Technical Analysis of ETH/USD for November 23, 2020

Crypto Industry Outlook:

In the final step towards full recovery from the devastating hacker attack in September, the KuCoin cryptocurrency exchange announced yesterday in a blog post that it "has restored all token deposit and withdrawal services."

The announcement followed a partial reopening in October where users were able to move their BTC, ETH and USDT off the exchange. The latest step opens withdrawals and deposits for all coins and tokens, although some tokens may have withdrawal limits due to "pending lawsuits".

The reopening is a promising step towards normality following the paralyzing burglary on September 26. The stock market initially reported losses of $ 150 million, but the cryptanalyst Chainalysis estimated this figure to be closer to $ 275 million.

The hack mobilized a massive reaction across the cryptocurrency world. Many projects have decided to freeze their tokens, get them back from hackers, and even initiate hard forks to help the exchange recover user funds.

The stock exchange further said it had both identified the suspect attacker and recovered over $ 200 million in stolen funds by October 1.

Technical Market Outlook:

The ETH/USD pair has been rallying higher after the level of $500 had been violated. The yearly high has been made at the level of $584.57 (at the time of writing the article), so the target for bulls is seen at the level of $600. The nearest technical support is seen at the level of $548.50. Please notice, the momentum is strong and positive and the market is continuing the up trend, but the bulls has hit the 38% Fibonacci retracement located at the level of $587.87, so a pull-back is welcome.

Weekly Pivot Points:

WR3 - $774.30

WR2 - $671.20

WR1 - $638.87

Weekly Pivot - $538.52

WS1 - $503.53

WS2 - $403.18

WS3 - $366.96

Trading Recommendations:

The up trend on the Ethereum continues and the next long term target for ETH/USD is seen at the level of $600, so any correction or local pull-back should be used to open the buy orders. Moreover, the bulls has hit the 38% Fibonacci retracement located at the level of $587.87. This scenario is valid as long as the level of $360 is broken.

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