Price Analysis: BTC Hits New Monthly High as ETH Faces Major Resistance Point

By Godfrey Benjamin
Published August 7, 2021 Updated August 7, 2021
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Price Analysis: BTC Hits New Monthly High as ETH Faces Major Resistance Point

By Godfrey Benjamin
Published August 7, 2021 Updated August 7, 2021

The rally that was ignited with the launch of the Ethereum London Hardfork upgrade is yet to cool off. In response to the geared up sentiment as driven by Ethereum (ETH) and its associated tokens with a massive rub-off on Bitcoin (BTC), the global crypto market cap has inched upward by 3.61% to $1.74 trillion.

Beyond the fundamental upshoot in the Ethereum blockchain which now burns off a portion of the token per minute, the Bitcoin ecosystem has also seen bullish fundamentals to help drive the current growth trend.

Bitcoin and the Steady Uptrend: How High Can Price go?

Since the price of Bitcoin went on a freefall from its All-Time High (ATH) price of $64,863.10, the price has largely hovered from a low of $28,893.62 to a $43,271.66, a price point attained per the bullish stack ups in the past 24 hours according to data from CoinMarketCap.

The price repressions of Bitcoin has been stirred by regulatory uncertainties in the past few months. This has kept major institutional investors on the sidelines, with retail investors driving the bulk of the transactions in the market today. The buying momentum per on-chain data are bullish with the last trading volume of BTC soaring 17%.

BTC/USDT 4h Chart (Binance) Source: TradingView

 

The BTC/USDT 4h Chart confirms the short term uptrend in price movements as adjudged by the 6-day and 20-day Moving Averages. With Bitcoin price trading above these indicators, a sustained growth to make $43,000 a support may usher in a new rally toward the $46,000 resistance level.

However, the direction of the controversial infrastructure bill can influence the price of the digital asset either in favor of the bulls or the bears. Irrespective, a sustainable support appears to have been set around the $40,000 in the short term.

Ethereum on the Verge of Breaking $3,000 Resistance

Ethereum is largely a major driving force of the bullish action seen across the digital currency ecosystem with its 4.73% gain to $2,925.24. At this rate of growth, the coin which has become a deflationary token by virtue of the EIP 1559 upgrade may test the $3,000 resistance point in the next couple of hours if the buying momentum is sustained.

ETH/USD 4h Chart (Coinbase) Source: TradingView

A break above $3,000 can spell two key occurrencies. One, the bulls will step in with FOMO to maintain the current stack up and drive price growth to a new 90 high which may touch $3,500 in the short term. Two, bears may step in an aggressive profit taking move to cause a retracement back to the $2,600 support level. 

Either of these moves can spell a healthy march for Ether seeing the usability of the network is enhanced by the EIP 1559 upgrade.

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Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
About Author
Godfrey Benjamin
177 Articles
Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture. Follow him on Twitter, Linkedin

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