Bitcoin and Ether Market Update July 28, 2022
The total crypto market cap increased by $46 billion for the period since Monday and now stands at $1,054 billion. The top ten coins are trading mostly in green for the last 24 hours with ether (ETH) and Solana (SOL) being the biggest gainers with 11.2 and 9.8 percent of gains respectively. At the time of writing bitcoin (BTC) is trading at $23,000. Ether (ETH) is at $1,626.
BTC/USD
Bitcoin ended the previous seven-day period with a solid green candle on the weekly timeframe chart and an 8 percent price increase. The coin confirmed the breakout of the old range and the high at $22,000 and tested the 200-day Moving Average (MA). What is more, bulls attempted to break the diagonal resistance line on the daily chart near $24,500, but the short-term rally had already exhausted its strength resulting in a price pullback.
On Monday, July 25, the BTC/USDT pair unexpectedly lost 6 percent of its valuation and dropped down to $21,300 thus losing the horizontal support. It also lost the 21-day EMA and slide even lower on Tuesday to grab the underlying liquidity before reversing back to the upside.
The third day of the workweek brought some extreme volatility to the charts caused by the United States Federal Reserve Open Market Committee meeting (FOMC) where a fresh new 0.75 percent interest rate hike was announced (as expected). The markets reacted positively and BTC rallied all the way up to $23,000 engulfing all four previous sessions. It increased by 8 percent.
What we are seeing midday on Thursday is a continuation of the uptrend as bulls are trying to climb above the diagonal resistance and re-enter the liquidity gap area above $23,500. The 24-hour trading volumes remain relatively high with the Relative Strength Index (RSI) looking to enter the overbought zone.
ETH/USD
The Ethereum project token ETH was trading in a range in the period between 18 and 24 July after rallying more than 55 percent in the last few weeks. The leading altcoin was one of the most traded coins thanks to its strong fundamentals. It closed its third-consecutive weekly candle in green, this time adding 19 percent.
On Monday, the ETH/USDT pair fell sharply to $1,440, which resulted in a 10 percent correction.
It moved even lower on Tuesday, briefly touching the $1,360 mark, but the horizontal support area and the 21-day EMA provided the required stability and bulls avoided further decrease.
The mid-week session on Wednesday came with a quick change of directions. ETH reversed to the upside and climbed all the way up to $1,630 or 13 percent higher. It was once again flirting with the extremely stable support/resistance area around $1,700.
The ether is flat at the time of writing this market update on Thursday, July 28 as the uptrend looks a little exhausted after filling the liquidity gap opened during the last market crash at the beginning of June.
