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Technical analysis of ETH/USD for Dec 5, 2019
Crypto Industry News:
A Danish court has ruled that the Scandinavian financial services giant Nordea may prohibit its employees from owning Bitcoins and other digital currencies.
According to financial media, the court justified the restriction by citing the alleged risk of cryptocurrencies. However, this ruling did not apply to financial instruments related to digital currencies that Nordea sold to clients, nor to any cryptocurrency in which employees could invest before the restriction was introduced.
The Danish association for employees of the financial industry filed a lawsuit against Nordea, claiming that the ban interfered with the personal lives of employees:
“We filed a lawsuit due to the principle that everyone has a private life and the right to act as a private person. For us and our members, it was important to determine what rights managers have. In this case, they went much further than we think is appropriate,” said Peter Petersen, chairman of the union.
Nordea initially announced its intention to ban its employees from owning cryptocurrency at the end of January 2018. Since Nordea is the largest bank in Scandinavia, this means that the regulations mean that 31,500 people are forced to move away from investing in cryptocurrency.
Recently, reports have appeared that Russia is allegedly preparing a ban on the use of cryptocurrencies to pay for goods and services. Izvestia’s publication quoted several sources that are reportedly being discussed at the central bank of the country.
Technical Market Overview:
The ETH/USD pair has retraced all of the sudden spike up from the level of 4142.51 to $151.40 already, so the bears are in full control over the market. The last low was made at the level of $142.26, which is below the 50% Fibonacci retracement located at the level of $143.74. If this level is violated again, then the next target for bears is seen at the level of $140.67, which is a 61% Fibonacci retracement. The technical supports are located at the levels of $136.98 and at the swing low at $130.68. The nearest technical resistance is seen at the level of $147.94.
Weekly Pivot Points:
WR3 – $187.69
WR2 – $171.75
WS3 – $162.01
Weekly Pivot – $146.28
WS1 – $136.26
WS2 – $119.53
WS3 – $110.92
Technical recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is down. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the downtrend. When the wave 2 corrective cycles are completed, the market might will ready for another wave up.
The material has been provided by InstaForex Company – www.instaforex.com
