30.10.202009:22 Forex Analysis & Reviews: Technical Analysis of ETH/USD for October 30, 2020

Crypto Industry Outlook:

The US cryptocurrency exchange Gemini has partnered with tax compliance company TaxBit to help their clients manage their cryptocurrency taxes with the Tax Center Suite.

Tyler Winklevoss, CEO of the Gemini Exchange, said TaxBit software will help reduce the "cryptocurrency tax problem" by allowing users to track the real-time impact of the tax on their crypto transactions with Gemini. According to the announcement, the tool will also allow customers to potentially increase their tax return and lower their tax liability by providing commercial alerts when tax savings opportunities are available.

The TaxBit Tax Center Suite solution is the first crypto tax tool that Gemini has ever implemented, a Gemini spokesman said. The representative said the company expects to integrate the TaxBit solution in the first half of 2021 or earlier, as it waits for final tax office guidelines on how to report cryptocurrencies.

Once the software is fully deployed to Gemini, US stock market customers will be able to download the tax report in the format required by the IRS.

The Winklevoss brothers invested in TaxBit earlier this year. In January 2020, their family office, Winklevoss Capital, participated in the TaxBit 5 million seed funding round. Gemini also has a referral relationship with TaxBit as of the 2019 tax reporting period, a Gemini spokesman noted

Technical Market Outlook:

The bears took control over the ETH/USD market and push the price back under the technical support located at the level of $379.73. Moreover, a new local low was made at the level of $375.52, so the bearish pressure intensify. The next target is seen at the level of $369.37 and $362.60. Weak and negative momentum supports the short-term bearish outlook. The weekly time frame candle is down and is approaching the lows of the last week seen at the level of $364.36.

Weekly Pivot Points:

WR3 - $490.39

WR2 - $455.51

WR1 - $435.03

Weekly Pivot - $398.88

WS1 - $379.21

WS2 - $342.87

WS3 - $323.39

Trading Recommendations:

The up trend on the Ethereum continues and the next long term target for ETH/USD is seen at the level of $500, so any correction or local pull-back should be used to open the buy orders. This scenario is valid as long as the level of $309.61 is broken.