BeInNews Academy Ltd © Street: Suite 1701 – 02A, 17/F, 625 King’s Road, North Point. Hong Kong.
At BeInCrypto, we offer regular technical analyses in which we compare the price fluctuations of major cryptocurrencies against publically traded cannabis companies. For the week Apr 18-25, we compared (BTC) against Canopy (CGC)—the first Canadian marijuana company— and Cronos (CRON)—first publicly traded cannabis company listed on NASDAQ.
CGC proved to be the week’s winner with price increases of 5.5%. BTC followed in second with gains of over 3.4% while CRON finished last with gains of under 1.2%.
In this analysis, we include(ETH) in our analysis.
CGC reached a low of $49.27 on Apr 26. It increased to a high of $52.72 on Apr 30, Since then, it has been trading inside a descending channel with resistance near $45 and support near $42:
The resistance and support lines have been touched four and three times respectively during this period.
The highlighted part of the graph is the price of CGC during the week of May 9-May 16. During this period, CGC has experienced price decreases
At the time of writing, the price is trading very close to the resistance line near $45.
CRON reached a low of $15.8 on May 9. A rapid decrease took it to $13.9 during the same day. Since then, the price has been trading inside the symmetrical triangle we have outlined below:
The highlighted part is the price of CRON during the week of May 9-May 16. During this period, it has seen price decreases.
At the time of writing, the price was trading at $15.5, very close to the resistance line.
The price of BTC reached a high of $7445.0 on May 12. A decrease brought it to a low of $6880.0 on May 13.
Since then, the price has been trading inside an ascending channel, with gradual movement between the resistance and support lines.
Price broke down from the channel on May 16.
During the measuring period of May 9 – May 16, the price of BTC has experienced significant increases.
At the time of writing, the price is trading close to $7831, below the support line of the channel.
The price of ETH made a low of $174.5 on May 11. A gradual increase began, which intensified on May 14. On May 16, the price reached a high of $272.68
It has been following the ascending support line outlined below:
The support line has been touched five times. During the measuring period of May 9 – May 16, the price of ETH experienced enormous increases.
It is currently trading near $250, high above the ascending support line.
The price fluctuations of BTC (Candlesticks), ETH (orange line), CRON (blue line), and Canopy (yellow line) are now compared at one-hour intervals from May 9 to May 16 in the graph below. The right-hand scale presents the percentage increase/decrease of the three assets during this period.
The prices of BTC and ETH have experienced rapid decreases. Bitcoin was leading up to May 15, with an increase of 30%, compared to about 25% for ETH. Until that point, the price movements were mirroring each other with a slightly higher rate of increase for BTC.
However, since May 15 ETH has accelerated its increase, while BTC has decreased slightly. ETH had the highest rate of increase at around 41.1%. BTC increased by about 27.7%.
The prices of CRON and CGC have alternated between stagnation and slight decreases. However, the decreases have been sharper for CGC. Therefore, CRON is in third place this week, with decreases of 2.64%, while CGC is our loser, with decreases of 5.85%.
Our results are summarized below:
|Winner||Blockchain is a digital ledger that’s used for storing data on several servers across the world in a decentralized, trustless... More||Cryptocurrency||+41.1%|
In Apr 25’s analysis, we assumed that the “marijuana industry is similar to the concurrency industry in regards to volatility”. However, rapid increases by the cryptocurrency market are putting that assumption into doubt.
Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile.
Do you want to Be In Crypto?Join our Telegram Trading Group for FREE Trading Signals,a FREE Trading Course for Beginners and Advanced Tradersand a lot of fun! Images courtesy of Shutterstock, TradingView and Twitter.