empty
 
 
14.06.2021 09:49 AM
Technical Analysis of ETH/USD for June 14, 2021

Crypto Industry News:

On June 25, Ether (ETH) will face its biggest option expiration in 2021. On this date, $ 1.5 billion of positions will be settled. This figure is 30% higher than the March 26 expiry which occurred when the price of Aether fell 17% in 5 days and hit a low close to $ 1,550.

After the March options expired, ethereum gained 56% to reach $ 2,500 in three weeks. These movements were completely uncorrelated with bitcoins (BTC). Therefore, it is important to understand if a similar market structure could occur when futures and options expire on June 25.

Options are similar to futures in that derivative contracts give investors a right, but not an obligation, to sell or buy an asset for a predetermined price.

When an option is nearing an expiry date, holders of an option contract must adjust their contracts either before or immediately after their expiry. This can lead to significant volatility in the ETH price.

Technical Market Outlook:

The ETH/USD pair has been seen approaching the level of $2,550 after a new marginal lower low was made at the level of $2,256. The next target for bulls is seen at $2,619 (61% Fibonacci retracement of the last wave down) and $2,639. The momentum is strong and positive, so the overall outlook starts to look bullish. The confirmation will come after all of the Fibonacci retracement are cleared.

Weekly Pivot Points:

WR3 - $3,393

WR2 - $3,098

WR1 - $2,806

Weekly Pivot - $2,528

WS1 - $2,226

WS2 - $1,922

WS3 - $1,648

Trading Recommendations:

Ethereum has lost more than 50% of the recent gains from the lows of March 2020 and now is currently in the counter-trend corrective cycle. The next long-term target for bears is seen at the level of $1,728 (61% Fibonacci retracement of the last wave up) and $1,420 ( January 2018 swing high). The up trend is resumed when the level of min. $3,000 is clearly violated.

This image is no longer relevant

Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST
  • Chancy Deposit
    Deposit your account with $3,000 and get $8000 more!
    In March we raffle $8000 within the Chancy Deposit campaign!
    Get a chance to win by depositing $3,000 to a trading account. Having fulfilled this condition, you become a campaign participant.
    JOIN CONTEST
  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
    JOIN CONTEST
  • 100% Bonus
    Your unique opportunity to get a 100% bonus on your deposit
    GET BONUS
  • 55% Bonus
    Apply for a 55% bonus on your every deposit
    GET BONUS
  • 30% Bonus
    Receive a 30% bonus every time you top up your account
    GET BONUS

Recommended Stories

Can't speak right now?
Ask your question in the chat.
Widget callback