21.01.202109:34 Forex Analysis & Reviews: Technical Analysis of ETH/USD for January 21, 2021

Crypto Industry News:

President-elect Biden's team recently unveiled the personal details of those it plans to nominate for various positions after Wednesday's inauguration of the new term.

One of the key figures is Gary Gensler, who has been proposed as chairman of the Securities and Exchange Commission (SEC), according to today's statement by the President-elect Transformation team. On January 12, Reuters reported on the basis of information from an anonymous source, predicting that Biden would choose Gensler. Today's statement by the president-elect's team confirms his expected election.

"Gary Gensler served as chairman of the US Futures Trading Commission from 2009 to 2014," the statement read.

Immediately after the financial crisis, Gensler's tenure at the CFTC saw him enforce the emerging Dodd-Frank Act on commodity markets.

The formal nomination will have to wait for Biden to actually take office and will also require confirmation from the US Senate. However, January's elections in Georgia secured a majority of the Democrats in the senate.

Gensler also taught blockchain technology and cryptocurrencies at MIT. Having someone knowledgeable about the cryptocurrency and blockchain industry at the forefront of the SEC could pave the way for accurate regulations and guidelines. The SEC has played a key role in regulating the coin IPO market, which has quieted considerably since the commission started treating many ICOs as unregistered public offering of securities.

Technical Market Outlook:

The ETH/USD pair has hit the lower channel line located at the level of $1,270. Moreover, there is a new local low made at the level of $1,233, but it is a Pin Bar candlestick which shoes the bulls are defending the lower channel line. So far, the market bounced towards the level of $1,388, but if the bearish pressure intensify, the pull-back might get deeper. The next technical support is seen at the level of $1,173. On the other hand, the next target for bulls is seen at the level of $1,500.

Weekly Pivot Points:

WR3 - $1,800

WR2 - $1,551

WR1 - $1,448

Weekly Pivot - $1,183

WS1 - $1,077

WS2 - $810

WS3 - $699

Trading Recommendations:

The up trend on the Ethereum continues and the next long term target for ETH/USD is seen at the level of $1,500, so any correction or local pull-back should be used to open the buy orders. Please notice, the up trend starting to go vertical, so the volatility will be higher than average. The bullish scenario is valid as long as the level of $830 is broken.