02.12.201910:23 Forex Analysis & Reviews: Technical analysis of ETH/USD for 02/12/2019:

Crypto Industry News:

At least five Chinese cryptocurrency exchanges have suspended or decided to end the operation this month in response to Beijing's noticeable anti-cryptographic attitude.

Bitsoda exchange operator informed the public on November 23 of its decision to terminate services; Akdex followed suit, announcing its decision to close on November 24. On the same day, Idax gave the Chinese government's policy as the basis for its decision to prevent customers from using its services.

Similarly, with a clear reference to government policy, Btuex revealed on November 25 that it would immediately stop services and re-open them to foreign customers in the future.

On November 4, Biss cryptographic market announced that it was "actively cooperating" in investigating its operations and plans to resume services as soon as possible. Since then, it has been reported that the authorities have arrested 10 suspects related to the stock exchange. While information about the arrests is fragmentary, reports say regulators have found that Biss's services are violating China's capital control.

It seems that, as with everything within their boundaries, China believes they need to have tighter control in the cryptographic market, including stock exchanges, miners and asset issuers. Beijing's position is evolving in a similar direction as Japan is doing, where strict and clear rules are set for cryptographic companies.

Local traders, however, seem nervous: the Imtoken wallet app has reported a twofold increase in Tether transactions (USDT) among 10 million users, allegedly in response to new warnings from Chinese regulators.

Technical Market Overview:

The ETH/USD pair has possibly completed a three-wave counter-trend corrective cycle at the level of $156.76 and since then the bears are pushing the prices lower towards the level of $136.98. So far the new local low was made at the level of $144,96, but due to the diminishing momentum, the down move might extend soon towards the next technical support. Only a new higher high might change this base bearish scenario to a bullish one.

Weekly Pivot Points:

WR3 - $187.69

WR2 - $171.75

WS3 - $162.01

Weekly Pivot - $146.28

WS1 - $136.26

WS2 - $119.53

WS3 - $110.92

Technical recommendations:

The best strategy in the current market conditions is to trade with the larger timeframe trend, which is down. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the downtrend. When the wave 2 corrective cycles are completed, the market might will ready for another wave up.