Ethereum has reached a milestone by crossing the $1,800 mark after a long time. This happened as the market continued to respond to the Federal Reserve’s decision to put $300 billion into the U.S. economy. Bitcoin also surged to nearly $28,000 in today’s trading session.
As a result of this, Bitcoin has now climbed to the strongest point since June 2022, which is almost a nine-month high. The surge is a consequence of the 10-day moving average, which has crossed its 25-day counterpart. Additionally, the 14-day relative strength index (RSI) has gained traction, moving deeper into overbought territory, currently tracking at 72.53, which is the strongest reading for the index since February 2.
On the other hand, Ethereum reached its highest point since August 19, with prices surging above $1,800 after reaching a low of $1,707.95 on Friday. This has resulted in an upward cross of moving averages, and the RSI is currently tracking at 67.11. This marks a significant increase of nearly 27% within the last seven days, and the next visible point of resistance is at the 75.00 mark.
Market watchers believe that Ethereum could hit $2,000 this month, and the speculation around it is increasing significantly. The overall strength of the current cryptocurrency bull market is shown by the increasing interest from institutional investors, as well as retail investors, who are now settling in for an extended market run.
Also noteworthy is the recent banking crisis that saw the likes of Silicon Valley Bank collapse, causing worry among investors. The situation influenced markets and played a major role in the recent surge. This development has increased the interest in cryptocurrencies and emphasized their value proposition as an alternative investment and store of value.
The recent Fed decision to inject $300 billion into the economy has also been factored in by the markets. It is expected that the crypto market will continue to soar as more liquidity is injected into the system. In the past, the flow of money into the crypto market has been a significant driver of prices of cryptocurrencies, mainly Bitcoin and Ethereum.
While cryptocurrencies’ value proposition as an alternative investment and store of value has been gaining ground over traditional investments due to low-interest rates, increasing institutional interest and central bank actions make for an intriguing consideration. Experts predict that the upward trend in cryptocurrencies will continue as more people seek to diversify their investments and capitalize on the surges in the market.
In conclusion, Ethereum crossing the $1,800 mark and Bitcoin nearing the $28,000 level is a welcome development for the crypto market. The current bullish sentiment in the market has increased investor confidence and proven the market’s value proposition. It is expected that the crypto market will continue to soar as more liquidity is injected into the system. Furthermore, the growing interest from institutional investors and retail investors alike will deepen the cryptocurrency bull market further.
