Despite fluctuating volumes in spot Bitcoin ETFs, Bitcoin has consistently attracted buyers above the $60,000 mark. As the week concludes, the strength of Bitcoin (BTC) could hint at upcoming surges in altcoin values. Meanwhile, market analysts are closely watching the price trajectories for both BTC and Ethereum (ETH) to forecast their potential movements.
Bitcoin’s Path to New Heights
Market analysis by Ali Chart suggests that Bitcoin is not currently encountering any major resistance levels that could hinder its upward momentum. The IntoTheBlock IOMAP chart supports this, showing little resistance for BTC. With profitability rates exceeding 99%, the market outlook for Bitcoin appears optimistic. A solid support zone between $54,300 and $56,200 has been identified, where around 903,540 addresses have purchased roughly 500,000 BTC. This support is crucial, as it could prevent rapid losses and keep Bitcoin on track for new all-time highs, barring any negative headlines.
Historical data from the weekly charts also reinforces the significance of this support level, which previously acted as a springboard for Bitcoin’s climb to $69,000 in 2021. However, with the RSI indicator signaling an overbought condition and TD Sequential hinting at a potential short-term correction of about 5%, cautious investors are advised to stay alert. Despite the possibility of a correction, Bitcoin could retest the $69,000 mark in March under favorable conditions.
Ethereum Sets Its Sights on Growth
Ethereum, often referred to as the king of altcoins, is making strides as it eyes a move toward the 0.08BTC level, spurred by a breakout at full BTC parity. ETH’s dollar value has risen, even as its performance lags behind Bitcoin’s. With significant dates ahead, including Dencun and Spot Ethereum ETF decisions in mid-March and late May, ETH’s prospects could see a substantial uplift.
Anticipation of increased demand, potentially catalyzed by Dencun and amplified by ETF expectations, could propel Ethereum’s price into the 0.06-0.07 BTC range, with a possible surge to $4,300 on the horizon in March. Investors are keeping a keen eye on these developments as they unfold in the cryptocurrency landscape.