Bitcoin price briefly returned to the $20,000 region, and Ethereum price briefly rose above $1,100 on Thursday, after a volatile day of trading.
The volatility in the market comes after the release of US inflation data for June, which showed that US inflation rose to its highest level in more than four decades, rising by 1.3%, and now settling at 9.1%.
Bitcoin BTC
The price of BTC was slightly higher on Thursday, as prices rose after 24 hours of turbulent trading, which saw the price drop below $19,000. After this drop, the price of the largest coin in the cryptocurrency market jumped, reaching a peak of $2,0361.12 earlier in the day.
Bitcoin traders expect the Federal Reserve to raise interest rates by another 75 basis points later this month, which could affect prices further.
BTC is now trading at $19,781 (at press time), and although below previous levels, it is still above yesterday’s low of $18,999.95.
The 14-day RSI remains below the 41.80 resistance level, and this appears to be the main obstacle preventing prices from a sustained breakout.
ETH
ETH also had to face the market’s volatility on Thursday, as its price came close to dropping below $1,000.
Ethereum price dropped to $1019 late in the Wednesday session, but prices rebounded today, hitting a high of $1,120.32 in the process.
Since the breakout above the $1,100 threshold, the bulls earlier have turned bearish, with prices now trading near $10.89.
Like Bitcoin, price uncertainty increases, due to a lack of directional momentum, as both the 10- and 25-day moving averages are trending sideways, despite the recent marginal crossover.
For momentum to rise, we will likely need to see relative strength rise as well, yet the RSI continues to trade below its own ceiling. Overall, the price of Ethereum is currently down 8.26% in the past seven days, but there is still some optimism that these sentiments may change soon.
Source: Bitcoi.com