Technical Analysis of ETH/USD for October 13, 2020

Crypto Industry News:

Asic Jungle has launched a beta version of what it calls "the first ever mining market." Company president Artem Bespaloff said he has created a trusted platform for used mining equipment that works without intermediaries:

"[This is] the first and only online marketplace where buyers can interact directly with sellers through the platform, and they don't need to use Telegram brokerage services or channels as so many different things are happening there. We set out to create this ecosystem where buyers and sellers trade with each other. "

The company's solution to these problems is a two-way marketplace that connects ASIC buyers and sellers in a safe and transparent environment. According to Bespaloff, ASIC brokers currently charge high premiums that take advantage of the lack of price sensing mechanisms on the market. He believes that these brokers create an information asymmetry by concealing relevant information.

Bespaloff said Asic Jungle maintains a number of security features to ensure that transactions take place in a trusted environment, including an emphasis on AML compliance. As the Canadian-based company will serve global customers, it intends to comply with both local laws and regulations and the compliance regulations of the United States.

Although mining equipment becomes progressively less efficient over time, Bespaloff ensured that there is a great demand for equipment used in locations with very cheap or free energy sources, such as some areas of Canada and Venezuela - although residents of the latter may be excluded from participating in an effort to comply with US sanctions.

Both Bitcoin and Ethereum have experienced a large increase in hashrate recently, indicating there will be plenty of interest in mining hardware in the near future.

Technical Market Outlook:

The ETH/USD pair has broken out of the Triangle pattern and made a new local high at the level of $394.75. The momentum is still strong and positive, so there is still a chance that after the pull back is terminated, the level of $400 will be hit again. So far the market had made the Pin Bar candlestick pattern at the top of the breakout and is slowly coming off the highs. The nearest technical support is seen at the level of $369.37 and $375.52.

Weekly Pivot Points:

WR3 - $440.56

WR2 - $409.44

WR1 - $39440

Weekly Pivot - $363.37

WS1 - $349.03

WS2 - $317.19

WS3 - $302.61

Trading Recommendations:

The weekly and monthly time frame trend on the ETH/USD pair remains up and there are no signs of trend reversal, so buy orders are preferred in the mid-term. Moreover, bulls had bounced from the weekly trend line support last week and now are away from it. The key mid-term technical support is currently seen at the level of $305.20 - $321.95, so all the dynamic corrections are still being used to buy the dips. The next mid-term target for bulls is seen at the level of $500.

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