Crypto Academy / Season 3 / Week 5 - Homework Post for @imagen (Market Patterns and Blockchain Projects)

Today I will try to join the class of professor @imagen, about Market Patterns and Blockchain Projects. This is a very interesting class. well, I will do the homework by answering some of the questions given.

Background from canva

Axie Infinity (AXS)

Investment of Axie Infinity (AXS)

I will try to invest AXS coins using my exchange account (Upbit).

• Due to Upbit exchange accounts do not support AXS/USDT exchange, I tried to see the price of USD to IDR. so the price of $1 is equal to 14,460 IDR.

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• Due to Upbit exchange accounts only support AXS/BTC, I tried to buy with AXS/BTC.

• Here I will try to buy 0.51 AXS by exchanging 0.00054 BTC. if we look at the price in USD it is 328.927 IDR or equivalent to $22.74

• the transaction has been completed and I got 0.49 AXS because it has been deducted as shown in my wallet below

Reasons to Choose AXS

Axie Infinity is one of the most popular cryptocurrency projects, this project is based on the game industry which can be said to have a very large chance of increasing the price of its coins in the future. so it can be said that Axie Infinity is one of the coins that are very suitable for investment.

at this time many countries are being hit by a pandemic, making people's interest in investing in cryptocurrencies very large. plus to spend their daily time a lot of people who spend time playing games. therefore many people are trying to invest and play the game at the same time. one way is to play the game Axie Infinity. by playing this game we will get AXS coins by exchanging Axies which are virtual pets that we make in the game.

With the increasing demand for tokens, the opportunity to increase the price of this coin will be even greater. I think this project has succeeded in attracting investors who like the game sector to invest in the game.

The following is evidence during a pandemic like now this coin has a very high price increase, which we can see in the chart below

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Market Cap and Rating of Axie Infinity (AXS)

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so I tried to see from the data I saw on coinmarketcap, from the data we can see that the market capitalization of AXS is $2,676,531,191. This is obtained from the AXS price of $43.94 multiplied by the circulating supply of $60,907,500. the coin also has a trading volume in the last 24 hours of $1,346,487,138.

to rank AXS compared to other cryptocurrencies it is ranked 40th in the market. so it can be said that this coin is quite popular among other cryptocurrencies because it managed to rank in the top 50 in the market.

Founder, Roadmap, and Goals the Project of Axie Infinity (AXS)

Axie Infinity is a project founded in Vietnam and developed by a game studio called Sky Mavis. Here are some of the founders of the Axie Infinity project

• Trung Thanh Nguyen

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Trung Thanh Nguyen is the CEO of the Axie Infinity project, Trung has a wealth of experience in this field such as developing Lozi which he has successfully developed.

• Aleksander Leonard Larsen

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Aleksander Leonard Larsen is the CoO of the Axie Infinity project, Aleksander also has a lot of experience in this field such as having served as a secretary at the game Alliance which is on a blockchain network.

• Tu Doan

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Tu Doan is the person in charge of design and art in the game Axie Infinity. he also thought up the concept to run this game

• Jeffrey Zirlin

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Jeffrey Zirlin is the person responsible for the development and growth of this project, Jeffrey is the person who successfully pioneered the token design on Axie Infinity.

Alright let's take a look at the roadmap of the Axie Infinity project

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The roadmap of Axie Infinity is closely related to the development carried out in the game we can see in the first quarter of 2020 this project develops in-game items that are transferred to ronin. in the second quarter, the focus is on developing the game, Axies or pet items are also transferred to ronin and the development of Origin Alpha. in the 3rd quarter of 2021, there will be AXS coin staking. From the end of 2021 to early 2022, there have been many major developments and the game can already be played on Ios and Android. and in 2022 it can be perfected and played.

The purpose of this project is to introduce and attract game lovers to invest while being able to play games. This is a very promising project. Axie Infinity is a Blockchain-based game whose game system is like the pokemon game we know. so we can raise pets and we can start a fight with other players. These pets are often called Axies which can be sold and earn AXS coins.

Evening Star Pattern

source from tradingview

The evening star candlestick pattern is a pattern that marks a price reversal. this is a reversal signal from a bullish period and will change to a bearish period. if we see the evening star pattern it is highly recommended to sell our assets for profit. This is because buyers are not able to control the market and are taken over by sellers so that the pattern reverses. The characteristics of the evening star pattern are as follows.

• first appears a bullish candle which has a standard shape that indicates the price is rising.

• Then a small Doji candlestick appears which indicates the price will reverse.

• After that, a bearish candlestick appears which has a standard shape and is almost the same as the first candlestick which indicates the price will go down.

Usually, the evening star pattern occurs at the resistance level. and usually, when this pattern is formed it will change to a bearish period, while the Hit rate is 70%.

Abandoned Baby Pattern

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Bullish Abandoned Baby

The Bullish Abandoned Baby candlestick pattern is a price reversal pattern, this occurs when a bearish period will turn into a bullish period. it is highly recommended to buy the cryptocurrency asset when this pattern appears. The characteristics of the bullish abandoned baby pattern are.

• the first candlestick is a long bearish candlestick that shows the price is falling

• the second candlestick is a small Doji candlestick and has many gaps with the first and third candlestick.

• The third candlestick is a long bullish candlestick and indicates the price will go up.

Bearish Abandoned Baby

Bearish Abandoned Baby candlestick pattern is a price reversal pattern, this occurs when a bullish period will turn into a bearish period. it is highly recommended to sell the cryptocurrency asset when this pattern appears. as for the characteristics of the bearish abandoned baby pattern.

• the first candlestick is a long bullish candlestick which shows the price is rising

• the second candlestick is a small Doji candlestick and has many gaps with the first and third candlestick.

• The third candlestick is a long bearish candlestick and indicates the price is going down.

the abandoned baby pattern is a reversal pattern like the evening star and morning star patterns, the difference is that it is found in the second candlestick which has a gap between the first and third candlesticks. The hit rate for the abandoned baby pattern is 65% - 70%.

Technical Analysis of Bitcoin

3-day Technical Analysis (Bitcoin)

source from tradingview

well, from the BTC chart for the last three days above, we can find two patterns, namely:

• Morning Star Pattern
  this pattern is a price reversal pattern from a bearish period to a bullish period, this is a price reversal that changes from sellers to buyers who are more dominant in the market. Usually, when this pattern is formed it will trigger the next pattern into a bullish period.

• Three White Soldiers
  this pattern is a pattern when the bullish candlesticks occur continuously and have a large shape on each candlestick, it is a very large buyer pressure on the market that causes this pattern to form. so when this pattern has formed the opportunity for price increases is very large.

7-day Technical Analysis (Bitcoin)

source from tradingview

well, from the BTC chart for the last seven days above, we can find two patterns, namely:

• Three White Soldier Pattern
  this pattern also occurs on the last seven days' BTC chart. this pattern is a pattern when bullish candlesticks occur continuously and have a large shape on each candlestick, it is a very big buyer pressure on the market that causes this pattern to form.

• Three Black Crows
  the second pattern formed from the BTC chart for the last 7 days is the Three Black Crows pattern, this pattern is formed marked by the appearance of successive bearish candlesticks on the chart. This is due to seller pressure on the market.

Conclusion

For a trader to analyze before trading is the most important thing to do, by doing some analysis such as doing fundamental analysis to find out which coins to invest is something that needs to be done first to find out the potential for a coin to increase in price in the future. Technical analysis is also very much needed such as analyzing the formation of patterns on a selected cryptocurrency chart.