Bitcoin and Ether Market Update July 1, 2021
The total crypto market cap lost $9 billion from its value for the period since Monday and now stands at $1.38 trillion. The top ten coins showed mixed results for the last 24 hours with Dogecoin (DOGE) adding 1.9 percent to its value while bitcoin (BTC) erased 2.5 percent. At the time of writing, BTC is trading at $33,500. Ether (ETH) is at $2,128.
Bitcoin closed the trading session on Sunday, June 27 at $34,606 after registering a 7.2 percent increase, which resulted in $2,300 being added to the market cap of the largest cryptocurrency. The daily candle was the biggest since June 13 and the second consecutive after BTC hit a 5-day low of $30,114 on Saturday. The coin was 3 percent down on a weekly basis, but avoided a head and shoulders pattern on that timeframe and kept the price floating above the important support zone around $34,600.
A lot of traders were now betting on exhaustion of the downtrend while others remained skeptical for the mid-term perspectives in front of BTC.
On Monday, the BTC/USDT pair continued to move upwards but hit the 21-day EMA suffering a rejection there which drove the price back down to $34,400 at the candle close.
The second day of the workweek came with an impulse in the buying volumes and the price climbed up to $35,800 – above both the short-term EMA and the diagonal resistance line. The $36,700 mark was tapped during intraday.
The mid-week session on Wednesday was when bears finally came in. Bitcoin started losing momentum and retraced down to $35,000 erasing 2.4 percent from its value. The ideal scenario for bulls would be to stabilize in the zone around $36,500-$36,700 and fight the way back up to a new higher high without breaking the fragile short-term market structure.
What we are seeing on Thursday morning is a significant correction down to $33,500.
The Ethereum Project token ETH fell 12 percent during the last seven days but managed to stabilize around the weekly support zone around the February high of $1,930 – $1,950. This happened mainly thanks to the 15 percent increase during the weekend when ether dropped as low as $1,714, but then quickly recovered to $1,977 on Sunday evening.
On Monday, the coin formed a third consecutive green candle on the daily chart and reached $2,077 after temporarily penetrating the next resistance area around $2,100.
The upward movement was resumed on Tuesday and the ETH/USD pair hit a one-week high by touching $2,250 in the early hours of trading thus surpassing both the short-term EMA and the mentioned resistance. Half of the gains were erased in the evening and the leading altcoin closed the session at $2,160.
On Wednesday, we saw a volatile session during which the Ethereum token was trading in the $2,100 – $2,275 zone before stopping at $2,272.
As of the time of writing, it is back down at the S/R are near $2,100-$2,150.