Qtum Price Prediction 2018
Cryptocurrencies are an extremely hot topic at the moment, and that is why I am currently focusing on providing a technical Qtum coin price prediction. This would involve using the Qtum price chart to forecast where Qtum coin could potentially go in the coming year.
The last time I saw this type of enthusiasm and admiration for an asset class was in the late 1990s when the dot-com bubble gripped the markets. This era was very fruitful for tech investors and the returns in cryptocurrencies are dwarfing those gains in comparison. Under such conditions, my mantra is to strike the iron while it’s hot but maintain a disciplined approach at the same time.
This involves using the skills that I have been refining for nearly two decades, which involves using technical analysis to determine whether or not an asset is set to appreciate to depreciate in the not-too-distant future.
Before I delve into the Qtum price chart, let me briefly explain what Qtum coin is exactly.
What Is Qtum Cryptocurrency?
Qtum coin, which is pronounced quantum, is an amalgamation of the best aspects of Bitcoin and Ethereum technology. The end product is a decentralized cryptocurrency that is able to provide smart contracts like Ethereum but is built on Bitcoin’s UTXO transaction model. In essence, while Bitcoin and Ethereum are battling for dominance as the top tier cryptocurrency, Qtum provides an alternative to both in one convenient application.
Qtum Price Analysis
The following Qtum price chart illustrates the technical price pattern I am currently watching, which will determine the direction Qtum coin will take in the coming year.
Chart courtesy of TradingView.com
The pattern highlighted on the Qtum price chart is a symmetrical triangle and this pattern has been in development since August, right after Quantum’s initial coin offering (ICO). The lows in August were $5.06 and the high later that month was $21.76. From then on, the price action has been characterized by higher lows and lower highs, which is the exact characteristic that defines a symmetrical triangle.
Defining and capturing this pattern is accomplished by using two converging trend lines. These trend lines are created by connecting the series of lower highs and higher lows. The upper trend line defines price resistance, while the lower trend line defines price support.
Symmetrical triangles are very special patterns because they are particularly powerful price patterns. As this pattern develops, the range between support and resistance begins to contract, causing energy to be stored within the pattern. The longer this pattern is in development, the more energy is stored within it. In order to release this energy, the price needs to either break above resistance or fall below support. A completed pattern implies that a violent move in price is expected to follow, which will allow for a Qtum price forecast for 2018
Early last year, many cryptocurrencies were exhibiting similar characteristics, and once these patterns were resolved, a powerful move towards higher prices followed. The catalyst that will finally result in a resolution to the price pattern on the Qtum price chart could range from pertinent Qtum news to just further enthusiasm for this sector. Currently, a close above $15.50 would suggest that a move towards higher Qtum coin prices is on the horizon, while a close below $8.50, would suggest lower prices.
Now that I have outlined the triggers I would be looking for to suggest a move is in the making, there are a number of strategies one can employ that involve buying this cryptocurrency, which is not so straightforward if you have never ventured into this space.
How to Buy Qtum?
In order to purchase Qtum coins, a Qtum wallet is required. The wallet tracks both incoming and outgoing transactions, and it also provides the ability to both send and receive Qtum. Acquiring a wallet is as simple as downloading the applicable software.
For those like myself, who are not as computer-inclined, digital currency exchange Bittrex can help. It provides the wallet and the means to buy and sell Qtum coins on its exchange. Qtum coins can be exchanged for Bitcoins or Ethereum, which means you will need to acquire one of these cryptocurrencies in advance before acquiring a position in Qtum.
With that in mind, paying attention to the exchange between QTUM to BTC, and QTUM to ETH is very important especially on a relative basis. Currently, the QTUM to BTC rate is at 0.0017, while the QTUM to ETH rate is at 0.0349. On a relative basis, Qtum has fared better versus Ethereum, because while a large proportion of cryptocurrencies have consolidated their gains from earlier this year, Bitcoin has gone on to forge new highs.
Qtum Staking: What Is the Purpose?
Once you have acquired your coins in your wallet, there are perks of holding Qtum, and this perk involves staking. Staking is similar to holding your money in a bank account and earning interest on it. The longer term the deposit, the more interest you earn.
This process is actually quite easy. All you need to do is keep your Qtum coins in an open wallet, and run a node.
The purpose of staking is used to confirm the transactions in the network, much like mining, but the process is different. This process is called proof of stake (POS).
In order to produce a Qtum price prediction for 2018, I am currently watching the trading action, because a technical price pattern is in development on the Qtum coin price chart. The resolution of this pattern will determine whether or not this cryptocurrency will set on a path towards higher prices in 2018.