BTC recovered from multi-week lows on Monday and climbed above $40,000 Tuesday. Today’s surge in price comes as ETH also rallied, climbing beyond the $3,000 point for the first time in three days.
Bitcoin
Following a disappointing start to the week, bitcoin saw its price rebound during Tuesday’s session, as bulls returned to action.
Monday’s BTC drop to $38,708.50 was the lowest level since March, but it is now gaining momentum.
BTC/USD surged to $40,713.89 intraday earlier today. This was after long-term support levels of $39,000.
Today’s surge, which sees prices of the world’s largest cryptocurrency up nearly 5%, has somewhat eased, as early entrants likely have chosen to secure gains.
The chart shows that these positions were closed just as the prices reached the $40,835 long-term ceiling, which was often a source of disagreement.
Relative strength remains oversold despite today’s gains, which may turn out to be a positive for bulls looking to spark a resurgence.
Ethereum
ETH’s price reclaimed $3,000 for the first-time since Saturday after recent losses.
As we write this, ETH/USD are up 4.6%, following an earlier rally that saw it climb to an intraday high at $3,026.42 yesterday.
Today’s peak comes less than 24 hours after prices were trading at a bottom of $2,851.25, which was the lowest ETH had hit since March 18.
The 14-day RSI fell to 44.20 on the recent price decline. However, bulls managed to stop any further weakness and have used it as an opportunity to demonstrate strength.
The chart shows that the 14-day RSI has risen to above 45. Should it climb towards 50, we’ll likely see ETH trade above $3,100.
The trend of moving averages is now sideways. This could indicate consolidation. However, bullish prospects for an upward crossover will increase.
What was behind today’s rally in BTC and ETH? Please leave your comments.
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