Crypto Industry News:
Ethereum co-founder Vitalik Buterin believes that NFT can be applied to socially important purposes such as charities and public goods funding, but not when the technology is still seen as "a largely profitable casino anyway. wealthy celebrities. "
The manifesto author Ethereum said helping celebrities like Elon Musk to increase their bank balance by another million dollars through the NFT had little social value. However, he believes that with the right level of support and coordination, non-exchangeable tokens can have a significant impact on other areas of society.
In a blog post titled "The Most Important Scarce Resource is Legitimacy," Buterin stated that public attention and resources are often allocated to whatever most people consider legitimate. It's a game theory term that Buterin defines as:
"Higher order acceptance pattern. An outcome in some social context is legitimate if people in that social context widely accept and play their part in making that outcome a reality, and each person does it because he expects everyone else to do the same. "
In short, people act in a coordinated manner if they perceive that everyone else will do the same, and especially if it brings them personal benefit. The NFT market, which has hit half a billion dollars in the past few months alone, is also influenced by the ever-changing forces of mass public perception.
"Which NFTs are attractive to buy and which are not is a matter of legitimacy," wrote Buterin.
Technical Market Outlook:
The ETH/USD pair has broken out of the short-term descending channel and hit the level of 61% Fibonacci retracement of the last wave up located at $1,541. The next target for bears is seen at the level of $1,455 and $1,438. The weak and negative momentum confirms the short-term bearish outlook for ETH. Only a strong breakout back above $1,648 and then above $1,729 would terminate the sell-off and put the bulls back into control again.
Weekly Pivot Points:
WR3 - $2,051
WR2 - $1,965
WR1 - $1,890
Weekly Pivot - $1,807
WS1 - $1,707
WS2 - $1,636
WS3 - $1,545
Trading Recommendations:
The longer term up trend on the Ethereum continues despite the local counter-trend corrections. When the correction is terminated, the next long term target for ETH/USD is seen at the level of $2,100. The key long term technical support is seen at the level of $1,412, so only a weekly candle close below this level will invalidate the bullish scenario.
