Yesterday, Bitcoin finally broke out of its sideways trend, setting a new local high at $28,140. Here's a market analysis of Bitcoin (BTC) and Ethereum (ETH) as of August 30.
Bitcoin (BTC)
Bitcoin's remarkable surge was driven by key fundamental events, particularly Grayscale's triumph in its lawsuit against the SEC. Effortlessly, BTC surpassed several resistance levels, settling within the $27,700-$28,200 bracket where it faced sellers' resistance.
To pivot to an upward trajectory, buyers need to establish their ground above the $28,600 mark. Until such a move is solidified, the momentum will likely tilt bearish, despite the recent rally. A significant support level is set at $27,200. Beneath this, buy orders are clustered within a broad zone spanning $26,200 to $26,900, and at the $26,000 level.
BTC chart on the М15 timeframe
Ethereum (ETH)
Ethereum's trajectory closely aligns with the primary cryptocurrency. Currently, ETH trades between a support level of $1,710 and a resistance range of $1,730-$1,745. If a correction ensues, ETH could test the broad buyer zone between $1,655 and $1,695, potentially reaching the $1,640 mark.
For Ethereum to break out of its local downtrend, its traders have a more challenging road ahead than those of Bitcoin. Beyond the current resistance, sell orders are concentrated in the $1,790-$1,815 range. This zone needs to be surpassed to transition from a bearish to a bullish trend, which is no small feat.
ETH chart on the М15 timeframe
Today, the U.S. is set to release its quarterly GDP data, and tomorrow will unveil the count of unemployment claims. Additionally, on September 1st, the SEC is slated to give a preliminary decision on the Bitcoin ETF applications.
Given these developments, fundamental factors might heavily influence cryptocurrency prices in the coming days. Traders should take this into account before initiating any trades.
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Disclaimer
Please note that the analysis provided above should not be considered a trading recommendation. These are solely the opinions of the GNCrypto editorial board regarding the market situation. Before opening any deals, we strongly advise conducting your own research and analysis.
Abbreviations
TF (Timeframe) — a chronological period equal to the time it takes to form one Japanese candle on the chart.
Horizontal channel (flat, sideways, range) — the movement of price between support and resistance levels, without going beyond the given range.
К — simplified designation of one thousand dollars of the asset price (for example, 23.4K - $23,400).
Gray range on the chart — a support zone.
Red range on the chart — a resistance zone.
Correlation — the tendency of prices of different cryptocurrencies to move in sync, often influenced by the dominance of one of the assets.
Initial materials
This analysis was informed by the following educational materials and articles from GNCrypto:
