Bitcoin (BTC) and Ethereum (ETH) Market Update October 27, 2022
The total crypto market cap is up by $66 billion for the period since Monday and now stands at $996 billion. The top ten currencies are trading mostly flat, with Dogecoin (DOGE) being the best performer with 11.3 gains for the last 24 hours. At the time of writing bitcoin (BTC) is trading at $20,600. Ether (ETH) is at $1,552.
Bitcoin closed the previous trading week at $19,580 with a 1.8 percent of a price increase. It hit the short-term range high, but also managed to break above the 21-day EMA on the daily timeframe chart with a solid green candle.
On Monday, October 24, the BTC/USDT pair corrected its price down to $19,340 but found stability at the mentioned fast exponential moving average line. It is also worth mentioning that the narrowing trading range and the subsequent move to the upside resulted in a break out of the Descending triangle pattern thus avoiding a severe bearish scenario.
The Tuesday session was a good one for the bulls. The biggest cryptocurrency jumped 3.7 percent to reach the $20,400 mark near the last high before closing at $20,080 in the evening.
The mid-week trading day on Wednesday came with a second consecutive day in green. BTC hit $20,800 adding another 3.3 percent to its valuation. It broke the mid-term range and came out of the most actively traded zone as per the Volume Profile (VP) indicator.
The 24-hour trading volumes are currently higher than the average for the last 14 days while the Relative Strength Indicator (RSI) is already in the overbought area.
Bulls can expect to have support around the $20,500 zone. The next target up remains $21,500.
What we are seeing midday on Thursday is a small 1 percent pullback to $20.500.
The Ethereum Project token ETH ended the previous seven-day period with a 4.8 percent increase after it found stability at the 200-day simple moving average and the long-term diagonal support on the weekly timeframe chart.
On Monday, October 24 the leading altcoin corrected its price down to $1,345 in an attempt to consolidate at the range high before the next leg up.
The ETH/USDT pair rallied on Tuesday and touched the $1,521 mark above both the 21-day EMA and the mid-term diagonal resistance line. The move resulted in an 8.4 increase in its price.
The third day of the workweek came with a continuation of the uptrend. The ether climbed 7 percent up to hit $1,567. The current zone, between $1,000 and $2,000 has previously acted as a magnet for the price and is one of the most actively traded.
As of the time of writing this market update on Thursday, the ETH token is trading slightly lower, but still with surging trading volumes and a trend strength indicator in the overbought area. If the current zone of resistance is surpassed, then this will open the door for the range high at $2,000.