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Technical Analysis of ETH/USD for Apr 29, 2020
Crypto Industry News:
The World Economic Forum has published a report analyzing how the implementation of Blockchain-based solutions can solve the problem of inefficiency and failure of the supply chain, which was revealed by the COVID-19 pandemic. Along with the report, the Forum released a set of tools for implementing Blockchain to help the government and enterprises adapt their supply chains to the current economic situation and “accelerate economic recovery after COVID-19”.
The report, published on April 28, confirms that the resilience of private and public supply chains has been tested in the outbreak of coronavirus – citing the chains of pharmaceutical products, medical products and food among the sectors most affected. The report argues that the efficiency of supply chains depends on transparency, advocating the adoption of DLT technology to create “common truth” among supply chain stakeholders.
The World Economic Forum is a Swiss non-governmental organization that was founded in 1971 to engage business, academic and political leaders in key economic issues related to the development of the global economy.
Technical Market Outlook:
The ETH/USD has bounced fromt he technical support located at the level of $188.86 and is currently heading back towards the recent swing high located at the level of $198.72. Nevertheless, there is a clear bearish divergence between the price and momentum indicator that supports the short-term bearish outlook, so the level of $188.86 might not be the target level and the ETH/USD rate can drop even further towards the next target at $178.25. The key short-term technical resistance is still located at the level of $198.72 and only a clear breakout above this level will open the road towards the $209.09 target.
Weekly Pivot Points:
WR3 – $243.80
WR2 – $220.39
WR1 – $211.16
Weekly Pivot – $187.55
WS1 – $172.98
WS2 – $155.34
WS3 – $144.09
Trading Recommendations:
The fear of the coronavirus consequences is very strong among the global investors and it rules on the financial markets. So far 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 $214.67 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred.
The material has been provided by InstaForex Company – www.instaforex.com
