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14.12.202313:03 Forex Analysis & Reviews: Technical Analysis of ETH/USD for December 14, 2023

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Ethereum Trades Close to 61% Retracement Level

Crypto Industry News

The Invesco Galaxy Ethereum ETF, a collaborative venture with Galaxy Digital Funds, faced an unexpected delay from the SEC. Originally set for a decision by December 23rd, the verdict is now postponed. This ETF, distinct in holding Ethereum (ETH) directly, contrasts with several upcoming Ethereum futures ETFs.

Invesco's shift from a joint Bitcoin ETF application to a focus on Ethereum spot ETF marks a significant strategic change. Despite withdrawing their Bitcoin ETF application, Invesco remains committed to providing digital asset exposure through a physically backed ETF with Galaxy Digital.

Exchange Rates 14.12.2023 analysis

The SEC's delay isn't exclusive to Invesco. Grayscale's Ethereum Trust's spot ETF decision was pushed from December 6, 2023, to January 25, 2024. Similarly, Fidelity's proposed rule change for a related product is under public feedback solicitation, with a decision pending.

Technical Market Outlook

The ETH/USDT pair is close to retracing 61% of its last downward wave, rebounding from $2,135 support. The last local high was at $2,286, with the 61% Fibonacci level at $2,300. After surpassing the $2,238 mark, this level now acts as intraday support.

The downtrend from the $2,400 high appears complete, suggesting an impending uptrend. Bulls aim for the $2,445 level. Key short-term support lies at $2,234, with a break below this potentially turning the outlook bearish. The crucial short-term support is at $2,134.

Weekly Pivot Points
  • WR3: $2,666
  • WR2: $2,456
  • WR1: $2,350
  • Weekly Pivot: $2,245
  • WS1: $2,140
  • WS2: $2,036
  • WS3: $1,826
Trading Outlook

Ethereum has been ascending since hitting a low of $1,520. The crucial long-term support at $1,368 is pivotal; as long as the price remains above this, the outlook stays bullish. The mid-term key support is at $1,913.

Intraday 1H Indicator Signals
  • Buy Signals: 21 out of 21 technical indicators
  • Moving Averages: 18 out of 18 show Buy signals
Sentiment Scoreboard

The overall sentiment is bullish (76% bulls vs. 24% bears), consistent with last week's (79% bulls vs. 21% bears) and the past three days' sentiment (80% bulls vs. 20% bears).

Useful Links

Important Reminder

The begginers in forex trading need to be very careful when making decisions about entering the market. Before the release of important reports, it is best to stay out of the market to avoid being caught in sharp market fluctuations due to increased volatility. If you decide to trade during the news release, then always place stop orders to minimize losses.

Without placing stop orders, you can very quickly lose your entire deposit, especially if you do not use money management and trade large volumes. For successful trading, you need to have a clear trading plan and stay focues and disciplined. Spontaneous trading decision based on the current market situation is an inherently losing strategy for a scalper or daytrader.

#instaforex #analysis #sebastianseliga

Sebastian Seliga
analytik InstaForexu
© 2007–2024

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