Ethereum in a Tough Spot as Crypto Woes Persist

  • ETHUSD
    (${instrument.percentChange}%)

ETH/USD Analysis

It has so far been a tumultuous month for the Crypto world, as crypto exchange FTX recently filed for bankruptcy [1], after its liquidity crunch that shocked the industry. This comes on the back of a very bad year for digital coins and related firms, amidst tightening regulatory environment and fears over the health of the industry.

ETH/USD sheds close to 30% of its value in November and remains in a perilous state, as markets monitor the fallout from the FTX collapse. The popular altcoin had put up a resistance earlier in the month and had avoided 2022 lows, but this reaction proved short-lived. It stays on the defensive and in risk of fresh lows towards the 1K mark, although it may be early to talk about further slump that would challenge 879.50.

On the other hand, ETH/USD showed some resiliency last week and a close the weekend gap (at around 1,200) would not be surprising. However, a significant change in sentiment would be required for daily closes above the EMA200 (currently at 1,360-5), which would pause downside bias.

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Nikos Tzabouras

Senior Market Specialist

Nikos Tzabouras is a graduate of the Department of International & European Economic Studies at the Athens University of Economics and Business. He has a long time presence at FXCM, as he joined the company in 2011. He has served from multiple positions, but specializes in financial market analysis and commentary.

With his educational background in international relations, he emphasizes not only on Technical Analysis but also in Fundamental Analysis and Geopolitics – which have been having increasing impact on financial markets. He has longtime experience in market analysis and as a host of educational trading courses via online and in-person sessions and conferences.

References

1

Retrieved 26 Nov 2022 https://twitter.com/FTX_Official/status/1591071832823959552

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