Goldlight Research empowers you to trade cryptocurrency like a pro in less than an hour a week! Our paid subscribers get asset reports and live trade opportunities every weekday. (Mon - XLM, Tues - EOS, Thurs - BTC, Fri - ETH). Free subscribers get access to our Industry Recap and can see all of our closed trades to learn from.

We’re right over 85% of the time (so far) - and we always update our trade opportunities as targets or thresholds are hit so you can keep up with (and beat) the market. If you’re ready to start winning more - subscribe today!

Starting Monday August 26th, ALL active trades and reports will be for subscribers only.

Try a membership, your first month is free!

Ethereum this past week is roughly in line with Litecoin (-17.2%) and Ripple (-15.1%), just slightly underperforming EOS (-14%). This week we issue a SELL on ETH for the following reasons:

Price is slowly descending into a large zone of support

There is a lack of speculative traders discussing ETH price movement suggesting little market demand

Bitcoin dominance is above 70% again, making investors are fearful about altcoin performance

Rating: SELL

Ethereum Market Cap: $19.9B

Ethereum Price: -11.9% ($210.49 to $185.51)

ETH Active Addresses: -6.7% (326k to 304.1k)

ETH On-chain Transactions: -4.5% (721.8k to 689.1k

Technical & Sentiment:

Sentiment suggests price is to trade sideways as there are a lack of retail traders speculating a price direction

Price analysis suggests we are headed lower into a zone of strong support

Positive Price Drivers:

Continued ERC-20 token developments are increasing the user base of the ETH network, increasing market demand for ETH

ETH developers are more committed than ever to develop ETH 1.0 and upcoming 2.0, with the largest crypto developer team in history

Negative Price Drivers:

Bitcoin gaining market dominance over 70% can put increasing pressure on the altcoin market until it begins losing dominance again

Concerns about the timeline of ETH 2.0 and scalability issues of ETH 1.0 until the successful mainnet launch

ETH Price Analysis: SELL ETH as the price is to decline to $140-$165.

Track & Learn more about this trade: https://tradecipher.substack.com/p/aug-16-eth-price-analysis/comments

On a macro level:

IF this happens, then we buy:

Vitalik announces new developments on ETH 2.0 that ensure rapid adoption by the new developers and institutions alike, like new interoperability

EOS loses developers and its community & user base due to centralization concerns of block producers

IF this happens, then we sell:

ETH 2.0 get's delayed again by the official dev team

Ethereum Foundation receives significant negative sentiment around the transparency of their funds and effectiveness as a method for marketing ETH, leading to new votes about a change in structure and a possible soft fork

ETH Sentiment: Sentiment to continue trading sideways as the market dries up.

Sentiment has been trending at monthly lows (1) as price declines, suggesting retail traders are not interested in ETH

Price is likely to decline as directional price movements in ETH has barely shifted sentiment indicating negative overall sentiment

Price Drivers This Week

The Dominant Smart Contract Platform

The Ethereum developer community accounts for 18% of all crypto developers as of June 2019. This is a huge number considering that there are over 1,600 active crypto projects ongoing. ETH is taking the developer community by storm with developer numbers just under the Apache projects. The ETH ecosystem has 4x the developers of the next biggest ecosystem which happens to be smart contract platform EOS. Year over year Ethereum gained 79 new developers for the core protocol while Bitcoin lost 4 developers. This change suggests a growing interest in the core technology of ETH as development heads into the launch of ETH 2.0 dubbed as the savior of Ethereum. Year over year, in raw numbers, EOS lost the most developers this past year at 30, while it percentage terms it was only 8th from last at 12% of developers lost. These developers are a year out from the mainnet launch of EOS and it is likely they have withdrawn from cryptocurrency development in total and not just switched platforms as we have seen with ETH.

The market cap of ETH is equivalent to that of the 10 smart contract platforms that follow it in rankings. Giving a sense of market dominance, ETH has a major leg up in the market compared to the closely following EOS. Between being the first to the market in launching a smart contract platform, and the greater decentralized nature of the network, many choose to develop on ETH. This community of Solidity language developers is expected to remain stable until ETH 2.0. Given the scalability and throughput issues of ETH 1.0, developers have been switching to faster protocols like EOSIO. Should ETH 2.0 have the speed and power that developers hope, ETH may continue to grow on their monopoly of crypto developers.

206,533 Tokens

There are now over 200,000 ERC-20 smart contracts deployed on the Ethereum network, valued at over $15B. Ranging from betting games to non-fungible tokens the dApp variety is large. The power of ERC-20 assets has impacted the crypto world tremendously. During the 2017 bull run, ETH was singlehandedly responsible for the Billion dollar ICO craze, leading to the mainstream notoriety of the ETH platform. Smart contracts were revolutionary to cryptocurrency when Ethereum first ICO'd. With the Solidity programming language, ETH becomes more than just a payment but a method to facilitate transactions and record balances. As the user base for the tokens built on ETH continues to increase, they are expected to bring more value for the Ethereum blockchain in years to come.

New Developments

New developments in ERC-20 tokens such as the Maker integration with Argent wallet, allows for the lending of cryptocurrency assets such as DAI, returning over 10% interest. As developments in Decentralized finance continue to increase both technologically and accessibility, there is an increasing potential for ERC-20 tokens to radically shape the new global economy. Recent blog posts by Coinbase Commerce discuss how they are using the ERC20 smart contract platform to efficiently accept USDC payments, while effectively reducing transactions costs by 47%, these savings on millions of dollars in transactions a day can add up significantly, saving both the consumer and the client money.

What the top personalities on Twitter are saying:

@CryptoLeb with 559 followers believes ETH is to decline to $135.

@RyanSAdams with 13.3k followers believes ETH price will soon catch up with the increasing open accounts

@lexlewis1981 with 1,665 followers is currently market neutral. He notes two possible trends.

That’s it for the Ethereum weekly report from August 9 - August 16, 2019. Make sure to stay tuned to get Mondays XLM report.