Crypto Industry News:
China is the undisputed leader in the race to fully implement its central bank digital currency (CBDC). Their digital Yuan (e-CNY) is gaining more and more uses. After implementing smart contracts into the virtual currency structure, this time the People's Bank of China implemented its use in cross-border trade.
Central banks around the world are announcing the development of their digital currency, and some are even at the stage of a pilot program. However, none of the countries can match China, which was the first to develop and introduce this type of money to the market. Even though the e-CNY has not been officially launched to date, it remains in circulation in the form of pilots in many places around the country, for example, the digital Yuan has been used to buy securities.
Now, however, the Chinese will be able to use this asset in cross-border trade. The city of Xuzhou has published a plan promoting the adoption of the digital Yuan in practice. This town, located in the east of the country, is an important commercial center. It is from here that numerous trains delivering goods to many regions of Asia depart.
The city authorities are seeking to use e-CNY to pay for services and storage fees for goods transported by trains. Xuzhou has 18 cross-border rail connections that lead to 21 countries in Asia and Europe. What's more, the project assumes extending the functionality of e-CNY so that it can be used to pay taxes and pay for municipal services.
Technical Market Outlook:
The ETH/USD pair has bounced from the low seen at the level of $1,802 after the five wave impulsive decline had been terminated. The market is currently trading just below the short-term trend line resistance and breakout above this line is needed to continue the bounce towards one of the Fibonacci retracement levels. The momentum is positive on the H4 time frame chart after a bounce from the extremely oversold levels, so there is a chance to continue the upwards movement towards 38% Fibonacci retracement seen at $1,931.
Weekly Pivot Points:
WR3 - $1,939
WR2 - $1,901
WR1 - $1,878
Weekly Pivot - $1,861
WS1 - $1,839
WS2 - $1,824
WS3 - $1,786
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. This is the key level for bulls, so it needs to be broken in order to continue the up trend. The key technical support is seen at $1,368, so as long as the market trades above this level, the outlook remains bullish.