Bitcoin and ethereum were both trading higher on Wednesday, as global financial markets reacted to the tensions caused by U.S. House Speaker Pelosi’s visit to Taiwan. The price of gold dropped by nearly $40 late on Tuesday, after securing a one-month high, while the S&P 500 also faced a turbulent session.
Bitcoin
Bitcoin (BTC), which was traded higher on Wednesday due to rebounding prices after five days of declining consecutively.
Following a low of $22,710.08 during Tuesday’s session, the world’s largest cryptocurrency rallied to a high of $23,446.87 earlier today.
This rally comes after bulls prevented a breakout at a support point in $22,600 yesterday. That would likely have triggered an increase towards $20,000.
As global markets react more to geopolitical tensions and volatility, bitcoin seems poised to move back toward its previous resistance level.
This point is at the $24,200 region, and could be the next target for BTC bulls, should today’s momentum extend throughout the remainder of the week.
The price strength also recovered with the 14 day relative strength index (RSI), hovering just above 53. It currently tracks at 56.
Ethereum
After the bullish return to crypto markets, bitcoin and ethereum (ETH), were also in the green.
ETH/USD moved to an intraday high of $1,672.63 during today’s trading session, which is over $1,000 higher than yesterday’s low of $1,570.09.
Similar to BTC, today’s rebound comes as bulls swiftly recaptured a support level of $1,620 on hump day, following a false breakout on Tuesday.
Pressure has grown since then. The 14-day RSI, just like Bitcoin, has fallen below a support line.
As of writing, the relative strength index is now tracking at 61.61, after its own floor of 58 was tested by bears during yesterday’s selloff.
If these floors remain, it is possible for ETH to move towards $1800 in the next session this week.
Register here and get price analysis alerts sent directly to your inbox every week.
Will ethereum continue to rally, following today’s rebound in prices ? Please leave your comments.
Image creditShutterstock. Pixabay. Wiki Commons
DisclaimerThis article serves informational purposes. It does not constitute an offer, solicitation, or recommendation of any company, products or services. Bitcoin.com doesn’t offer investment, tax or legal advice. The author and the company are not responsible for any loss or damage caused or alleged caused by the content or use of any goods, services, or information mentioned in the article.