Nixse
0

Ethereum Needs to Breakthrough 100 SMA to Hit Another Rally

In previous sessions, Ethereum (ETH) showed a steady drop from well above the $185 level against the U.S. dollar. Also, ETH price traded under the key $175 support and the 100 hourly simple moving average.

In addition to that, it tested the $165 support area. And it currently consolidates losses. There was a minor upward move over the 23.6% Fib retracement level of the critical fall from the $189 monthly high to $165 low.

Then, when it comes to the upside of Ethereum, an initial resistance is almost at the $173 level. This is the most recent breakdown zone. Now, the first major obstacle for the bulls is closing the $175 level. And this is because it is near to the 100 hourly simple moving average.

Above all, there is a key bearish trend line forming with resistance near $176 on the hourly chart of ETH/USD. The said trendline coincides with the 50% Fibonacci retracement level of the key decline from the $189 monthly high to $165 low.

In case Ethereum begins an upside correction over the $173 level, it would possibly experience a keen selling interest near the $175 and $176 levels. A thriving close above the $175 level and the 100 hourly SMA is required for more upsides. The following key resistance is near the $180 level. And this is above which the Ether price might visit the $189 monthly high.

If Ethereum does not continue above the $175 and $176 resistance level, it might begin a fresh decline. Initial support on the downside is almost at the $167 level.

Now, the primary support is almost at the $165 level. And if there is a break near under $165, the price might extend its decline towards the $160 support. Or the pivot level in the near term.

 

Digital Euro

According to the Dutch central bank, the Netherlands is well-placed to develop and trial a digital euro.

In addition to that, the Dutch central bank aims to be the proving ground for central bank digital currencies (CBDCs) in the European Union.

Based on a 45-page report released by the bank on April 12, the De Nederlandsche Bank (DNB) stated it is ready to play a leading role with research and development into its digital currency as well as Europe-wide digital currency.

Also, they expect a digital euro to make cross-border payments faster and cheaper for every member state participating. And the report said that The Netherlands would be a suitable testing ground.

Meanwhile, the DNB singled out cryptocurrency Libra as a potential threat to monetary stability. And they conceded that it was the reason the DNB and other central banks are considering issuing their own digital currency.

In a report, the move is somehow a response to the diminishing use of paper money and coins in the Netherlands. Almost two-thirds of overall payments in the nation are digital.

Moreover, the DNB, in developing a digital currency. Report questions if central banks must provide another type of money that is better attuned to the needs of citizens and firms.



You might also like
Leave A Reply

Your email address will not be published.