Technical Analysis of ETH/USD for December 29, 2020

Crypto Industry News:

According to data from CryptoCompare, the all-time high price of Ethereum (ATH) - $ 1,422.86 - was reached on Jan. 13, 2018. Spencer Noon, an investor in the cryptocurrency-focused investment firm Variant, notes that the current price of ETH still offers a pretty juicy discount at compared to ATH. Given the current degree of positive correlation between BTC and ETH, it would not be unreasonable to expect the price of ETH to exceed ATH. That's why Noon calls ETH "the best asset that offers possibly the best risk-reward ratio of all cryptocurrencies at the moment."

Ki Young Ju, CEO of the South Korean blockchain analytics startup CryptoQuant, called ETH "the most undervalued asset in cryptocurrencies." Already in early December, he found it optimistic that ETH "floats from centralized exchanges".

Anthony Sassano, Product Marketing Manager at Set Labs, co-founder of ETH Hub and co-host of the podcast "Into the Ether", expects ETH to reach a new level of ATH next month.

Technical Market Outlook:

The ETH/USD pair has hit the level of $745.60 which is a 50% Fibonacci retracement on the weekly time frame chart of the last, big, main wave down from the ATH located at the level of $1,422. The intraday support is seen at the levels of $700 and $673. The strong and positive momentum supports the short-term bullish outlook for Ethereum.

Weekly Pivot Points:

WR3 - $907.99

WR2 - $803.63

WR1 - $751.04

Weekly Pivot - $647.44

WS1 - $590.99

WS2 - $493.57

WS3 - $441.00

Trading Recommendations:

The up trend on the Ethereum continues and the next long term target for ETH/USD is seen at the level of $800, so any correction or local pull-back should be used to open the buy orders. Nevertheless, the momentum has decreased recently on the lower time frames and volatility is not that great either. This scenario is valid as long as the level of $500 is broken.

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

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