and effective, considering an investor’s point of view. 

Klaytn (KLAY) Website: https://www.klaytn.foundation/

Klaytn (KLAY) Large-cap Coin is 53rd in the 2100NEWS ranking. It is an Index member: NWST1100, NWSL100, NWSCo100

2100NEWS DA Orderbook Quality Evaluation Grade:  Ordinary, 15.9 (Average for Coins: 15.4)

Over the last week, the average market cap was $753.4 million, and the average daily volume was $100.4 million.

*The chart below shows the KLAY compared to NWSL100 at the top, the box in the middle of the chart shows the original price, and at the bottom of the chart, we see NWSL100 and the correlation between  KLAY and NWSL100.