Bitcoin, Ethereum Technical Analysis: BTC Closes in on $31,000 as S&P 500 Plunges to 4-Month Low
Bitcoin started the week surging towards the $31,000 level, as the S&P 500 fell to a four-month low. Momentum in crypto markets has remained mostly bullish in recent days, following speculation on upcoming exchange-traded fund (ETF) approvals by the United States SEC. Ethereum rose above the $1,700 mark.
Bitcoin climbed to a fresh multi-month high to start the week, as market sentiment remained high following speculation on potential ETF approvals.
After trading at a low of $29,734 on Sunday, BTC/USD peaked at the $30,951 level during today’s session.
This move saw bitcoin climb to its strongest level since July 14, when price hovered close to $32,000.
Monday’s gains sent the relative strength index (RSI) above the 76.00 mark for the first time since the beginning of the year.
As a result of the cryptocurrency being extremely overbought, bears that are currently sidelined could be pondering reentry.
In the event that this comes into fruition, sellers could aim to push bitcoin to a long-term floor of $29,000.
Ethereum (ETH) rallied above the $1,700 level on Monday, hitting a three-week high in the process.
ETH/USD peaked at $1,705.37 earlier in the day, less than 24 hours after trading at a low of $1,623.98.
As a result of today’s high, the world’s second largest cryptocurrency climbed to its highest level since the start of the month.
The move saw ethereum climb for a fifth straight session, which came as the RSI broke out of a resistance at 60.00.
Price strength is now tracking at 62.40, with the next visible ceiling on the index at the 65.00 mark.
At the time of writing, ethereum is trading at $1,676.39.