Today i am writing homework post for Professor @imagen which is about "Market patterns and blockchain projects. Let's begin :

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Choose at least 1 of the following cryptocurrencies.

Axie Infinity AXS
Chilliz CHZ
Cardano ADA
VeChain VET

Make an investment of $ 12 or more. Show screenshots of the process. Why did you choose this cryptocurrency? What is it Market Capitalization? What is it position in the cryptoasset rankings? What is the objective of the project behind this coin? Who founded this coin? Show the roadmap. What is the specific purpose of the cryptocurrency?

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For this task, I'll be doing investment in VET from my wazirx app.

• Open wazirx app, click on "Exchanges" from bottom panel.

• To simplify the process, search for the token. Example, i searched for VET. I got two options. I choose VET/USDT.

• Next i clicked on buy/sell and entered amount of USDT as 15 . For 15 USDT, i got 150 VET. Hit the buy button.

• Order was executed instantly, so let's check executed orders from history.
  

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VET

VET is one among the two native tokens of VechainThor blockchain. It was founded by Sunny Lu in 2015 . VET was initially launched on Etherium blockchain as VEN and the now called VET is rebranded form of VEN on its native blockchain known as VeChainThor.

As for current coinmarketcap data is concerned, VET stands at rank 23 , current price of $0.08561 and market Cap $5,524,949,145.67 and fully diluted market cap of $7,448,940,336.71. More stastical data here

I selected VET for this task because i was greatly influenced by the purpose and vision of rhis project after going through its white paper. Most interesting for me was the platform's vision to make use of "Radiofrequency identification " tags and its utility in the field of medicine. Being a health professional, i got very much interested in VET because i was able to relate it to the dramatic change that could ensue because of its success.

Objectives of the project.

• Enhance Supply chain management: With the introduction of decentralized ledger of its own by the name of VeChainThor , the project aims to integrate the inherent featurea of blockchain like immutability and non-editablity with the bussiness sector to enhance supply chain management.
  We are all aware of our current business model. We have producers, suppliers , distributers, consumers etc. The point to understand here is that our business structure is divided into subsectors and each sub sector is responsible and accountable for only the part of the business that they are concerned with. As a result there is communication barrier between different sub sectors catering to a single sector that results in inefficient management.
  
  With the incorporation of blockchain into the system, project mamagers aim to integrate the information at single place for effective management system. Let me give an example, being a helth professional, i know that drugs have speciric parametees like manufacturing and expiry date, batch number, storage temperature etc which must be properly met for effective functioning of system. We also know that with our traditional business model these conditions are never end no where met properly. VeChainThor came up with the idea of radiofrequency identification sensors and tags that will contain all the necessary information and deliver it via blockchain to the authorities for appropriate action in real time. I am impressed by this feature. This vision of the project will bring transparency and accountability into the system. Similar applications in almost all businesses can be made for the sake of revolutionising this system.
  
  The commitment of VeChain in this regard can be understood by its partnership with the various various companies from time to time to bring improvement in various parameters related to this dream of the project. Worth mentioning examples being partnership with Pricewaterhousecoopers (PWC) and Renault. Both these companies have reached climax of information and technology.

• Mass Business Adoption : VeChainThor blockchain is committed to bring its tokens and blockchain into day to day business. The blockchain has two tokens, one is VET and another is VTHO. VET is used in all smart contracts owned by blockchain like dApps. VTHO (VeThor Energy) is used to pay transaction fee on the blockchain. The deligent efforts of project can be understood by acceptance of VET by BMW, Renault, Mcdonalds etc.

• Regulatory authority : Regulation of blockchain by authorities is a debatable issue. Those against regulations would say disruption of decentralized nature and anonymity by regulatory authorities while as decentralization is a barrier to entry for scores of willing users. VeChain project aims at tackling both the groups to maintain decenttalisation and foster limited regulations for mass adoption.

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Explain in your own words what the "Evening Star" pattern consists of. What is its hit rate?

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Evening star pattern is a type of candlestick pattern that represents forthcoming bearish trend. So as a matter of common understanding, we will have to look for it towards the end of a bullish price rally. To find it out we should know, how it looks like.

Evening star candlestick pattern is a combination of three candles; a long bullish candlestick, a small bodied candle or a doji and a bearish candle. Each of these candels has a definite meaning. Let me tell you what they indicate:

• The first candle that is a long bullish candle formed at the top of a bullish rally indicates that the bulls or buyers are in power and they are trying to push the market higher and higher.

• The second candlestick which may be a small bodied candle or a doji candle indicates that there is confusion in the market created due to struggle between the bulls and bears. Bulls are trying to keep the trend going and bears are trying to pull the market down.

• The third candle that is a long bullish candle indicates that bears have defeated the bulls and have taken over the market and will now pull the market down.

As for hit rate is concerned, it is between 70 to 80% which is good. So it can be trusted by traders provided basic rules of trade like stoploss, proper timeframe , trend and take profit etc are not compromised.

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Explain in your own words what the pattern "Abandoned Baby" consists of. What is the percentage correct?

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Abandoned baby is a combination of three candlesticks formed in either uptrend or downtrend and indicates market reversal. So there are two abandoned baby patterns known as "bullish abandoned baby " and "bearish abandoned baby". Let's discuss them.

Bulliish abandoned baby.

Bulliish abandoned baby is a type ot candlestick that is indicative of forthcoming bullish trend, it is a combination of three candleaticls , one long bearish candle followed by a doji and than a long bullish candle. The second candle may open gap down and third may open gap up but that is not always the case. We need to pay attention to basic morphology of the candles. So these candlesticks have definite meaning and let me tell you, what that is ;

• The first long bear candlestick would give a perception that downtrend will continue.

• Doji signals that there is some confusion in the market and that is due to fight betwwen bears and bulls.

• The long bullish candle indicates that bulls have dominated over bears in the market and are now controlling the market.

So traders can enter into buy trade on signaling this chart pattern amd setting stop loss below the third bullish candle or doji.

Abandoned bearish patreen is more or less like evening star pattern but may sometimes have second candle showing gap up amd third candle showing gap down patrern.

Success rare of 65 to 70%

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Perform analysis for 3 and 7 recent calendar days for Bitcoin Do you identify any patterns? Show screenshots

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There are scores of candlestick patterns and to identify each of them or most of them is neither needed nor necessary . However, for practical purposes only few patterns are important. Of those patterns , let's see what we can find on graph.

BTC/USDT on 1 hour time frame for 3 days.

Let's try to look for candlestick patterns in BTC/USDT on 1 hour time frame.

In the screenshot above, i have spotted four patterns namely bullish engulfing, bearish engulfing, three white soldiers and morning star pattern. Some patterns may be seen multiple times.

BTC/USDT on 2 hour time frame for 7 days.

As we have to analyse more data, so i increased time frame to 2h and we will look for 7d period.

I have spotted four patrerns named shooting star, bullish engulfing and bearish engulfing and three white soldiers pattern.

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For the sake of completion, let me explain these patterns briefly

• Bullish engulfing pattern : it's a type of candlestick pattern formed by two candlesticks where in the first candlestick is bullish and the second candlestick is bearish amd the second candlestick covers the whole body of the first candlestick and seems engulfing the first candle. The pattern is more reliable when the closing price of the second bullish candle is higher than the opening price of the first bearish candle and more higher the closing of the second bullish candle above the first, more stronger is the trend.

• Bearish Engulfing patrern: is a type of candlestick where in the second bearish candle completely engulfs the first bearish candle. The pattern has greater reliability when the opening price of the second bearish candle is well above the closing price of the first candle and when the closing price of the second candle is well below the opening of the first candle. To simplify , we can say that more lover the second candle, more stronger is the bear trend

• Three white soldiers : it is a candlestick pattern which indicates the bullish trend and consists of three long bodied bullish candles where in the succeeding candle opens in the body of the previous candle but closes above the closing price of the previous candle.

• Shooting Star : A shooting star is a bearish candlestick with a long shadow and little or no lower shadow and small real body. It usually appears after an bullish trend and is therefore an indicator of forthcoming downtrend.