- Bitcoin is trading above a key level
Ethereum accelerated upward move
Bitcoin reached the highest level since October 26 yesterday. The coin reached a high of $10450 but currently a small pullback can be observed. Looking at the second biggest cryptocurrency, Ethereum, one can see that the recent upward move was even stronger than in case of Bitcoin and altcoin has reached the price of $270 on Thursday Let’s take a closer look at BTC and ETH charts.
Cryptocurrencies are doing well with Bitcoin (BTC) market cap jumping above $185 billion and Ethereum (ETH) nearing $30 billion mark. Ripple (XRP) still holds the third spot. Source: coinmarketcap.com
Firstly, let’s look at the technical situation on Bitcoin chart. Taking a look at H4 interval, one can see that BTC is trading in an upward trend and the price sits above the key $10000 handle. However, should the aforementioned level be broken, sellers will focus on $9500 handle as it is a support marked with the lower limit of Overbalance structure and the lower limit of upward channel. According to the Overbalance methodology, as long as Bitcoin stays above $9500 mark, the trend remains upward. A break below could trigger a bigger downward correction.
BITCOIN H4 interval. Source: xStation5
Looking at Ethereum, one can see that the upward move accelerated recently. Following a break above the $238 handle, ETH moved towards the resistance marked with the 61.8% Fibonacci retracement of the last downward impulse (started in June 2019). If the current sentiment prevails, there is a chance to extend the move towards the next Fibonacci retracement (78.6%). On the other hand, in case bears regain control, the earlier broken $238 handle should act as the nearest support.
ETHEREUM D1 interval. Source: xStation5