Bitcoin and Ethereum in the sideway movement
Bitcoin chart analysis
The price of bitcoin continues its consolidation; this morning, we had a jump to $ 39,975, and then very quickly a drop in price to $ 38,145. As we can see, we have up resistance at $ 40,000, and we have support below at $ 38,000. Most of the movement takes place below the MA200, which may be an indication that bearish pressure is still present on the chart. For a more specific bearish option, we need a price drop below $ 38,000. Our first potential support was yesterday’s low at $ 37,600. Break below us down to the next support at $ 37,200, last week’s low. We need to climb above the $ 39,250 level and the MA200 moving average for the bullish option. After that, the price will try again to test the $ 40,000 level, and the break above us could climb to the $ 42,610 level, last week’s high.
Ethereum chart analysis
The price of Ethereum is consolidating in the range of 2,500 – 2,600 dollars. Moving averages are on the bearish side and a further slight advantage of the bearish option. For now, the price has not formed a new lower low nor a higher high. So we can expect further side consolidation. For the bullish option, we need a break above $ 2,600, and our first target is a zone around $ 2,800. If Ethereum manages to climb above $ 2,800, then our next target is a zone around $ 3,000. For the bearish option, we need a price drop below $ 2,500, and our target is the previous low zone to $ 2,444, last week’s low. In the continuation of the bearish consolidation, our next target is the $ 2,300 February minimum.
Given that inflation is wild, analysts believed that an increase in the rate of more than 0.25% is unlikely due to the need to maintain balance in a market already inflated with liquidity injections and uncertain thanks to the Russia-Ukraine war.
“The bottom line is that we will continue, but we will act safely until we learn more about the implications of the war in Ukraine,” Fed President Jerome Powell told U.S. lawmakers earlier in March.
After the Elon Musk tweet, Bitcoin, Ethereum, and Dogecoin recorded a jump in prices. The richest person in the world, the CEO of Tesla and SpaceX, Elon Musk, was quite influential in terms of raising the prices of cryptocurrencies.
In his recent tweet, Musk stated that he will not sell his Bitcoin, Ethereum and Dogecoin and that he still owns them. This tweet came after Elon Musk asked about the expected inflation rate in the next few years.
Shortly after that particular tweet, Bitcoin, Ethereum, and even Dogecoin registered rising prices on their charts. BTC rose 3%, while Ethereum strengthened just above 2%, and Dogecoin rose 4%. Despite the positive sentiment of prices, cryptocurrency prices are still quite volatile.