Omisego, the darling of the ICO market, is set to make a major move. The Ethereum based cryptocurrency platform is expected to make a planned debut in the coming weeks and could easily double on the news. What is Omisego? A white label e-Wallet solution geared to make fiat to crypto, crypto to crypto and crypto to fiat transactions seamless and near instantaneous.
The platform is intended to disrupt existing financial institutions by offering a decentralized exchange network that will work across jurisdictions. The platform includes a digital wallet for holding fiat and cryptocurrency, enables peer to peer value exchange and merchant payment services in real time. As a white label solution merchants, businesses, organizations, individuals and even governments can use it to develop financial solutions. Aside from decentralization, blockchain reliability and the ability to cross currency/jurisdictions the major advantages of the platform are scalability, instant settlement and low-cost fee structure.
In terms of the ICO world Omisego was the first to be launched by a major venture capital firm and one of the most successful. As such it is the most advanced and established tech company to complete an ICO and set a standard that few have been able to match. The only thing holding back valuation now is the intended launch. Originally set to go live in the 4th quarter of 2017 it is quickly running out of time. That being said the initial launch of basic services is still expected to go live at any time with full roll out of the platform late in 2018. Both events will be a major catalyst for the OMG token, the cryptocurrency powering the Omisego network.
The token had been trending sideways within a trading range until recently. This range was dominated by the high set prior to China’s ban of ICO’s and only recently been broken. This break to new highs is still fighting resistance as it consolidates for the next move, but the signs are clear; this token is going to go higher. The first clue is in the MACD. The MACD momentum peak set with the break to new highs that occurred in early December is an extreme all-time peak. This means a higher level of market engagement than has been seen in the token before and a high likelihood for the most recent all time high to be tested if not broken.
The second clue is the test of resistance turned support following the break. Early holders of the coin took advantage of recent highs to cash out with profits near 100%. The selloff was hard, fast and sharp taking the coin down by more than 55% to test the previous all-time high for support. This test was confirmed and resulted in a bounce that is now consolidating 10% above those previous highs. Add to this stochastic firing a trend following entry signal and an expected launch of the technology and the chances for astronomical growth increase.
Using basic technical analysis methods of projection, we can expect to see OMG hit initial targets near $23; the height of the Sept/Dec trading range is roughly $10. Add $10 to the September all time high of $13.75 and you get $23.75. Considering that Bitcoin, Ethereum and Litecoin (among others) have seen growth in the range of 300% to 400% since breaking past their respective September highs this target is low. OMG could easily hit $40 in the coming weeks…. all it will take is positive news regarding the roll out of the network.