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In a surprise turn of events, footwear maker Nike has decided to terminate its relationship with technology giant Amazon and it will no longer sell its goods on the retail website of Amazon.

In a statement Nike said:

“As part of Nike’s focus on elevating consumer experiences through more direct, personal relationships, we have made the decision to complete our current pilot with Amazon Retail.”

“We will continue to invest in strong, distinctive partnerships for Nike with other retailers and platforms to seamlessly serve our consumers globally,” added the company.

The footwear maker has decided to implement a direct-to-customer model where its wholesalers will be able to ship directly to customers. The pilot program which started in 2017 has formally come to an end for both parties. This, of course, has caused some concern for the retail giant as many analysts expect other merchants to follow suit.

This does not, however, stop other commercial relationships that the two companies share. Nike indicated that it will continue using Amazons’ web services to host its website so it isn’t exactly totally over between the two companies.

For one thing, Amazon has the distinct advantage of having a logistics network that functions very much like that of a logistics company with automated systems and so on that make deliveries easy. That, however, can also be outsourced to logistics companies with similar capabilities as it appears that this is what Nike has opted to do.

One factor playing against Amazon is the presence of so many brands in one place. This is obvious by the way and manner the products are displayed. Nike being one of the most popular footwear brands would require some sort of exclusivity which Amazon can’t give. The split is going to enable Nike to focus on growing its brand by driving traffic directly to its website in order to sell its goods.

The other problem which Amazon still hasn’t been able to curb is the presence of fake and counterfeit merchandise. This also has made many exclusive brands to shy away from selling their merchandise with the retail giant.

The major issue which Nike has faced over the years is finding a model that works for its electronic commerce activities. Due to the presence of way too many counterfeit goods the company has struggled over the years to find the right model that will enable it to compete effectively against other competitors who seem to have found one way or the other to shine.

The recent announcement of the decision to hire former e-bay CEO John Donahue in 2020 when Mark Parker will step down is an indication that the Footwear company may be going in the right direction. How this will affect sales remains to be seen but the recent announcement terminating the partnership with Amazon grew retail sales by 10%.

It’s worth mentioning that Amazon stock hasn’t reacted to this news negatively. It is trading at 1 758,30 USD (+0.20%).

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Christopher Hamman , 2019-11-14 17:54:32 ,

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While Bitcoin’s price seemingly moves without rhyme or reason — collapsing by dozens of percent and embarking on face-melting rallies on a whim — the cryptocurrency market is filled to the brim with fractals.

Related Reading: Analyst: Bitcoin Price Likely to Fall to Low-$8,000s as Chart Remains Weak

A brief aside: A fractal, in the context of technical analysis and financial markets anyway, is when an asset’s price action is seen during a different time. This form of analysis isn’t that popular, but it has proven to be somewhat valuable in analyzing Bitcoin.

One recent fractal popularized by a well-known cryptocurrency trader is implying that BTC is going to return to the low-$7,000s in the coming days.

Bitcoin Fractal Implies Retracement to Low-$7,000s

A well-known crypto trader going by “Tyler Durden” on Twitter recently posted the chart below, which shows that a Bitcoin price fractal may be playing out. The fractal has four phases: horizontal consolidation marked by one fakeout, a surge above the consolidation phase, a distribution, then a strong drop to fresh lows.

If the fractal plays out in full, BTC could reach the low-$7,000s again, potentially as low as $7,100. This would represent a 20-odd percent collapse from the current price point of $8,800.

It isn’t only a fractal that is hinting Bitcoin has the potential to visit its lows. As we reported on Saturday, Bloomberg believes that if the GTI Vera Convergence Divergence Indicator flips red, a downtrend could push the cryptocurrency back to $7,300.

Related Reading: Stephen Colbert Pokes Fun at Bitcoin in Monologue: Mainstream Gone Wrong?

Can Bulls Step In?

But again, many believe it is irrational to have such bearish interpretations of the cryptocurrency’s chart at the moment. As reported by NewsBTC earlier, Popular crypto trader Mayne recently noted that the “people waiting for $6,000” are irrational. He quipped that Bitcoin retracing and consolidating after its fourth-biggest bull move in history ($7,300 to $10,500, a 42% gain) is perfectly par for the course, but noted that it’s totally possible we can go lower from $8,800.

The medium-term technicals support this.

Trader and CoinTelegraph contributor FilbFilb found that by the end of November or start of December, the 50-week and 100-week moving averages will see a “golden cross,” which he claims is far more significant” for the Bitcoin market that other technical crosses.

Also, a Bitcoin price model created using Facebook Prophet machine learning found that the leading cryptocurrency is likely to end the year at just over $12,000. What’s notable about this model is that it called the price drop to $8,000 months in advance, and forecasted a ~$7,500 price bottom for BTC.

To put a cherry on the cryptocurrency cake, Crypto Thies observed that when Bitcoin bottomed at $7,300, it bounced decisively off the 0.618 Fibonacci Retracement of the move from $3,000 to $14,000, which correlates with the two-week volume-weighted moving average. He added that summer 2019’s consolidation was marked by Bitcoin flipping major resistances into support levels, implying that a bullish reversal and subsequent continuation is likely possible in the coming weeks.

Featured Image from Shutterstock

Nick Chong , 2019-11-10 12:00:38

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