FX.co ★ Technical Analysis of ETH/USD for July 26, 2023

Crypto Industry News:

The DoJ, or the US Department of Justice, has merged with the organization established two years ago. We are talking about the National Cryptocurrency Enforcement Team (NCET), which was created to combat cryptocurrency crimes.

The leader of this entity will receive special powers, and the DoJ intends to expand the merger with other entities. It seems that the US authorities take the problem of cryptocurrency fraud very seriously and intend to pursue such cybercriminals without mercy.

The digital asset sector is being watched more and more closely by the US authorities. The merger between NCET and DoJ will more than double the number of lawyers who specialize in cryptocurrencies. This, in turn, is to translate into even greater efficiency when it comes to prosecuting cryptocurrency criminals.

It is worth adding that NCET already has a lot of experience in investigating entities from the cryptocurrency market. It was NCET that investigated Binance as well as Bitzalto. The leader of the organization will now be Claudia Quiroz, who will replace Enu Young Choi. The new director of the organization will also be given new powers. Claudia Quiroz will be empowered to approve certain decisions regarding the prosecution of entities under investigation.

Work on cryptocurrency fraud within the Department of Justice will now have the same status as work on computer crime and intellectual property. In addition, the combined NCET and DoJ will have the ability to seize cryptocurrencies obtained in criminal proceedings and return them to victims of fraud.

Technical Market Outlook:

The ETH/USD pair has been seen moving lower as the bearish pressure increase and the price is approaching the key technical support. The bounces are shallow and weak, bulls are not able to test the intraday technical resistance located at the level of $1,851. The next target for bears is seen at the level of $1,827 which is the key short-term technical support level. Any violation of this level would open the road towards the next target located at $1,777. The weak and negative momentum on the H4 time frame chart supports the short-term bearish outlook for ETH.

Weekly Pivot Points:

WR3 - $1,927

WR2 - $1,899

WR1 - $1,883

Weekly Pivot - $1,872

WS1 - $1,856

WS2 - $1,844

WS3 - $1,817

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.