By
Benjamin Njiri
April 23rd, 2024
Bitcoin and Ethereum are both regaining some lost weight as their current price points show considerable increase from recent lows.
Bitcoin (BTC) is starting to recover from losses it recently incurred, where it seemed to pull down some of the market’s biggest coins. Jumping from a recent low, Bitcoin has climbed over 24% with Ethereum (ETH) also showing proof of its number 2 spot. While the price of Bitcoin has climbed 5.92% to $34,598 in the last 24 hours, Ethereum has jumped more than 12% to hit $2,048 in the same time frame.
Also, in the last 24 hours, Bitcoin hit a high above $35,000 before falling, with Ethereum hitting a $2,075 high. However, Bitcoin’s trading volume fell almost 8%, while Ethereum’s rose by 3%.
Bitcoin and Ethereum Price Movements
On June 22, the king coin hit $28,600 on Bitstamp, the lowest point recorded in five months. However, it climbed more than $6,000 to $35,517 after about three days.
While the recent climb might be impressive, Bitcoin might struggle with sustaining its ongoing recovery. Analysis shows a strong technical resistance for the king coin between $34,000 and $37,000. Six different times since May, a downward sloping trendline has rejected significant price points. Between June 13 and June 18, Bitcoin’s price broke away from the trendline to hit $41,341. However, this was short-lived as the price sank shortly after.
Surprisingly, Bitcoin’s rejection happened near the 200 exponential moving average visible on the 4hr chart and the daily chart. This rarely seen simultaneous occurrence on both charts most likely worsened the resistance.
The king coin recently hit the 50 exponential moving average short-term resistance on the 4-hour chart when it scaled $33,000. Continuous moves would see the asset hit three resistance bands on the same chart. These include the trendline at $34,600, which it has currently scaled, the 144 exponential moving average at $35,700, and the 200 exponential moving average at $37,000. Currently, both moving averages are shedding about $300 every day. If Bitcoin scales the three resistance bands, the king coin could hit 41,000.
Binance and the FCA
The UK’s Financial Conduct Authority (FCA) has clamped down on Binance Markets Limited. According to a recent report, the FCA asked Binance to immediately discontinue all regulated activity in the country. The regulator said:
“Binance Markets Limited is not permitted to undertake any regulated activity in the UK…Due to the imposition of requirements by the FCA. Binance Markets Limited is not currently permitted to undertake any regulated activities without the prior written consent of the FCA… No other entity in the Binance Group holds any form of UK authorisation, registration, or licence to conduce regulated activity in the UK”
The FCA did not provide a reason for the ban. However, the authority has been keeping a close eye on the crypto market as it continuously soars. The Binance ban in the UK is expected to have some effect on Bitcoin in the country. Regardless, the history of crypto clampdowns suggests that not much would change.