FX.co ★ Technical Analysis of ETH/USD for August 19, 2021

Crypto Industry News:

The team behind the NBMiner mining software says it has partially broken Nvidia's anti-mining restraints.

In June, Nvidia implemented an algorithm called Lite Hash Rate (LHR) on all RTX 30 series graphics cards in an attempt to limit cryptocurrency mining. The limiter works both at the BIOS level and at the driver level, detecting the mining algorithms to then drastically reduce the mining power by up to 50% of the original capacity.

At the time, the company claimed that miners were disrupting its supply chain, consequently increasing the prices of graphics cards due to low supply. Nvidia has prioritize its gamer user base, stating that "this extra step will provide gamers around the world with more GeForce cards at better prices."

The latest version of NBMiner reportedly was able to bypass restrictions and boost the mining power of these graphics cards by up to 70%. The update is available on both Windows and Linux terminals. Although the software is free to download, miners must pay the team a development fee of 1% to 3% of the mining revenues.

The NB team has been developing methods to improve the performance of graphics cards for years and has promised to develop further improvements in the future.

Technical Market Outlook:

The ETH/USD pair has broken below the level of $3,000 with a new local low made at the level of $2,948. There was a Pin Bar candlestick formation at the end of the move down to the level of $2,948, but bounce towards the nearest technical resistance seen at $3,122 had been rejected. The next target for bears is seen at the level of $2,914 and $2,861.

Weekly Pivot Points:

WR3 - $3,888

WR2 - $3,615

WR1 - $3,448

Weekly Pivot - $3,162

WS1 - $3,024

WS2 - $2,746

WS3 - $2,578

Trading Outlook:

Ethereum have started the next wave up and violated the long-term target at the level of $3,000. The next long-term target for ETH is seen at the level of $4,394. Nevertheless, in order to continue the long-term up trend, the price can not break below the technical support at the level of $2,695. The level of $1,728 (61% Fibonacci retracement of the last big impulsive wave up) is still the key long-term technical support for bulls.