Bitcoin and Ether Market Update February 11, 2022
Total crypto market cap added $360 billion to its value for the period since Monday and now stands at $1.96 trillion. The top ten coins are all in red for the last 24 hours with Solana (SOL) and Polkadot (DOT) being the worst performers with 6.1 and 5.9 percent of losses respectively. At the time of writing bitcoin is trading at $43,250. Ether is at $3,090.
Bitcoin closed the trading day on Sunday, February 6 at $42,400, well above the mid-term diagonal resistance and the 21-day exponential moving average (EMA). The mentioned downtrend line was unbreakable for 86 days since BTC peaked at $69,000 on November 10, 2021. Bulls were able to also surpass and consolidate above the horizontal S/R line around $40,500 (stable support with a proven success rate from back in September 2021 and January 2022).
The biggest cryptocurrency ended the previous seven-day period with an 11.8 percent of a price increase. The next major resistance zone is situated in the $45,800 – $46,600 range. It is also where the biggest trading activity is according to the Volume Profile (VPVR) indicator.
On Monday, the BTC/USDT pair continued to move in the upward direction reaching $44,500 during the intraday trading before closing the session at $43,980 with a 3.6 percent of a price increase.
BTC climbed up to $45,600 on Tuesday, hitting the lower boundary of the mentioned resistance zone on the daily/weekly timeframes. The momentum, however, was not strong enough, and bears pushed the price down to $44,100 at the daily candle close.
The 24-hour volumes were increasing as the RSI re-entered the overbought area.
The mid-week trading day on Wednesday was relatively calm with the price gravitating around the $44,000 mark. It eventually closed at $44,336. The price action was similar to the July 2021 rally.
On Thursday, February 10, the BTC/USDT pair dropped down to $43,460 losing 1.8 percent after suffering rejection at the weekly R/S zone.
The coin is trading even lower, at $43,300 on Friday morning.
The Ethereum project token ETH formed its fourth consecutive green candle on the daily chart on Sunday, February 6. It hit the September weekly bottom at $3,070 ending the week 17.4 percent higher. The coin successfully moved above the 21-day EMA thus confirming the short-term reversal to the upside.
The rally continued on Monday as the ether climbed further to $3,145 touching the mid-term downtrend line for the first time since early January. The move resulted in a 2.5 percent increase for the day.
The Tuesday session was when ETH bulls pushed the price above the diagonal resistance briefly hitting $3,233 before retracing down to $3,111.
On Wednesday, February 9, the ETH/USDT pair jumped back up from the mentioned weekly low and rose to $3,230 (or 3.4 percent higher), close to the next potential resistance zone is in the $3,250-$3,350 range. 3.8
The 24-hour volumes were still slightly below the average values, yet the RSI recovered in a spectacular manner and entered the overbought area.
The coin suffered a 5.1 percent drop on Thursday, fully engulfing the previous green candle.
It is trading at the diagonal resistance line on Friday morning.