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Forecasts of financial markets are the private opinion of their authors. The current analysis does not constitute a recommendation, a guide to trading or investment research. ForkLog and Bybit are not responsible for the results of work that may arise when using this material to make trading decisions.
On September 7, bitcoin and Ethereum fell to local lows of $ 18,500 and $ 1490, respectively, after which the market began to recover rapidly. On September 12, the price of the first cryptocurrency overcame the level of $ 22,000, and Ethereum rose to $ 1790 in anticipation of the activation of The Merge update.
Is it possible to continue the uptrend? We analyze the price levels of Bitcoin and Ethereum on the Bybit crypto exchange.
After an unsuccessful attempt to break through the resistance at around $ 25,000, the price of bitcoin fell sharply to the support level of $ 19,000, where the bulls began to actively buy the cryptocurrency. From the minimum on September 7, the price has increased by 20%.
Support and resistance levels on the daily chart BTCUSD Perpetual Contract (Bybit). Data: TradingView.
To continue the upward trend of BTCUSD, buyers need to gain a foothold above $ 22,000. If this level is maintained, we should expect consolidation with subsequent growth to the resistance of $ 25,000.
With $22,000 pushed down, bitcoin could again test the psychological level of $20,000 with bear targets below $18,000.
Despite the upcoming update, the dynamics of ETHUSD looks worse: since the minimum on September 7, the asset has added 15%. After reaching a local high at $1790, the price retested support at $1700.
Support and resistance levels on the daily ETHUSD Perpetual Contract (Bybit) chart. Data: TradingView.
To break through the resistance at $2000, you need to keep the $1700 mark. Growth above $2000 is possible after successful activation of The Merge. Otherwise, the price may update local lows below $1400.
Bitcoin’s dominance index rose again above the level of 40%, which several times acted as a strong support at the end of the altcoin season.
Against the background of the upcoming update, Ethereum showed good growth. Subsequently, we can see a price rollback due to partial profit taking by traders.
In addition, possible problems in conducting The Megre can increase pressure on the cryptocurrency market.
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