XVG is a deflationary proof of work (PoW) cryptocurrency. With a moderate circulating supply (14.5G) and high circulating to maxsupply ratio (14.5G/16.5G = 87.9%), XVG certainly has the potential to achieve values in excess the 10$ range if market cap equivalent to XRP's currennt value (128M$) could be achieved in the future. As a open source project, XVG also offers its investors a degree of transparency and accountability.
Summary Technical Analysis
The chart above is my own detailed of XVG. Data is plotted beginning in the first week of December and continues through the time of this post (Jan 5th 2018). The chart exhibits a beautiful behavior which can be studied to develop strong confidence around XVG when it comes to investment decisions. For ease of analysis, the chart is broken into four regions, the final of which is my own speculation based on my insights into the data.
1) The Nascent Phase
This is the beginning phase of XVG before it made its mid December debut. While there is much of interest to look at in this phase, I tend to see the nascent phase as a distinct cycle in cryptocurrency development worthy of independent study. During this phase, a cryptocurrency has little notoriety and it attracts niche investment capital from a few sources. During this phase, the cryptocurrency idea is still being formulated, and it had not yet hit the mainstream.
2) First Impulse Wave
During the first impulse wave, XVG demonstrated an explosive performance which solidified its potential to become a very strong cryptocurrency. This phase demonstrates a very clean 1-3-5 behavior with identifiable subwaves within each step. It is interesting to note the consolidation phase which occurs on the 2-3 branch of the first impulse wave and its relationship to the structure of the current consolidation phase.
3) The Consolidation Phase
After the initial pump, XVG entered into a long consolidation phase which sparked waves of doubt from many investors. However, analysis reveals that this phase reveals a very clear A-C-E pattern in which the E point lies on the ascending branch. Yesterday was important the XVG consolidation phase as the C-D branch was completed. From an analytical perspective, this solidifies the correction hypothesis for XVG as we now have two points on the ascending and descending nodes. Prior to today, only the A-B and B-C branches were visible which tended suggested a lack of clarity as to the nature of the correction.
A Second Impulse Wave? XVG Moving Forward...
It is my opinion that XVG will rise quite sharply within the month of January. This rise will take the form of a second 1-3-5 impulse wave which will look very similar in form to the first impulse wave. This self similar progression seems to be characteristic of cryptocurrencies. During the first impulse wave, we saw the price move from $0.02 to about $0.30. By rule of symmetry, it would not be out of line to look for a similar 10-15x increase from the current value of $0.16 upward to $1.60-2.40 at the maximum of the second impulse wave.
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