- Bitcoin is holding key support above $23,000
- Ethereum is clustering under resistance and looking to burst through
- The total market cap suggests that more upside could be to come in August
Bitcoin is sitting pretty above a level of support that has so far held for over a month, suggesting that it is ready for a next leg up. Ethereum is clustering below its equivalent level of resistance, while the total market cap is looking to break through its own key resistance level. However, with fakeouts taking place left right and centre, taking positions and holding with conviction isn’t easy.
Bitcoin Looking Solid
Bitcoin has by and large been hovering above the $22,600-$22,800 support level for around a month, barring one fakeout below it:
This bodes well for more positive continuation, although the price manipulation at these levels is evident from the long candles in both directions, suggesting that nothing should be taken for granted at the moment. However, the longer it stays above this level the better things start to look, with an obvious point at which momentum will likely be checked, assuming Bitcoin really is still in a bear market:
Ethereum, too, is a critical point, sitting right underneath its own key level of resistance:
Typically, collecting like this under resistance is a bullish sign, but entering a position at this point is never advised. If you’re looking to get into Ethereum for the short term, it might be a better idea to wait until it has cleared that resistance and flipped it for support before buying in.
Market Looking to Put on Another Spurt
A roughly similar situation can be seen with the total market cap, the importance of which we covered recently. It too is fighting hard to clear a key area of resistance, and now looks like it might be on the cusp of doing so:
Achieving this would push down the accelerator on the bear market rally currently being experienced, suggesting that an extra $100 billion+ could enter the market.
With other alts popping off in the double digits, it’s clear that momentum is still with bulls for a green August, but the overall sentiment is one of mid-term doom, so quick profits is the answer over long term holds at this point.
