Bitcoin’s attempt to breach the crucial 28150 mark, a key resistance level, has fallen short. This failure underscores a broader lack of upward momentum, stalling the anticipated uptrend. The recent rally in Bitcoin proved to be short-lived, leaving traders to assess the future trajectory.
Bitcoin Secret: Crucial Support Levels and Potential Scenarios
A drop below 26250 on the 15th of September signifies fading upward pressure. Besides, breaching the lower edge of the Ichimoku cloud played a significant role in the overall dynamic. The 89-period moving average on 240-minute charts has completed the picture. This opens the possibility of two likely scenarios. Bitcoin could stabilize within a range of 24750-27500. Alternatively, a retest of the June low of 24750 could be on the horizon.
Critical Resistance Hampers Ethereum
Ethereum’s journey towards the August high is impeded by strong resistance, specifically at the 200-period moving average and the early-September high of 1660. A downtrend line from August further complicates Ethereum’s progress. With the retreat from this pivotal resistance level, combined with a subsequent drop below a horizontal trendline support at 1600, a bearish bias continues to dominate.
Potential Downside Scenarios for ETH/USD
ETH/USD now faces the risk of retesting the August low of 1550. A breach below this level would set the stage for further declines, potentially targeting the lower edge of a downtrend channel since April, currently around 1485. A more extensive drop below the 1475-1550 range could lead to a downward trajectory towards the October low of 1370.
Evaluating the Bigger Picture
For Bitcoin, unless a decisive breakthrough beyond the end-August high of 28150 occurs, the path of least resistance remains sideways to down. Should Bitcoin break below 24750, it could signal further weakness, potentially heading towards the March low of 19500.
Navigating Critical Levels for Ethereum Revival
Ethereum grapples with its August low of 1550, yet it’s struggling to surpass significant resistance at the early-September high of 1660. Without a notable surge in upward momentum, the balance of risks for ETH/USD leans towards the downside. Monitoring the 14-day Relative Strength Index, capped at the 50 mark, indicates a corrective rally rather than the onset of a new uptrend.
Crucial Levels to Watch
Bitcoin’s resilience above the horizontal trendline support since mid-August, aligning with the June low of 24750, provides a glimmer of hope. Attempts to breach immediate resistance at the early-September high of 26500 are underway. This potential breakthrough suggests a turning tide in favour of BTC/USD, though a decisive rise above this level is needed to mitigate imminent downside risks.
Awaiting Confirmations for Ethereum’s Recovery
While Ethereum maintains above the August low of 1550, it’s yet to conquer meaningful resistance. Similar to BTC/USD, Ethereum encountered significant resistance at the early September high of 1660. Until substantive upward momentum surfaces, the risk for ETH/USD remains tilted towards the downside in the short term. A conclusive shift in momentum would require Ethereum to surpass 1660 at a minimum, with a stronger signal being a breach above the end-August high of 1750.
