Bitcoin, the most prominent cryptocurrency, currently faces a challenge breaking above $52,000, potentially leading to a near-term pullback. According to BitMEX Research, Bitcoin ETFs experienced a $36 million net outflow on February 21st, reflecting a period of sideways trading. However, the subsequent day marked a significant turnaround with a $251 million net inflow, indicating renewed investor interest.
Bitcoin’s Struggle at $52,000
Despite the recent dip-buying at $50,625, Bitcoin’s inability to hold gains past $52,000 signals a potential bearish offensive to drive the price below the immediate support level. Should bears force a drop below $50,625, Bitcoin could retreat to a stronger support at $48,970. Conversely, if the cryptocurrency rebounds from this support, a bullish sentiment could propel it above $52,000, potentially rallying towards $60,000. Nonetheless, a fall below $48,970 might trigger increased selling, leading to a descent towards the 50-day Simple Moving Average (SMA) at $45,247.
Ethereum Encounters $3,000 Threshold
Ethereum, the foremost platform for smart contracts, is also facing resistance at $3,000. The presence of bears at this crucial level suggests a potential correction towards the $2,717 mark, which coincides with the 20-day Exponential Moving Average (EMA). A bounce from this area could mean the level has transformed into a support, allowing bulls to attempt breaching the $3,000 resistance once again. If they prevail, the ETH/USDT pair might ascend to $3,300. However, if bears manage to suppress the price below $2,717, Ethereum might see a decline to its 50-day SMA at $2,497, possibly stalling the next upward move.