Bitcoin and Ethereum prices are remained stable despite significant volatility over the past few weeks. Bitcoin is holding in a tight range between $22,350 and $23,350, while Ethereum is trading choppy in a narrow range of $1,550 to $1,630.
As we enter the weekend, many investors are wondering if now is the time for a breakthrough.
The answer to this question lies in analysis of Bitcoin and Ethereum prices in recent days. In examining historical trends of these two major cryptocurrencies, investors can get an idea of whether or not this weekend might see BTC and ETH break out of their current ranges.
Moreover, in understanding the underlying factors that influence Bitcoin and Ethereum prices, investors can make informed decisions about their investments.
Cryptocurrency Market Snapshot: Fundamentals for a Coming Boom
A cryptocurrency bull rally was sparked by the previously released Personal Consumption Expenditure (PCE) report, which showed a slowdown in inflation at the end of last year.
As a result, traders expect FOMC raises interest rates by 25 basis points (or 0.25 percentage point) at its February meeting. If the Fed maintains its position, Bitcoin (BTC-USD) could suffer
The recent rise in inflation in the United States, on the other hand, has served as confirmation signal to investors to buy Bitcoin and other cryptocurrencies.
Moreover, the increase in buying from institutional investors in the United States was responsible for the rise in Bitcoin prices.
New York Introduces Groundbreaking Legislation To Allow Crypto Payments
Since the start of 2023, there have been many developments in the cryptocurrency universe that have helped support and boost its market. On January 26, the New York State Senate introduced a bill allowing government establishments to accept cryptocurrency as an official form of payment.
This could help further legitimize the use of digital currencies in consumer commerce.
If New York Assembly Bill 2532 is passed and becomes law, cryptocurrencies will be accepted as payment under certain conditions, which will benefit the cryptocurrency industry in the long run. It should also be noted that this bill does not appear to support the commercial use of cryptocurrencies.
At the same time, current legislation would be changed to allow state agencies to use cryptocurrencies.
However, the bill specifies Bitcoin Cash, Ethereum, Litecoin and Bitcoin as acceptable currencies. The bill was drafted by Assemblyman Clyde Vanel, who also proposed cryptocurrency fraud legislation and the formation of cryptocurrency task forces.
Wendy Rogers presents bills to make Bitcoin legal in the United States
Senator Wendy Rogers of Arizona has made a name for herself in the US Senate by introducing a number of cryptocurrency bills. His work is driving several changes related to cryptocurrency and having a positive impact for the state of Arizona.
It is important to recognize the efforts of Senator Wendy Rogers who was actively involved in issuing bitcoin banknotes. Rogers mentioned a Goldman Sachs study that found that Bitcoin is the most profitable asset in the worldregardless of geographic region.
The United States is considering possibility of officially recognizing Bitcoin (BTC) as legal tender. If this proposal is successful, it will open new opportunities for the cryptocurrency and could lead to an exponential increase in its value.
Higher US Dollar Could Limit BTC Advance
The US dollar has turned green and finally lifted off its lowest level in eight monthsas expectations of a soft landing for the economy by the Federal Reserve and a pause in its aggressive monetary tightening next week rose in response to slowing inflation.
According to a report from the Commerce Department, consumer spending in the United States fell for two consecutive months in December.
The report also showed smallest increase in personal income in eight monthslargely due to the moderate wage growthand this is not necessarily a positive sign for inflation.
The price of bitcoin
Bitcoin is currently valued at $23,050, with a 24-hour trading volume of $22 billion. Over the past 24 hours, Bitcoin has been choppy, but remains almost stable with a capitalization of a value of 435 billion dollars.
Bitcoin is currently encountering resistance at the $23,250 level, with immediate support remaining steady at $22,500. If the price of Bitcoin falls below $22,500, a market downtrend is likely, and it could reach $21,500. If it continues to decline from there and reaches $20,450, we could see an even more bearish trend.
The Relative Strength Index and Moving Average Convergence Divergence are both in areas indicating overbought. Nevertheless, a bullish engulfing candle has recently been observed, suggesting that the uptrend of the market should continue.
Bitcoin’s immediate resistance level is $23,250: if it exceeds this price, it could reach $23,900 and $25,150.
The price of Ethereum
Ethereum is currently trading at $1,595 and experienced a decrease of 0.8% in the last 24 hours with a total trading volume of $6 billion. It is ranked 2nd on CoinMarketCap, with a live market capitalization of $195 billion.
In the 4-hour time frame, the ETH/USD pair fell sharply from the $1600 level. This decline was caused by a break in an uptrend channel and a close below this price level. The downtrend eventually bottomed out at $1,525 per share.
At $1,600, Ethereum may encounter resistance. If he can cross this barrier, its price could easily reach $1,675. Alternatively, there is a possibility of a downtrend starting at $1,525 which could extend to $1,445 if the price goes down quickly.
Alternative cryptocurrencies to follow
Cryptonews Reviewed top 10 cryptocurrencies for 2023. If you are looking for a higher potential investment opportunity, there are many other projects worth considering.
Disclaimer: This linked article presents the views of crypto industry players and is not part of the editorial content of Cryptonews.com.
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