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09.01.2025
VeChain Is Suffering on Rising Borrowing Costs

VeChain (VET) has fallen 12.7% this week, trading at $0.0445, underperforming the broader cryptocurrency market. Bitcoin (BTC), the leading cryptocurrency, has declined by 5.6% to $93,220, with bearish momentum building as it approaches key support at $89,000-$91,000. This decline is largely attributed to tightening monetary conditions in the United States, which continue to weigh on risk assets. Investor confidence is further shaken by significant net outflows from spot BTC-ETFs, which lost $583 million on Wednesday, marking the second-largest single-day outflow on record.

If BTC falls below the critical support level of $89,000-$91,000, VeChain is likely to extend its losses, with prices potentially declining another 10% to $0.0400. A sustained drop in BTC could push VET even lower, towards $0.0300. Conversely, a strong rebound in BTC prices to the $100,000 level could drive VET back up to $0.0500, representing a recovery of approximately 12% from current levels.

16.01.2025
Delta Is Taking Off To Update Its Highs

Delta Air Lines stock rose markedly by low double digits in the first ten days of the new year. The U.S. carrier has served more than 200 million customers in 2024, when it was also recognized by J.D. Power, a leading American data analytics and consumer intelligence company, for being No. 1 in First/Business and Premium Economy Passenger Satisfaction. Travelers became more willing to spend extra money for swanky seats when meeting a high level of service. Delta is just positioning itself as the nation's premium airline. And what's more important, its Christmas quarter's earnings reportedly surpassed average analyst pool projections. Driven by stronger travel demand, smart financial management and capacity discipline, Delta business provided last three-months' profit of $1.85 per share vs $1.28 at the same period one year ago, compared to $1.75 in consensus estimates. On January 10, the airline industry leader put its future profit levels within a range between $0.70 and $1 per share in the current quarter through the end of March, while analyst expectations were focused on $0.77 cents, according to data compiled by LSEG. The starting months of each year always perform worse. It is clear that all carriers made losses in the Covid years of 2020-2022, but Delta profits only recovered into a range from $0.25 to $0.45 in the first quarter of 2023 and 2024, respectively, but Q1 profit numbers varied from $0.75 to $0.96 even in the three blessed years before the pandemic. Delta added that it is forecasting annual earnings in excess of $7.35 a share, which would be the highest in its 100-year history, based on its planned revenue growth of 7% to 9% in the March quarter from a year ago. The announcement could be compared to an adjusted profit of $6.16 a share in 2024. The company happily breaks through ticket prices' rising effects, almost undisturbed by a reduction in airline seats in the domestic market, which was peculiar for most carriers. Thus, new expectations created a fertile ground for setting new price records, even though price movements on Delta charts look most convincing among its other American rivals.

By the way, Citigroup analysts freshly updated their outlook on Delta Air Lines shares to raise their price target to $80 from the previous $77, vs the actual range around $65 per share where the stock just came after a reasonable market correction from last week's and all-time highs. Citigroup said it has included factors like higher revenue per available seat mile, projections of slightly lower fuel prices, increased taxation, a minor rise in share count, and the incorporation of fourth-quarter 2024 results into their financial model, which has projected Delta's profit at $7.49 per share in 2024 and $8.72 in 2025. Delta shares are Buy-rated at Citi, and we agree with their positive estimates in general, while keeping in mind even better price goals somewhere between $82.5 and $85.

14.01.2025
Merck Becomes Interesting to Be Added to a Portfolio

Merck & Co (MRK) stocks have shown signs of becoming a compelling buy opportunity. Over the past six months, the stock has been in a downtrend, declining 29.8% to $94.50 per share. However, since mid-November, MRK has demonstrated a reversal of momentum, rebounding by 10.0% to reach $104.87 on December 5. Following a brief pullback and consolidation period, the stock has retested the downtrend resistance and appears poised to continue its upward trajectory.

With prices currently positioned to target $110.00, this represents a potential 9-10% upside from the present levels. Setting a stop-loss at $93.50 aligns with a prudent risk management strategy, providing protection against further downside while allowing for upside potential. The recent consolidation phase further supports the case for a breakout, making this an attractive moment to consider initiating or adding to a position in MRK.

23.01.2025
Ontology Is Sliding Towards $0.2000

Ontology (ONT) is down 2.3% this week, trading at $0.2176, in line with the broader crypto market where Bitcoin (BTC) has declined 2.0% to $101,632. While the new U.S. administration has made some strides toward fairer crypto regulation, Donald Trump has remained silent on the highly anticipated issue of adding Bitcoin to U.S. federal reserves.

Market speculation is rampant, with figures like BlackRock CEO Larry Fink suggesting Bitcoin could surge to $700,000 per coin if sovereign wealth funds begin accumulating. Other forecasts predict Bitcoin reaching $250,000 by year-end. While such projections could foster optimism, the lack of decisive action or announcements regarding U.S. crypto reserves is weighing heavily on the market.

For Ontology, the situation remains bearish. Having breached the critical support at $0.2500 last week, the token is now approaching the $0.2000 level. A failure to provide clear evidence or statements about U.S. federal crypto reserve plans could see ONT fall even further, breaching the $0.2000 mark and deepening its losses.

14.01.2025
Tezos Is Seen Hodling above $1.200

Tezos (XTZ) has declined slightly by 0.2% this week, trading at $1.249, following Bitcoin’s (BTC) drop to $89,158, which triggered widespread altcoin sell-offs due to concerns of a potential further decline in BTC to $80,000. However, Bitcoin managed to hold above the critical support level at $89,000-$91,000, offering some relief to the broader crypto market.

Speculation about a shift in U.S. trade policy has provided additional support to crypto assets. Reports suggest the new U.S. administration may pursue a gradual increase in tariffs rather than an abrupt hike, which could help alleviate inflationary pressures and lead to a less aggressive monetary stance from the Federal Reserve.

This development is a positive signal for the cryptocurrency market and may help Tezos maintain its position above the key support level of $1.200.

Rafael Quintana Martinez
Money Manager de alto rendimiento, con una sólida formación académica, profesional y de campo. Más de 9 años de experiencia especializada en el comercio de mercados financieros internacionales. La devoción, la fiabilidad, la responsabilidad y la ética impulsan mi vida. Actualmente me desempeño como Analista Senior para Metadoro. https://metadoro.com/es https://mx.investing.com/members/contributors/235587671/ https://es.tradingview.com/chart/EURUSD/rE9gVips/
Amazon Stocks Are In a Buy Zone Again

Amazon.com (AMZN) shares are rebounding, gaining 9.6% over the past two weeks to reach $190. While this appears to be a strong move, prices have largely remained within this range for over a month. The stock experienced a sharp rally in December 2024, briefly breaking above the uptrend resistance. That move was followed by a four-month correction throughout early 2025.

However, the correction seems to have overextended, with prices ultimately touching the uptrend support and triggering a rebound. The current $175–190 range presents a potentially attractive buying opportunity, with an upside target of $220–225 - around 20% higher and just below the uptrend resistance. A reasonable stop-loss could be placed at $143.

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Cloud Demand Makes the Wind Gliding Fair for Microsoft

The broader Wall Street has fully recovered from Donald Trump's April 2 tariff-threatening "Liberation Day". It is now back to the 5,700 mark in terms of the S&P 500 major barometer, which was last detected just before that great trade war act. However, some assets are reaching even higher February peaks already, being well ahead of the common recovery pace. Microsoft (MSFT) is certainly the biggest of the bright growth spots now.

Shares of Bill Gates' brainchild freshly reached nearly $440 last Friday, which was more than 11% up in intraday dynamics from just $395+ where it closed in April. High cloud demand makes the wind standing fair for Microsoft Azure business. Company's own forecast for its cloud profits are even higher than already achieved numbers. Price targets above $500 per unit look appropriate in this regard again.

The IT giant's revenue at its Azure cloud part actually added 33%, or even 35% in a constant currency calculation mode, in the last quarter ended March 31, even beating average estimates of a 29.7% rise. AI-related sales contributed nearly 16% to the growth, while it equalled 13% only three months before. Total quarterly revenue exceeded $70 billion for the first time in Microsoft's history, up more than $8 billion from less than $62 billion four quarters ago. The Intelligent Cloud unit, which houses Azure, contributed $26.8 billion, a 21% growth YoY. Productivity and Business Processes subdivision brought $29.9 billion (+10% YoY). Microsoft's total operating income increased 16% to $32 billion, while net income grew 18% to $25.8 billion. Earnings of $3.46 per share also broke the company's all-time record, while expert surveys were limited to expectations that it would remain at the levels marginally higher than $3.23 achieved in the last quarter of 2024 or maybe $3.3, which marked Q3 2024.

Commercial bookings on infrastructure and software contracts signed by customers grew as much as 18%, with a new Azure cloud contract with ChatGPT creator OpenAI as a main driving force, even though the particular sum of the latter is unknown and Microsoft officials declined to comment its size and role during the conference call to investors last week. Microsoft’s CFO Amy Hood only told investors that "the AI contribution" to the cloud computing business was "in line with the company’s expectations", while "the real outperformance in Azure this quarter was in our non-AI business". "The only real upside we saw on the AI side of the business was that we were able to deliver supply early to a number of customers," she added. Hood's puzzling behaviour just adjoined the crowd to buy more shares on hopes of more AI-related growth factors in the future.

Another reason was that some analysts recently lowered their expectations for Azure business as independent research reports showed ending some data centre lease obligations from Microsoft's side. It turned out that moderately lower estimates were not justified. CEO Satya Nadella said that Microsoft had a long history of constantly adjusting its data centre plans, but only in recent quarters had analysts started closely scrutinizing those moves. Beating estimates wouldn't have been this big if analysts didn't allow those underestimates before.

Microsoft now projects its cloud computing revenue growth of 34% to 35% on a constant currency basis for the current quarter, so that it may contribute between $28.75 billion and $29.05 billion to the overall sales figures. This inner forecast is also better than most optimistic estimates from the analyst pool at both Reuters and Bloomberg. Microsoft's market capitalization of nearly $3,25 trillion ranks first in the world, with Apple sliding down to less than $3.10 trillion on China-related supply cost worries and NVIDIA now at around $2.8 trillion even after its more than 25% bounce from April's lows.

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Rafael Quintana Martinez
Money Manager de alto rendimiento, con una sólida formación académica, profesional y de campo. Más de 9 años de experiencia especializada en el comercio de mercados financieros internacionales. La devoción, la fiabilidad, la responsabilidad y la ética impulsan mi vida. Actualmente me desempeño como Analista Senior para Metadoro. https://metadoro.com/es https://mx.investing.com/members/contributors/235587671/ https://es.tradingview.com/chart/EURUSD/rE9gVips/
APE Is Likely to Move towards Ambitious Targets above $1.000

ApeCoin (APE) is adding 1.8% this week to $0.498, outperforming the broader crypto market, where Bitcoin (BTC) is down 1.6% to $94,498. APE hit an all-time low of $0.348 in early April but has since rebounded, breaking above the key resistance level at $0.500. Prices are currently retesting this level, potentially setting the stage for a new upward move.

If the retest proves successful, APE could rally towards $1.000, supported by either progress in U.S.-China trade negotiations or a more dovish stance from the Federal Reserve.

7
Advertisers Don't Skimp on Ads via Facebook and Instagram

Meta Platforms (META) is among the top tech gainers in early May, as this social media business has actually added nearly 8.7% to its market value in just two trading days since the latest release of its first quarter earnings. The premise behind such a strong bullish momentum is seemingly investors' cold math that a certain trade and therefore broader economic, tariff-induced instability stage could globally force advertisers to allocate larger parts of their budgets to proven mechanisms for promoting goods and services, including primarily Facebook and Instagram. Other, especially more risky, marketing campaigns can wait until better times, while budgets for Meta would grow. The numbers late on April 30 fully confirmed this bold assumption, and so the current local intraday peak of $604.34 per share doesn't look like a point for even temporarily pausing the bright rally.

Meta's total sales from the beginning of the year to the end of March was $42.31 billion against the average expert estimates preliminary at $41.5 billion only, which gave a 13.8% increase YoY on a quarterly basis against $36.46 billion reported on April 24 2024. Although this is still far from the all-time record of $48.39 billion in the traditionally best Christmas quarter, the quarter-by-quarter dynamics indicates that the high growth pace is continuing. The numbers became the second-highest ever for the company in terms of not only revenue but also profit, where +34.5% YoY gave Meta a whopping $16.44 billion for the quarter. That was equivalent to $6.43 in equity per share, or +22.7% over the $5.26 EPS expected in Wall Street's consensus polls. Meta's revenue for April through June could reach $45.5 billion at the high end of its own estimate, with $42.5 billion at the low end of expectations, which "reflected a decision to more rapidly ready data centre capacity as well as the potential for tariffs to increase hardware export costs", according to Meta CFO Susan Li. The crowd of traders could hardly have wished for anything better.

Family daily active people (DAP), which may be the most resistant metric, grew 6% YoY to 3.43 billion, and added 2.3%, or nearly 80 million users, over the past three months. Meta claims to be making rapid progress in cutting-edge areas such as the Meta AI app assistant and its AI glasses, where the number of users is approaching 1 billion. Meanwhile, current costs do not exceed expectations, as was the case with the first Metaverse projects of creating Meta's own fictional world in 2022, when the ambitiousness of tasks strained some shareholders, so that the company lost its value up to $100 per share. Supposed costs from $113 billion to $118 billion for all of 2025 are even $1 billion below previously estimated range that Meta had been guiding investors toward, despite plans to speed up construction of data centres for its AI features support. What was important, and Meta executives emphasized this point, the total capex was going mainly for supporting the core business, such as supplying the computing power for ads, rather than new generative AI development. But, of course, Meta also needs AI to improve its core ad targeting and recommendations to its social media users.

Now a perfect combination of lowering costs and rising profits clearly helps the stock to shine. The target range for further recovery of the market price between $665 and $700 looks like the most adequate scenario, if we forget for now about repeating Meta's all-time highs above $740, which were detected in mid-February, that is, also quite recently. This seems like a rational trading plan, as Meta still puts user engagement before turning to even more monetization and so higher price goals may be more suitable for long-term investments.

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