The Bitcoin resurgence received a sustained momentum as the bulls anticipated to stir a push above the $60,000 resistance mark, and while this price level is currently being rejected by the bears, the prospective weekly high may veer above the level. Ethereum on the other hand traded at its weekly high at the earlier hours of today riding on the bullish news about the network being adopted by online payments services provider Visa Inc.
In all, the influence of both Bitcoin and Ethereum in keeping the global cryptocurrency market capitalization on the path of gains is evident. The global market cap is up 2.74% to $1.87 trillion. Today’s piece highlights new trends in the market and how the technicals are backing the ongoing price spikes.
Bitcoin Accumulated is Undeterred
The question of whether Bitcoin is a legitimate digital asset to hold is no longer a common one in today’s cryptospace as the cryptocurrency has proven itself sustainable over time. The latest weekly on-chain data from crypto analytics provider Glassnode suggests that the market is seeing the emergence of new crypto HODLers.
Per the data, about 25% of all Bitcoin being traded in the past 6 months are from new coins, as older investors appear to be heralding a longer-term holding policy. Current data also suggests that the outflow of assets away from these exchanges is also a positive signal that suggests accumulation. The sustenance of this trend will stir scarcity which will eventually impact the price of the coin.
At the time of writing, Bitcoin is up 2.39% to $59271.1, a trend that suggests a breakout through the $60,000 psychological level is imminent. Consider the BTC-USD 4-hour chart on TradingView.
The Chaikin Money Flow indicator aligns with the Relative Strength Index and showcases the bullish breakout of Bitcoin. In the past 24 hour period, Bitcoin bulls have not just sustained price around the $58,000 support level, they are unrelenting in their desire to push the price above the $60,000 resistance.
The fight for control can be seen at the top as the tiny bearish candlestick at the tail end of the chart indicates the drawback from the market bears. As a dynamic market, the bearish pressures are not necessarily required to align with those of the buyers, as the dominant forces per time will gain control, and in this case, the bears.
The volatilities around the $59,000 level are high and should the bullish forces stretch out the price range north of these levels, a $62,000 top will be the next stop. Should there be any correction, A bounce back around $58,000 can be anticipated.
Ethereum Leading Gains as it Becomes Visa’s Preferred Network
Ethereum is seeing its best price-performance in days as it is remarkably leading Bitcoin per its rate of gain. The cryptocurrency is trading with a 3.14% surge to $1838.06 and its plans to form a top at $1,900 is currently being vehemently resisted by the bears.
San Francisco-based payment services provider, Visa Inc has revealed its plans to integrate the payment infrastructure to let cash transactions be settled using the Ethereum network. This news is not being taken lightly by the buyers as a resumption in accumulation helped push the coin to a new weekly high today.
Per the ETH-USD 4-hour chart, as seen on TradingView, the cryptocurrency is forming a negative surge away from the upper bands of the Donchian Channel. While the Awesome Oscillator remains steadfastly bullish, the MACD line which previously attempted to make a bearish crossover on March 29th is currently trending in the buy-up range.
There are huge expectations on Ethereum to forge its own bullish course irrespective of Bitcoin, riding on the Visa sentiments. However, while the market anticipates a surge toward the $1,900 psychological level, a bigger target for Ethereum is to cross the major resistance at $2,000. Should the bulls fail at stirring this price sojourn, a sell-off might ultimately reverse the gains, pulling the price back down to the $1,500 support zone.
Konstantin Anissimov, Executive Director at CEX.IO