Bitcoin and Ethereum Prices Fluctuate Amidst Cloud Cover Uncertainty. Bitcoin and Ethereum prices and the essential levels to monitor as they respond to market conditions influenced by cloud cover uncertainty.
- Bitcoin and Ethereum failed to hold last week’s early gains.
- ETH/USD and BTC/USD continue to flirt with major support levels.
What is the outlook, and what are the key levels to watch?
Bitcoin and Ethereum Navigate Market Challenges Amidst Thick Cloud Cover
Last week’s early bounce was short-lived after the Securities and Exchange Commission (SEC) delayed making any decision on Bitcoin ETF applications. While many remain hopeful of an eventual blessing from the agency, the optimism isn’t being reflected on the technical charts of BTC/USD just yet.
BTC/USD is now testing key support at the June low of 24,750. This support is crucial, as a break below would disrupt the higher-highs-higher-lows sequence since late 2022. Furthermore, such a break would trigger a double top (the April and July highs), pointing to a deeper retracement toward the March low of 19,550. Weakness emerged due to the inability to surpass the upper Ichimoku cloud edge on weekly charts, coinciding with an upward-sloping 2021 trendline and the 89-week moving average.
ETHEREUM: Looking vulnerable
Ethereum appears to be struggling to hold above a vital floor at the June low of 1,620. This support is crucial for the broader recovery from the end of 2022 to continue. Any break below would confirm that the bullish bias had dissipated. Such a fall would initially open the way toward the March low of 1,370, with major support at the 2022 low of 880. Like Bitcoin, ETH/USD has been under the influence of the bearish Ichimoku cloud cover on the weekly charts. In recent months, Ethereum hasn’t been able to clear past the upper edge of the cloud on the weekly charts, roughly coinciding with a slightly upward-sloping trendline from 2021. ETH/USD’s inability to rise toward the top of the cloud cover, in comparison with BTC/USD, reflects its relative weakness.