Cryptocurrency Analysis

[IFX_Selena]

Technical Analysis of ETH/USD for 14 May 2020

Crypto Industry News:
During a conversation at the Consensus: Distributed event, Changpeng Zhao, CEO and founder of Binance, said the largest cryptocurrency exchange is experiencing a sharp increase in the number of user registrations.

Zhao noticed that new registrations among Bitcoin halving have approached levels that were recently observed during the peak of 2017. CEO Binance also noted that the exchange customer service department receives a large number of requests that indicate a high level of activity among completely new or sporadic ones users, including requests from "new users depositing at the wrong addresses" and "many older users resetting passwords" after long periods of inactivity.


Technical Market Outlook:
The ETH/USD pair has made a new local high located at the level of $200.13 after the bounce from 61% Fibonacci retracement. Currently, ETH is testing the technical resistance located at $198.71 and in a case of violation of this level, the bulls might rally towards the trend line resistance. The momentum turns to positive, so it supports the short-term bullish outlook.

Weekly Pivot Points:
WR3 - $241.59
WR2 - $228.78
WR1 - $204.66

Weekly Pivot - $191.03
WS1 - $168.45
WS2 - $154.83
WS3 - $130.49


Trading Recommendations:
The fear of the second wave of coronavirus consequences has decreased among the global investors on the financial markets, nevertheless the global investors are not so keen to invest in cryptocurrency, because they are being perceived as risky assets. The larger time frame trend on Ethereum remains down and as long as the level of $288 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred.







Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2020