Bitcoin and Ethereum Charts and Analysis
- Bitcoin pulling back Thursday’s losses.
- Ethereum/Bitcoin spread setting up for another break higher?
Thursday’s US CPI print of 7.5% turned risk markets sharply lower as expectations of more, and potentially larger, US rate hikes were priced in for 2022. Across the board, the three-week rally from multi-month lows was stopped in its tracks, although losses were limited considering the shakeout in the US equity markets. These losses are being pared today with most coins trading in positive territory ahead of the weekend. And this weekend is a big one in America with one of the world’s most-watched sporting events taking place on Sunday, Superbowl 56. This event is likely to gather a televised audience in excess of 100 million viewers and a couple of the largest cryptocurrency exchanges – FTX and Crypto.com – will be visible for all to see having taken out advertising slots in a bid to draw in new accounts. While unlikely that this will have much, if any, of an effect on crypto prices, it is another example of the cryptocurrency market becoming more mainstream.
Bitcoin is currently trading around $43.7k having convincingly broken a noted resistance level around $39.6k. This should now act as support in case of any sell-off, aided by slightly weaker support above $42k. A break above this week’s $45.8k high should allow Bitcoin room to move back towards resistance at $48k and eventually $52k. Bitcoin is currently in overbought territory so any move higher will likely be gradual to wash out this reading.
Bitcoin Daily Price Chart
Chart via TradingView
Ethereum’s recent 50% rally from the January 24 multi-month low also came to a halt yesterday but the second-largest cryptocurrency by market cap is beginning to press higher today. A confirmed break above this week’s double-high on either side of $3,280 would leave $3,509 as the next level of resistance. Support at $2,933 ahead of $2,695.
Ethereum Daily Price Chart
Chart via TradingView
The closely watched Ethereum/Bitcoin spread made a fresh attempt to break above the recent downtrend but so far has failed to close and open above this trendline. The chart below shows similarities between this breakout attempt and the successful one back in October with both making strong bases a couple of weeks before the move higher.
Ethereum/Bitcoin Daily Price Chart
What is your view on Bitcoin and Ethereum – bullish or bearish?? You can let us know via the form at the end of this piece or you can contact the author via Twitter @nickcawley1.