Crypto Industry News:
The World Economic Forum (WEF) has reviewed what happened in the cryptocurrency market in 2022. In addition, it has prepared forecasts for this industry.
Dante Disparte, CSO of Circle, in an article published for WEF, states that while 2022 was a time of crisis for cryptocurrencies, the building blocks of the industry will continue to be "integral parts" of the modern economic toolkit. He added that "[blockchain] experimentation at the core of financial services continues unabated."
It also encourages you to watch "what the big banks and financial services companies do, not [listen to] what they say."
He cites as an example JPMorgan, a company that has publicly gone from explicitly opposing cryptocurrencies and blockchain to adopting the technology in several of its experimental products and offering cryptocurrencies to select customers.
Disparte compares cryptocurrencies to other ubiquitous technologies today, such as the internet and email, which have also been used for illicit purposes and criminal activities. However, he emphasized that it is crucial to pay attention to the fact that people with bad intentions are behind all this, not the technology itself. It is important to "compensate for the harmful effects [of cryptocurrencies] by putting the technology in the hands of responsible actors and encouraging its responsible use."
The author of the article believes that cryptocurrencies, no matter what, are still part of the financial world, and while regulation of this market is a necessity, countries that are able to provide them while maintaining a competitive approach will shape the future of the industry. Disparte concludes that cryptocurrency technologies will continue to be mainstreamed.
Technical Market Outlook:
The Ethereum cryptocurrency has retraced 61% of the last wave down on the H4 time frame chart and is currently trading below this level after the Bearish Engulfing candlestick pattern was made. The technical resistance is seen at the level of $1,259, so bulls need to break through this level in order to continue the bounce towards the technical resistance seen at $1,278. The key short-term technical support is seen at the level of $1,183. Please notice the spike in the momentum indicator on the H4 time frame chart to the extremely overbought market territory.
Weekly Pivot Points:
WR3 - $1,258
WR2 - $1,232
WR1 - $1,220
Weekly Pivot - $1,205
WS1 - $1,191
WS2 - $1,178
WS3 - $1,152
Trading Outlook:
The Ethereum market has been seen making lower highs and lower low since the swing high was made in the middle of the August 2022 at the level of $2,029. The key technical support for bulls at $1,281 was broken already and the new swing low was established at $1,074. There is a clear test of the 50 WMA located at the level of $1,080, so any breakout below the moving average and a weekly candle close below moving average will be considered as another indication of the down trend continuation. If the down move will be extended, then the next target for bears is located at the level of $1,000.
