Bitcoin and Ethereum are still in support zones

Bitcoin chart analysis

The price of Bitcoin is still stagnant, and we are currently failing to make a bigger break above $ 44,000. Conversely, the price makes a withdrawal, and we are now at $ 42,630. Again, we turn to the previous support zone at $ 44,000.

Bullish scenario:

• We need new positive consolidation and testing of the $ 44,000 level.
• At that level, the extra resistance to us is the MA20 moving average, and we need a break above to continue on the bullish side.
• The next resistance zone awaits us at $ 46,000 and in the upper trend line.
• A break above would heighten the bullish feeling that would take us further to the $ 48,000 next zone of potential resistance.
• Additional resistances at that level are our MA50 and MA200 moving averages.

Bearish scenario:

• We need to continue this negative consolidation and the price withdrawal to the previous support zone of around $ 40,000.
• If bearish pressure continues, the price drop is evident, and then we will probably see new Bitcoin lows this year.

Ethereum chart analysis

Ethereum’s price is falling again this morning from $ 3400, failing to break above and continue towards $ 3500. Conversely, the price has dropped to $ 3,230, and we are now consolidating at that level. We have current support in the MA50 mobile, which can give us less wind in the back to get us back to the $ 3400 zone.

Bullish scenario:

• We need a new positive consolidation and a return to the previous level at $ 3400.
• Next, we need a break above to try to climb to $ 3500.
• Additional resistance to $ 3500 is our upper trend line, which may be an obstacle to further bullish continuation.
• A break above the line would boost bullish optimism that could take us to $ 3,700 and the MA200 moving average.

Bearish scenario:

• We need continued negative consolidation, and a price pull below $ 3,200 and the MA50 moving average.
• Then, we go further down to the previous psychological support in the zone around $ 3000.
• And if it doesn’t last, then we move on to this year’s low of $ 2,926.

Market news

Despite the constant reactions of regulators in the United States, the adoption and growth of digital currencies have been stable in recent years. Given this position, Michael J. Hsu, acting controller of the Office of the Currency Controller (OCC), argued that regulators should work with major cryptocurrencies to gain insight into how the ecosystem works. Michael advocated this while speaking at the Transatlantic Financial Forum on “The Future of Crypto-Assets and Regulation.” Michael pointed out that crypto exchanges, non-substitutable tokens (NFT), and the metaverse are some of the main ways in which people are gradually connecting with the digital currency ecosystem at the moment.

With the growing popularity of this emerging industry, many banks and financial institutions are now looking for ways to get involved in the space, a move that Michael said should be considered only when the banks involved develop the necessary cryptocurrency capabilities.

In addition, the head of the OCC pointed out that due to the weak regulatory position of the industry, it can be easy to lose confidence in digital currencies if a situation arises in which liquidity is difficult. Although he noted the good positioning of banks to maintain confidence, Michael advocated a careful analysis of technology that carefully supports the crypto ecosystem.

“While banks and trust corporations have a long and victorious history of safeguarding and protecting assets, the technology that is basically cryptocurrency and related management of certain tokens represent a multitude of new issues that require careful analysis and consideration,” he concluded.