Technical Analysis of ETH/USD for February 19, 2021
Crypto Industry News:
Over the past two weeks, digital asset management firm Grayscale has purchased more than $ 344 million worth of Ethereum (ETH) on behalf of its investors.
According to data from the cryptocurrency trading and analysis platform Bybt, between February 3 and 13, the Grayscale Ethereum (ETHE) fund was receiving almost every day investments worth thousands of ETH worth tens of millions of dollars.
Grayscale made the biggest purchase in this period on February 12th. At that time, 52,730 ETH with a value of USD 1,770 each entered the fund’s portfolios.
All in all, in just two weeks, Grayscale bought 197,890 ETH and a value of $ 344.3 million. According to Bybt, Grayscale Ethereum Trust currently owns 3.13 million in ETH, representing 0.2% of the total supply of the leading smart contract platform.
Increasing investor interest in the Ethereum fund goes hand in hand with the product being brought back to life in Grayscale. At the end of December, the company decided to temporarily close the fund.
In a new tweet, Grayscale reveals that he currently manages cryptocurrency assets worth $ 38.8 billion. Assets under the Ethereum Trust (AUM) umbrella are valued at over $ 5.57 billion.
Technical Market Outlook:
The ETH/USD pair has broken through the short-term trend line resistance located close to the level of $1,800 and hit the level of $1,946 (current all time high). The next target for bulls is seen at the level of $2000, but the market has made the Bearish Engulfing pattern on the H4 time frame chart, which indicates a up trend termination. The intraday technical support is currently located at the level of $1,873. Please notice, the level of $1,904 is the 161% Fibonacci extension of the last wave up, so the bulls must continue to move up, otherwise a consolidation will be a reason for bears to try to push the prices down again.
Weekly Pivot Points:
WR3 – $2,286
WR2 – $2,080
WR1 – $1,977
Weekly Pivot – $1,768
WS1 – $1,663
WS2 – $1,454
WS3 – $1,346
The up trend on the Ethereum continues and the next long term target for ETH/USD is seen at the level of $2,000, 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.
The material has been provided by InstaForex Company – www.instaforex.com