- Bitcoin and Ethereum have seen a significant price increase over the past few days, with Bitcoin nearing the $25,000 mark and Ethereum briefly surging above $1,700.
- From a technical perspective, both digital assets are displaying a bullish bias.
- If Bitcoin breaks the $25,000 resistance level, it may push the price momentum towards $26,200 or even $27,000. Meanwhile, Ethereum could need to see some sort of catalyst to continue higher.
Recent Price Increase
Over the past few days, both Bitcoin and Ethereum have seen a significant price increase. Bitcoin flew toward the $25,000 mark and Ethereum briefly surged above $1,700 on Wednesday.
From a technical perspective, both digital assets are displaying a bullish bias. The leading digital asset successfully surged above the key resistance level of $22,000 and remained well above the 200-day simple moving average. The bears defended their territory at the $25,000 zone but there is still potential for Bitcoin to break this level and push towards higher levels of around $26k or even further to around 27k. Meanwhile, Ethereum has bounced off the 38.2% Fibonacci retracement level of 1.490 which could signal that it needs some sort of catalyst in order to continue its upward trend.
Despite these increases in value for both cryptocurrencies there remain potential risks that should be taken into consideration when trading these assets. A breakdown below certain support levels could lead to further declines in price so traders should keep this in mind when making decisions about their investments.
It remains unclear whether or not these two digital currencies will continue on their current bullish trend or if a correction will soon be expected due to various factors such as uncertainty regarding regulations and liquidity issues that can affect market sentiment.