Crypto Industry News:
Lebrija, a small town in the province of Seville in Spain, introduced a cryptocurrency called Elio to support local transactions between residents and traders during the ongoing pandemic. The newly launched cryptocurrency is linked to the Euro.
According to a report by the Spanish news agency Europa Press, the Elio cryptocurrency will enable the Lebrija City Council to send economic aid to 593 selected beneficiaries. Beneficiaries will receive aid in the amount of 50 to 200 euros. In addition, the City Council announced that as part of the City's Reactive Plan, it will pay out economic aid of 400 euros to 393 local businesses through its virtual currency Elio. According to the said report, 165 stores in the city joined the platform.
Digital currencies gained popularity across Europe as governments began exploring opportunities in the cryptocurrency market. The European Central Bank published a report on the development of CBDC in early November. ECB President Christine Lagarde mentioned that the ECB could introduce digital Euro in the next 2-4 years. In addition to government efforts, some private financial companies in Europe have started issuing stablecoins.
Technical Market Outlook:
The ETH/USD pair has been seen trading under the level of $745.60 which is a 50% Fibonacci retracement on the weekly time frame chart of the last, big, main wave down from the ATH located at the level of $1,422. During the quick pull-back the market hit the level of $688.26, but bounced right back up. The intraday support is seen at the levels of $700 and $673. The additional support is being provided by the short-term trend line as well. The strong and positive momentum supports the short-term bullish outlook for Ethereum.
Weekly Pivot Points:
WR3 - $907.99
WR2 - $803.63
WR1 - $751.04
Weekly Pivot - $647.44
WS1 - $590.99
WS2 - $493.57
WS3 - $441.00
Trading Recommendations:
The up trend on the Ethereum continues and the next long term target for ETH/USD is seen at the level of $800, so any correction or local pull-back should be used to open the buy orders. Nevertheless, the momentum has decreased recently on the lower time frames and volatility is not that great either. This scenario is valid as long as the level of $500 is broken.