Technical analysis of ETH/USD for Jan 30, 2020

analytics5e328104201b2.jpg

Crypto Industry News:

New research has shown that the number of cryptocurrencies entering Darknet markets has doubled for the first time in four years.

In part of its 2020 Crypto Crime Report published on January 28, Chainalysis – a New York analytical company Blockchain – showed that Darknet markets significantly increased their share in incoming cryptographic transactions in 2019, doubling the result from 0.04% in 2018 to 0.08 %.

According to the study, total cryptocurrency market sales increased by 70% in 2019, which is over USD 790 million in cryptocurrencies after a slight decline in 2018. Sales for the first time exceeded USD 600 million.

Chainalysis believes that while the overall share of cryptographic payments in the Darknet network remains fairly low, recent increases in volumes indicate that darknet markets are resilient to increased regulatory control by global regulators. According to the company, the total number of active darknet markets has remained stable in recent years despite increased law enforcement.

In particular, the study showed that while some markets are closing, others still manage to fill the gap and meet customer demand. While eight active markets were closed in 2018, eight new markets were opened in 2019, keeping the total number of active markets worldwide at a stable level of 49.

According to Chainanlysis, the growing share of cryptocurrencies arriving on darknet markets is allegedly due to the implementation of new technologies, which makes the operating process more decentralized. The company noted that to avoid law enforcement closures, some darknet markets are implementing new infrastructures that have a fully decentralized structure similar to the Tor browser or “to the Blockchain chain itself.”

Technical Market Overview:

The ETH/USD pair has hit the supply zone located between the levels of $176.95 – $178.12, but no breakout occurred just yet as the rally was capped by bears. The local correction has broken through the local technical support at the level of $172.91 and made a low at the level of $169.78, but the key short-term technical support seen at the level of $168.92 has not been broken yet. It is worth to keep an eye on the current developments on the Ethereum market, nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $196.61 is clearly broken.

Weekly Pivot Points:

WR3 – $187.66

WR2 – $177.62

WR1 – $172.55

Weekly Pivot – $163.44

WS1 – $158.80

WS2 – $148.63

WS3 – $143.46

Trading Recommendations:

There is a possibility that the wave 2 corrective cycles are completed at the level of $115.05, so the market might be ready for another impulsive wave up of a higher degree and uptrend continuation. This strategy is valid as long as the level of $146.94 is not violated. Nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $196.61 is cleary broken.

The material has been provided by InstaForex Company – www.instaforex.com

Source:: Technical analysis of ETH/USD for 30/01/2020:

Won't your trader friends like this?
About the Author
InstaForex brand was created in 2007 and at the moment it’s a top choice of more than 2,000,000 traders. More than 1,000 clients open accounts with InstaForex every day. All InstaForex clients get great opportunities for effective trading on the forex market, as well as on-time technical and customer support

Related Posts

Leave a Reply

*