24.03.202209:53 Forex Analysis & Reviews: Technical Analysis of ETH/USD for March 24, 2022

Crypto Industry News:

The Central Bank of Russia (CBR) has advised domestic commercial banks to step up their monitoring of user transactions, which may be aimed at circumventing "CBR's special economic measures to counter the outflow of foreign currency," local media reported. The recommendation includes stricter supervision of cryptocurrency trading, which is mentioned among the tools for withdrawing capital from Russia.

A letter sent to banking organizations by CBR vice president Yuri Isaev on Wednesday instructs them to pay more attention to cases of "unusual behavior" of their clients. This includes "irregular" trading activity and unusual spending patterns. As the letter shows, any withdrawals via digital currencies should also attract more attention.

If necessary, suspicious transactions should be blocked and reported to the Federal Service for Financial Monitoring (Rosfinmonitoring).

In the first days of the war and the resulting economic sanctions, special measures were adopted to limit the outflow of foreign currencies. These include the limitation of foreign currency transactions of Russian citizens to $ 5,000, as well as $ 10,000 for those traveling abroad. Government approval is required to purchase real estate, securities and other assets from residents of "hostile" jurisdictions.

The vice-president of the Union of Russian Banks, Alexei Vojlukov, explained to journalists that the CBR's recommendations are aimed at preventing the spread of circumvention schemes, especially through cryptocurrency exchanges.

Technical Market Outlook:

The ETH/USD pair had broken above the technical resistance located at the level of $3,045 and a new high was made at the level of $3,080 (at the time of writing the article). In a case of a further breakout higher, the next target for bulls is the supply zone located between the levels of $3,244 - $3,287. As long as the price stays above the technical support seen at $2,831 - $2,778 the outlook is bullish. The strong and positive momentum supports the bullish outlook.

Weekly Pivot Points:

WR3 - $3,607

WR2 - $3,304

WR1 - $3,113

Weekly Pivot - $2,810

WS1 - $2,610

WS2 - $2,316

WS3 - $2,211

Trading Outlook:

The market keeps trying to bounce higher after over the 50% retracement made since the ATH at the level of $4,868 was made. The level of $3,192 is the next key Fibonacci retracement for bulls, but the bulls had failed to break through three times already. On the other hand, the next long-term technical support is located at $1,721 (61% Fibonacci retracement of the last big impulsive wave up) is still the key long-term.