Coinbase stops its pro service, markets stagnate; plus our weekly BTC and ETH analysis
- Coinbase to Discontinue Professional Crypto Trading Platform Coinbase Pro
- Bitcoin/USD – What Next?
Coinbase to Discontinue Professional Crypto Trading Platform Coinbase Pro
On Wednesday June 22nd, Coinbase officially announced that it would discontinue its pro service which offered more technical trading features than the standard version of Coinbase and substantially lower transaction fees. In a statement, the company said that a replacement platform called “Advance Trade” would be rolled out in place of Coinbase Pro.
The Pro service, which is a separate service from Coinbase’s standard service, was launched in 2018 as a tool for advanced traders to conduct technical analysis, and offered lower fees to traders who interacted directly with the Coinbase Exchange order book. Coinbase has stressed that Advance Trade would continue to offer the same volume based fees as the Pro platform did, and it hopes other improvements in the advanced trade will make it an upgrade from coinbase pro for every customer.
This news has many Coinbase Pro users disgruntled, and whether this new service will be successful or not is hard to say, but what is certain is that Coinbase’s stock has lost 8% since the announcement, bringing the loss to almost 80% of its value over the last year.
Bitcoin/USD – What Next?
BTC Daily Chart
BTC Weekly Chart
At the time of writing, Bitcoin is just a little over the $20k area and has not moved much since price first traded at this level. Although there was a strong bounce from the $17k wick low, price has struggled to trade higher and for the most part has clinged to the $20k support level. The 200 week MA is just above current price and is currently acting as resistance as price has not yet reclaimed the moving average. If price can reclaim this area, I believe there will be more upside to the current move from the $17k lows. If the level is not reclaimed soon, price could be headed to lower levels.
Bitcoin Bull Scenario
Bitcoin maintains the previous $20k ATH level, while also reclaiming the 200 weekly moving average on a weekly closing basis and a move to $28k is a likely possibility.
Bitcoin Bear Scenario
Bitcoin does not maintain the $20k level and the next nearest support level falls around $14k.
ETH Daily Chart
ETH Weekly Chart
At the time of writing, Ethereum is priced around $1200 and is still trading beneath its 2017 all time high level. ETH also seems to be ranging back and forth between the $1k and $1.2k levels. A look at the weekly timeframe and similar to bitcoin, it appears that the 200 week MA is also acting as resistance for ETH. If price can reclaim this level on the weekly time frame and break out of this range, I believe there is more upside to be seen. If price does not reclaim this level soon, I believe ethereum trades lower into the $700-$800 area.
Ethereum Bull Scenario
Ethereum reclaims the weekly 200MA support level on a weekly closing basis, breaks the range to the upside, and a move to the 2017 ATH is probable.
Ethereum Bear Scenario
Ethereum does not hold these support levels and pushes down to its next support level located around the $700-$800 area.