BTC, ETH, and PAXG Analysis on September 18, 2023

Over the weekend, the cryptocurrency market remained stable without any significant volatility.

Bitcoin is currently trading within a resistance zone of $26,650-$26,770. The next noteworthy resistance, filled with sellers, stands at $27,220.

Should the buyers fail to gain momentum soon, we could see Bitcoin's price trend downwards. In such a scenario, the initial support lies around $26,300, followed by the ranges of $26,000-$26,200 and $25,400-$25,750. While a drop below $25,000 seems improbable at the moment, adverse fundamental developments could shift the dynamics.

The correlation between ETH and BTC persists, but Ethereum tends to react more significantly to downturns than upswings. Recently, ETH approached the $1,601 support level and subsequently tested the resistance zone between $1,636 and $1,654, where it currently resides.

For Ethereum to initiate an upward movement, it must break through the current resistance area, surpass the $1,670-$1,690 range, and establish itself above the $1,717 mark. Until this occurs, a continuation of its decline is the most likely outcome.

Should the downturn deepen, we might see an increased buying activity around the $1,601 level and within the price range of $1,557-$1,582. Any further descent will be influenced by market news and Bitcoin's trajectory.

Gold is currently trading within the support zone of $1,863-$1,895. Despite recent economic data from the US Consumer Price Index indicating negative inflation trends, a technical perspective suggests that an upward trajectory in the price of precious metals remains the dominant outlook.

The initial resistance that PAXG might face from sellers lies in the $1,955-$2,000 range. For PAXG to challenge and potentially surpass its annual high above the $2,052 level, it needs to breach the significant $2,000 mark and maintain its position above it.

If there's a continued downturn and the overall market sentiment turns bearish, the next substantial support zone is between $1,800-$1,835. Given the steady improvement in the global economy, holding PAXG in a spot position appears to be a prudent strategy.

Several key economic data points are anticipated this week. These include the count of building permits to be issued (on Tuesday, September 19), the Federal Reserve's interest rate decision (on Wednesday, September 20), initial unemployment claims, and the volume of existing home sales (on Thursday, September 21). Given that cryptocurrencies usually show pronounced price volatility in response to such announcements, traders might consider minimizing their risk exposure or opting out of trading during this period.

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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.

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.

This analysis was informed by the following educational materials and articles from GNcrypto: