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Technical analysis of ETH/USD for 28/06/2019
Crypto Industry News:
Chairman of the Securities and Exchange Commission (SEC) Jay Clayton confirmed that Ethereum and other similar cryptocurrencies under US law are not securities.
Last September Coin Center collaborated with US representative Ted Buddha to send a signed letter to Clayton asking if he agrees with the approach to Ethereum, SEC Director of Corporate Finance, William Hinman. As Cointelegraph reported in June last year, Hinman said in a speech that ETH “in its current state” – unlike its distribution via ICO – will not be regulated as a security.
In his reply, President Clayton agreed that the definition of a digital resource as security was not “static” and could, therefore, change over time.
He further stated that a digital asset, which is initially security, could change its purpose over time “if the digital asset is later offered and sold in such a way that it will no longer meet this definition”.
Technical Overview:
The ETH/USD pair has complete the five wave advance to the upside at the level of $362.30 and has started the deeper corrective cycle of the higher degree. The local low was made at the level of $275.41, which was important technical support and now the price is trying to bounce from it. The most important level is the technical resistance located at $320.73 and only if this level is clearly violated, the bulls have a chance to resume the uptrend.
Weekly Pivot Points:
WR3 – $399.14
WR2 – $359.00
WR1 – $340.76
Weekly Pivot – $299.53
WS1 – $285.30
WS2 – $243.70
WS3 – $227.28
Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are being treated as a correction inside of the uptrend. The current cycle is wave 2 of the higher degree, which is a corrective wave and after is completed, the uptrend should resume.
The material has been provided by InstaForex Company – www.instaforex.com
