Technical Analysis of ETH/USD for December 14, 2020

Crypto Industry News:

The new crypto plugin will allow WordPress publishers to profit from advertising directly to their Ethereum wallets, according to the plugin's description on December 10 posted on the official WordPress site.

A plug-in called "EthereumAds" will allow content publishers to sell ad space to ETH using smart contracts.

"After inserting our widget, your ad space is automatically auctioned using our smart contract every two weeks to the highest bidder," we read in the official description.

According to the EthereumAds website, the WordPress plugin plans to compete with Google AdSense by allowing publishers to monetize ETH through banner ads. EthereumAds promises in particular to provide publishers with lower commissions:

"Google Adsense only pays 68% of your advertising earnings. On the other hand, we pay you as much as 90%."

The new advertising plugin is applicable to all kinds of content such as websites, blogs, billboards and is not limited to cryptocurrency related content. As EthereumAds intends to compete with major ad-monetization platforms like Google AdSense, it remains to be seen how traditional ad platforms handle their cryptocurrencies.

Providing the world's largest ad-monetization platform, Google has had some issues with cryptocurrencies in the past. In April 2020, the media reported that Google AdSense was displaying fake cryptographic ads while banning some legitimate crypto companies from using its services. Google Ads previously blacklisted keywords that mention Ethereum, as reported in January 2019.

Technical Market Outlook:

The ETH/USD pair has bounced from the local low made at the level of $534.46. The bounce has hit the level of $594.80 and currently is consolidating. Please notice, the level of $587.87 is the 38% Fibonacci retracement on the weekly time frame. The momentum has increased as well and is strong and positive, so the bulls might attack the level of $600 again soon. The next technical resistance is seen at the level of $620.52 and the technical support is located at $558.85.

Weekly Pivot Points:

WR3 - $699.05

WR2 - $651.58

WR1 - $626.59

Weekly Pivot - $578.29

WS1 - $553.79

WS2 - $505.49

WS3 - $481.34

Trading Recommendations:

The up trend on the Ethereum continues and the next long term target for ETH/USD is seen at the level of $700, 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. The bulls has hit the 38% Fibonacci retracement located at the level of $587.87 on the weekly time frame chart, but the current up trend is still active. This scenario is valid as long as the level of $360 is broken.

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