Crypto Industry News:

Israeli cryptographic entrepreneur Moshe Hogeg and his blockchain company Stox (STX) are facing a lawsuit by a dissatisfied US investor.

A Vancouver investor accused Hogega of serious contract violations and alleged fraud that resulted in losses of at least $ 430,000, according to a lawsuit filed in the US District Court for West Washington.

In a 43-page lawsuit, plaintiff Sean Snyder claims that the company has failed to meet its obligations under the White Paper by issuing more tokens than originally announced and ultimately causing significant impairment of its digital currency. In particular, the defendants allegedly flooded the market with 16 million STX of all 43 million STX in circulation, the plaintiff claims.

According to Snyder, Hogeg and the other defendants involved are responsible for embezzling investors from around the world for "hundreds of millions of dollars."

Founded by Hogeg, Stox is a forecast market platform based on Ethereum software. Together with Stox, Hogeg participates in many cryptocurrency ventures because he founded Sirin Labs, the main developer of Blockchain smartphones, and is the chairman of the Blockchain LeadCoin network.

Among the many accusations, the plaintiff also claimed that Hogeg had misappropriated investors' money to make a series of costly purchases. According to the lawsuit, these purchases included $ 19 million for the purchase of land in Tel Aviv, $ 7 million for the acquisition of Beitar Jerusalem, one of the best football clubs in Israel, and a $ 1.9 million donation to the University of Tel Aviv. According to the media, Snyder has made his claim himself and is not represented by a legal advisor in this case.

Technical Market Overview:

The ETH/USD pair has possibly completed a three-wave counter-trend corrective cycle at the level of $156.76 and since then the bears are pushing the prices lower towards the level of $136.98. So far the new local low was made at the level of $144,96, but due to the diminishing momentum, the down move might extend soon towards the next technical support. Only a new higher high might change this base bearish scenario to a bullish one.

Weekly Pivot Points:

WR3 - $187.69

WR2 - $171.75

WS3 - $162.01

Weekly Pivot - $146.28

WS1 - $136.26

WS2 - $119.53

WS3 - $110.92

Technical recommendations:

The best strategy in the current market conditions is to trade with the larger timeframe trend, which is down. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the downtrend. When the wave 2 corrective cycles are completed, the market might will ready for another wave up.