Both Bitcoin (BTC) and Ethereum (ETH) dropped on Thursday, but the top two cryptocurrencies with the largest market cap show signs of recovery.
BTC/USD
Bitcoin (BTC) has seen wild movements since Monday, May 27, when it started trading above the $8,500 mark.
The BTC/USD pair made an even wilder move Thursday by closing in on the $9,000 level then quickly dropping the next day. The sharp fall saw the pair plunging to the $8,100 level, which currently settles between the $8,200-$8,300 range.
According to FXStreet:
“On the upside, the recovery is capped by 8,300 strengthened by SMA200 (Simple Moving Average) on 1-hour chart). We will need to see a sustainable move above this handle will open up the way towards the next bullish aim of $8,500 with the middle line of 1-hour Bollinger Band locate don approach.”
With the current state of Bitcoin — failing to correct above the resistance at $8,800 — the week will not likely end with the cryptocurrency trading above $9,000.
ETH/USD
Ethereum (ETH) struggled earlier as it suffered from the bearish pressure. The second largest cryptocurrency (market cap: $27.1 billion) crashed to the $240 territory from this week’s peak close to $290 on Thursday.
But the ETH/USD pair managed to recover after as it trades between the $250-$260 range at the time of writing.
According to FXStreet:
“On the upside, we will need to regain $250 handle to see a sustainable above $270 and get a chance to retest the recent high of $288. The mentioned resistance area is created by a confluence of technical indicators, including the middle line of 1-hour Bollinger Band, and a host of SMA (Simple Moving Averages).”
Ethereum, however, appears to be gaining strength to trade above $280 again.
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Source: FXStreet
