October 20, 2023 Bitcoin, Ethereum Technical Analysis
Optimism over the possibility of the SEC approving spot Bitcoin ETFs appears to be driving Bitcoin’s price higher. SEC Chairman Gary Gensler stated that they are reviewing a number of applications and stated that this could be an important development for the cryptocurrency world.
It was also mentioned in the case regarding Ripple (XRP). The SEC filed a lawsuit against Ripple, and this case was monitored with great attention for a long time. If the SEC drops this case, that could bring some relief and optimism to cryptocurrencies.
Optimism appears to be maintained in the markets, with the SEC hopeful that we may approve several spot BTC exchange-traded funds (ETFs) in the near future. With this news in store, Bitcoin (BTC) recorded a significant rise, reaching its highest level in several months.
BTC/USD parity rose above $30,000 to 30,104.09. This rise follows the previous low of 28,449.96, and this new high represents a point in Bitcoin’s strongest formations in recent months. This can be considered a significant development in the analysis of cryptocurrencies, where prices can change rapidly depending on volatility and current developments.
On a technical level, the breaking of the 69.00 ceiling on the strength index (RSI) also contributed to the consolidation.
At the time of writing, price strength currently stands at 71.14, which is in overbought territory.
There was also some profit taking, with Bitcoin currently trading at $29,475.77.
Ethereum rose on Friday, breaking above $1,600 once again. However, following the low of 1,553.03 seen on Thursday, the ETH/USD parity rose to 1,628.61 in the early hours of the day.
This rise, with Ethereum trading above $1,640, can be noted as the highest breakout since Ethereum’s price has been above $1,640 since the week’s run. Since cryptocurrency markets see transactions where prices can change rapidly, such rises and falls are quite common.
Today’s rally comes a few days after the bulls rejected a break above the 1,540 support point and now they seem to be targeting the 1,650 strength.
Losses of its own ceiling at 55.00 will be stored for access by the RSI, which is currently reading at 51.81.