Technical analysis of ETH/USD for 10/07/2019:

Crypto Industry News:

The former CEO of Bitmain, one of the largest Bitcoin mining companies in the world, launched a startup of financial services related to cryptography.

After reports of this initiative in early June, the co-founder and former CEO of Bitmain, Wu Jihan, officially launched today a new cryptographic transaction platform that allegedly offers off-exchange transactions, loans and storage.

Named Matrixport, the Singaporean company reportedly hired dozens of former Bitmain employees who were released as a result of the bear market in 2018.

Although Wu is the main shareholder of Matrixport, the company has a number of global venture capital companies as investors, including Bitmain itself, revealed the company's general manager and shareholder Bitmain, Ge Yuesheng. He added that the Matrixport will officially announce more details about financing the company at a later date.

In an interview, Ge stated that Matrixport would act as a Bitmain partner, not a competition, and stressed that the company is "closely related to Bitmain by our origin."

Ge, a founding member of Bitmain and a 4% shareholder in the company, also claimed that Matrixport will use its Bitmain connections and expertise to meet the needs of Chinese crypto-currency miners.

The news came about reports that Bitmain revives IPO plans in the second quarter of 2019. According to anonymous Bloomberg sources, Bitmain expects to collect about 300 million to 500 million dollars in the IPO in the United States this year.

Technical Market Overview:

The ETH/USD pair has made a new local high at the level of $317.30. This means that step by step the bulls are regaining the control over the market and are pushing the prices higher after the corrective cycle had been completed. Nevertheless, the price temporary reversed towards the level of $304,17 again, so it might be possible that the top of the wave C is in place at $317.30. Any breakout below the level of $297.51 before a new high is made will confirm the bearish scenario. Otherwise, the rebound might be quick and sudden, so the technical resistance at the level of $324.09 is the next target for bulls.

Weekly Pivot Points:

WR3 - $360.95

WR2 - $335.54

WR1 - $324.79

Weekly Pivot - $298.87

WS1 - $285.22

WS2 - $258.89

WS3 - $247.45

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.

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