OMG recently suffered an 80% drop after making new local highs. That recent high was finally challenged the other day. Now we can finally start talking about the 2018 levels to get a sense of where the next major resistance will likely be
Back in April of 2018, OMG was trying to rally to $24.80 but died in the $23’s. If OMG can continue to trade above $18.43 for a few days then we look to $23.35 as an area for the next big take profit. If that goes well, then we look to $29.63 – the current All-Time High.
OMG ain’t the only game in town we talked about already.
Volume does play a factor when dealing with some of these coins – AXS and OMG are no problem at all but XTZ could use a bit more volume on the trading floor. Still absolutely ok to trade for non-whales.
So if these guys are moving well – does that mean BTC is as well?
Not exactly. Bitcoin is cooling off after that $4500 candle the other day. The problem is that its taking a break under resistance. No clear breakout is never really a good thing. Some coins will take advantage of the sideways action and others will start to decouple from Bitcoin itself. In any event, there isn’t much to discuss until a major level gets broken.
In other news:
MATIC passed ETH for the first time ever in regards to active users. Anyone who has moved anything on the ERC-20 Network over the past year has felt the pains of GAS. GAS is what is required to have your transaction submitted to the blockchain. The miners who continue to run the Ethereum Network take a portion of that GAS for themselves. The problem is that the GAS is way out of control. Anywhere between $1-3 would be considered reasonable but not too long ago it would cost you $100 in ETH to move $1 on the ERC-20 Chain. That’s just plain stupid.
So, here comes BSC, MATIC, SOLANA and FANTOM. Chains that will move the same amount of money for anywhere from a few dollars to fractions of a penny. You may think there is a downside to this and there is but the overwhelming savings for the end-users is simply undeniable. MATIC positioned itself not only as a side chain but a layer 2 protocol that can sit above ETH. This allows users to stay on the ERC-20 chain but has much smaller fees when moving things around, like NFTs.
SOL and FTM stand alone as separate chains. These have separate projects, wallets, vaults, nodes, etc. Their ecosystem is entirely different and they plan to carve out a new future for on-chain transactions, especially in the De-Fi space. ETH may be considered legacy but the coin hasn’t gone anywhere yet. However, MATIC flipping the board could be the first sign that ETH either needs to change its structure or the people will simply stop using it.