DCU - Dash & Monero Rocket (26th Aug '17)

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Sorry for the lack of a Daily Update these last two days. I had a 25-hour drive across Spain and didn't get a chance to pull something together, and then since I have been back, I have been working hard at reorganising my portfolio. 

This is quite a lengthy project and will be in three stages over three days. I completed Stage 1 today which was to reorganise my investment tiers; you can read about this here and see my updated portfolio here.

As I have been offline for a couple of days I have missed writing two Daily Crypto Updates, therefore below is a 72 hour update:

Market Performance (Global Market Cap):

  • 72-hour gains: +2.8%
  • August gains: +66.8%
  • Year to date gains: +777.8%

Portfolio Performance:

  • 72-hour gains: +7%
  • August gains: +74.9%
  • Year to date gains: +1,393.4%

Trades

I have made the following trades today:

  • First Blood: -11.3% (I sold my entire holding for a loss - I have been holding this for ages and it is doing nothing).
  • Round: -68.6%% (I sold entire holding for a huge loss - it feels like the project is dead).
  • Dash: +1,833% (I sold 12.5% of my holding for a huge profit. Dash has pumped hard recently and hit the predicted third wave. The position I sold was initial purchase at £13.80, sold for £269.58).

My portfolio made a very nice jump of +7% over the last 72 hours, mainly on the back of big jumps by Dash and Monero. I was able to lock out a whole month of income with my 5% for 25% off the table part of my strategy.

I am now outperforming the market in every time frame:

  • Day (72-hour today): on the back of huge jumps by Monero and Dash I gained 7% against the market jump of 2.8%
  • Month: my long term stable coins have really come good this month, where previously missing out on some new investments such as OmiseGo and Qtum I was tracking behind I am now just ahead
  • YTD: I am way ahead of the market for the year, where earlier in the year and the market was much smaller, my investments in the likes of Ripple and Digibyte helped me, the larger stable coins have come good recently

Global Market Cap

Having broken through the $145bn resistance, the global market cap has continued up, peaking at $156.5bn and while it has traded sideways today, holding certain investments will likely still have seen some portfolios make significant gains. My portfolio was up 5.7% today while the global market cap moved sideways.

The latest wave of market cap growth, following the June/July correction and Bitcoin hard fork is less erratic than April/May. I am feeling more comfortable with market gains though remain cautious and continue to take money off the table. The fast gains earlier in the year were peppered with massive 20-30% single day drops; we are not seeing this right now. There could be some reasons for this:

  • Investor confidence
  • Investor experience
  • Wider investor base

Whatever the reason is, these market conditions are good for all investors but we all must accept we can't go up forever, and as such, a market correction may come at any point.

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Dash

My fav coin, up another 21% today and over 125% in the last month. While there are detractors who hate the Instamine and claim that the masternodes artificially restricting supply, I suspect these detractors are those who missed out. Dash has so much going for it and is arguably a better Cryptocurrency than Bitcoin. 

In an article widely circulated this week where Crypto investors identified their favourite long term picks, Rafe Furst, Chief Investment Officer at The Crypto Company picked out Dash, and he explained why he liked it perfectly:

"I like Dash because of its focus on consumer-friendliness and its flexible, decentralized governance protocol. For example, it took just 24 hours for the Dash community to approve a proposed blocksize increase back in 2016, while the Bitcoin community took three years to address its scalability problems, and the debate ended in a hard fork."

I have been buying and holding Dash since £13.80 and will continue to hold long. I had a price target of $500 this year, but since we have broken through $400 today, I think a +$600 target this year is easily achievable.

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Monero

I have often stated how I think Monero is underpriced and it has been making great gains since it was announced that it would be added to Bithumb. It will remain to be seen how much of the gains have been priced in ahead of trading going active on the exchange tomorrow. The price has jumped over 150% this week.

I initially invested in Monero at £9.03 and is one of the few coins I have never sold. I won't be loading up more, but I will be keeping an eye on it over the next few weeks as it could start to outperform Bitcoin through to the end of the year. As the best anonymous Crypto, it has a utility for global private transactions, and a 2018 market cap target of +$10bn would not be out of the question.

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Ripple

Ripple's price jump this week proved a potential false recovery. I had been thinking of entering and missed the pump yet didn't chase. I just can't decide on Ripple. The ambition to take over Swift is cool, and if they achieve it then the price could be fantastic, I just can't see Swift rolling over and not coming up with their Blockchain solution.

I am watching though, any entry will likely be either super long term or in and out for a scalp. I expect it will trade sideways a little now and attempt a few breakouts. If I find a good entry, I will take a position.

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Iconomi

I wanted to touch on Iconomi as I have been seeing people on the Facebook Group and on Reddit questioning why it isn't making significant price gains at the moment. This is where we need to learn patience. The platform is incredible but there is still a lot to do, and it will take time. 

Look at the Monero chart above and how it traded sideways for months before breaking out. This can happen, and this is why I like to long term invest when coins are in the boring zone rather than use the charts to catch something on a spike.

Look at the chart, the price is up +790% for the year, just because you missed out on it at the start of the year doesn't mean you should expect it to fly now. Be patient. If you invested at the peak and are waiting to recover, then you picked a wrong entry. If you are over invested, then you need to remember to have a diverse portfolio.

Iconomi will set new highs, maybe this year. Be patient.

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Other Coins

Some other stand out coins:

  • Bitcoin: is settling in a comfortable price range between $4k and $4.4k, attention is on other top 10 coins, but I expect a drive towards $5k within a month
  • Lisk: making massive gains this week, over +130% and approaching $500m market cap, could reach $1bn this year
  • Augur: +55% for the week, could make an attempt on an all time high soon, solid project and a solid long term hold
  • Pivx: +50% for the week, made huge gains this year, one of the fastest ever growing Crypto assets, I wanted to invest more but will be waiting to see price action next week

The market is good right now, and sensible investing can see significant gains. As ever, do not play whack-a-mole and chase coins. Find good coins and a safe entry and be patient.

Shout me if you have any questions.