02.06.202008:09 Forex Analysis & Reviews: Technical Analysis of ETH/USD for June 2, 2020:

Crypto Industry News:

The Swiss Financial Market Surveillance Authority (FINMA) authorized InCore as the first business-to-business to conduct transactions on digital assets, enabling clients worldwide to access the service and conduct transactions at the bank.

The official announcement is an important step in creating a blockchain-friendly environment in the entire EU banking sector. InCore Bank is the first Swiss business-to-business bank approved to operate in the field of cryptography. The company now allows institutional clients to trade, store and transfer digital assets. FINMA also allowed the bank to develop tokenization capabilities.

The bank has already cooperated with Inacta AG, an independent Swiss IT consulting company that provides information and management of cryptocurrencies. Maerki Bauman & CO is the new transaction client of InCore digital assets. Local media consider this institution to be one of the best qualified banks in the sector. The company's management confirmed that the bank plans to develop blockchain strategy in the coming months. It also plans to provide brokerage, care and transfer services to security tokens.

Earlier, there was information about a risk warning issued by FINMA about Swiss money laundering using blockchain technology. However, on February 7, the Swiss regulator passed a law on anti-money laundering. The threshold for unidentified cryptographic transactions has been lowered from 5,000 Swiss francs to 1,000 Swiss francs, which is about $ 1,020.

Technical Market Outlook:

The ETH/USD pair has hit the 261% Fibonacci extension target located at the level of $247.36 and is currently trading above the upper channel line. The next target for bulls is seen at the level of $252.03 and $259.81, but due to the clear bearish divergence built on H4 time frame chart, a local pull-back is probable. The nearest technical support is seen at the level of $238.68 and $225.84.

Weekly Pivot Points:

WR3 - $307.85

WR2 - $277.87

WR1 - $257.91

Weekly Pivot - $226.70

WS1 - $208.30

WS2 - $176.78

WS3 - $157.13

Trading Recommendations:

The larger time frame trend on Ethereum remains down and as long as the level of $288 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred. The next key technical support is seen at the level of $174.82.