Bitcoin Retests Key Resistance as Ethereum’s Heated Price Sentiment Wears Off

The bill seeks to make all market players, including crypto exchanges and miners, to report transactions that happen on-chain to the Internal Revenue Service (IRS) for appropriate taxation.

The bill has been opposed by Pro-Bitcoin lawmakers, and with the support of the broader community, expectations are on the Senators to shun undue sentiments and adopt the bill with the Wyden/Toomey/Lummis amendment.

Bitcoin’s Price Revival

The impasse on Capitol Hill might have retarded the growth of Bitcoin in the early hours of Monday as the premier digital asset traded in the red zone. At present, the coin is up 1.67% at $45,704.8 according to CEX.IO. The current price trend per Technical Indicators may be a lift-off to a new price region after the coin broke the key resistance point at $45,000.

Per the chart above, BTC price is above the 9-day Moving Average, and despite the slight selling indication as shown by the last candlestick, the MACD indicator can confirm the continuation of the uptrend should the line cross above that of the signal. A 90-day high of $58,000 is the next stop if the buyers successfully push the price beyond $48,000 resistance.

Ethereum Price Per EIP 1559 Sentiment is Cooling off

Ethereum literally stirred the major fundamentals in the crypto world when its EIP 1559 upgrade went live last week. With a cheap base fee for transactions and a deflationary token, the network now appears attractive to both users and investors. This sentiment drove prices to a 7-day high of $3,184.60. However, current trends shows the price is cooling off.

While Ethereum is still not doing bad per its on-chain metrics, a reduced buying pressure can give way for the sellers to drag prices down. The future of the Ethereum blockchain may not permit drastic fall-offs at this time, however, market buyers will need to do much more to keep prices at the $3,000 support, while pursuing a $3,500 price target in the short to mid term.

Yuriy Mazur, Head of Data Analysis Department at CEX.IO 

Bitcoin Rejected at $40,000 Amid a Dwindling Bull Run

  • Bitcoin has seen meteoric growth in the past 24 hours as fueled by news from Amazon.
  • Despite the uptrend which stirred a growth of up to 15% in the latest run, the market bears rejected a push-up beyond the $40,000 resistance point.
  • Ethereum is also seeing a rejuvenation as it looks to breach the $2,500 price level.

Unique fundamentals unraveled in the past days have stirred a rejuvenation in the cryptocurrency industry. For a market that has been begging for a bullish awakening in months, the 8.65% in the global crypto market cap to $1.53 Trillion is perhaps enough to suggest a major rally may be brewing. This, however, is dependent on how Bitcoin and Ethereum can sustain their current growth trends.

Bitcoin Sees Impressive Price Growth and a Simultaneous Rejection

The premier cryptocurrency is currently changing hands at $38,282.8, up 9.84% according to data from CEX.IO the price feed. The news that Amazon is looking to hire a crypto expert to help chart its pursuit of accepting Bitcoin payments can be tipped as a major cause for this recent growth.

With the institutional backing which has seen the likes of Tesla, MicroStrategy, and recently SpaceX places a Bitcoin holding on their balance sheets set to be complemented with the Amazon push, market bulls went on an unbridled accumulation, pushing the price to a weekly and monthly high of $39,280.42.

The uptrend as seen on the BTC/USD 4h chart is attaining the peak at the current price level, suggesting a bear action that is repressing the price growth from crossing the $40,000. The RSI and MACD indicators are still showing positive signs of growth, and while we may see a little retracement, crossing the $40,000 resistance point remains the short-term target for investors.

Ethereum Maintaining a Steady Growth

At a current price of $2352.31 and a growth rate of 8.01% in the past 24 hours, Ethereum’s uptrend correlation with BTC was reiterated. However, unlike Bitcoin which has started seeing a gradual bear action, Ethereum bulls are pushing the coin to a new price point, such as has never be seen in the past month.

With prices trading above the short-term Moving Average, a sustained buyup can push Ethereum to the $2,500 to $3,000 price level in the coming weeks.

How the Thirst for Stability Affects the Price of Bitcoin and Ethereum

Buyers have attempted to push prices higher to new growth levels, but these attempts have not succeeded in the past few days. This is because the broader market sentiment which always favors the sellers always often pushes the price downward.

Bitcoin’s Rejection at $38,000 Shows the Buyer’s Weakened Accumulation

Despite the fears of a clampdown on Bitcoin in China, the press is notably at odds with the possibility of succeeding with banning the merging asset. Although the market may respond less to the first-ever Bitcoin ETP product billed to trade in UK’s Aquis Exchange next week, the market is relieving its resilience amidst the various negative trends it has faced thus far.

The Reserve Bank of India (RBI) has also come out to clarify its stance on cryptocurrencies, advising that banks can soften their strict adherence to an outdated nudging not to provide banking services to crypto exchanges and investors.

The attempts by market investors to capitalize on this news and regain control of the price were met with a vehement rejection at the $38,000 resistant zone as shown in the chart below.

Bitcoin is currently changing hands at $36314.0 according to data from CEX.IO price feed. However, with BTC in the oversold region, a new buying activity is bound to be ushered in, causing prices to rise. When this happens, BTC is likely to grow back to $50,000 with the new resistance – the point where further growth is no longer in the short term- set at $60,000.

Ethereum Looking to Rebound as it Approaches Key Support

Ethereum blockchain has received a tip from a former PBoC official Yao Qian as being suitable to power central bank digital currencies. This news, coupled with a reduction in the charges of Ether-powered transactions is the latest that can be seen as a major boost after weeks of negative trends in the market.

Ethereum is giving off a false impression of growth even though the sellers are largely taking control of the market. From its highest price recorded, the current price of $2579.71 following a 1.85% growth in the past 24 hours is an undervaluation. The buyers are looking to rewrite this trend.

ETH is approaching the support zone at $2,500. Against the historical trends, the bulls will look to use this point as a springboard to launch to break the resistance level at $2,800, and $3,000 respectively. Short term target for ETH is fixed at $3,000.

Yuriy Mazur, Head of Data Analysis Department at CEX.IO