Trusted cryptocurrency platform
Kraken.com - (US & INT)

Bitcoin and Ethereum Market Analysis – 13.12.2022

The past 24 hours were particularly eventful in the cryptocurrency market as a storm of news hit from all fronts. Overall, the market reacted positively and topped $900 billion, while Bitcoin pushed to $18K for the first time in more than a month.

With economic data suggesting that US inflation may have peaked and with a response of BTC around $18k; don’t get excited as the price action recorded a low volume during the upward move. Let’s see the outcome of the FEC meeting if it could assist in driving the recovery.

BTC daily chart shows a significant leap-frog above the key level of 18K and highly suggestive of a new trend in the next cycle in play. Trading above the 10-day MA shows some relative strength even though a low volume was recorded.

As you can see in the chart, these patterns in the middle of a strong trend are classified as bull-flags, which should theoretically break bullish. The 60-day cycle Low has found support (in the form of a short squeeze) in the 2nd half (Day-34) of the 60-day cycle. Still have to watch for that one move lower, which will end the 4-year cycle low in January.

Chart 1. a Significant leap-frog above the key level of 18K and highly suggestive of a new trend in the next cycle in play
Source: Paid Content by Peter Brendt and his partners at bitcoin.liv

BTC weekly chart shows a move above the lower channel and it’s getting more strength for a counter trend rally. This is the worst-case scenario, the price action touching the declining 10-week MA.

I’m not expecting a significant rally-up in this 2nd half of the 60-day cycle but we shouldn’t rule out the possibility of holding on to the $18k key level for the duration of the cycle.

Chart 2 A move above the lower channel and it’s getting more strength for a counter trend rally
Source: bitcoin.live , BTCUSD Chart by TradingView

ETH/USD
Similar to BTC, ETH/USD is showing some positive short-term signs to turn $1300 into support in the mid-point of the cycle. ETH/USD was also trading near a multi-week high in today’s session and had a decent slug of volume as it pushed towards $1400 resistance.

Although this is not a move one can trust, the market pressure could intensify, forcing the bulls to breakout of this hurdle, potentially leading ETH/USD to $1,400. The real key area to watch is $1400 resistance level; not only will it give the price action a cleaner structure but also reposition ETH for a blow-off move.

Chart 3. ETH/USD showing some positive short-term signs to turn $1300 into support in the mid-point of the cycle
Source: bitcoin.live , BTCUSD Chart by TradingView

 

ETH/BTC
ETH is holding up pretty well relative to BTC, considering where we stand in the bear market. Quite above the mid-range and so deep into the 4-year cycle.
People want to hold this into the next 4-year cycle and that’s a positive sign in overall. Given the resilience of the ETH/BTC ratio, I think ETH will perform well in the coming time.

Chart 4 ETH is holding up pretty nice relative to BTC, considering where we stand in the bear market
Source: bitcoin.live , ETHUSD Chart by TradingView

 

🔴This Market Update is created using Paid Content by Peter Brendt and his partners at Bitcoin.live. Peter Brendt is a Trader since 1975. Author and publisher of the Factor Report as well as Best Selling Trading Books. If you want to read full content by him and his partners, trading signals/calls in real time, daily/weekly/monthly reports, trading videos and podcasts, trading tips check out his VIP Subscription Service


🔴This Market Update is created using Paid Content by Peter Brendt and his partners at Bitcoin.live. Peter Brendt is a Trader since 1975. Author and publisher of the Factor Report as well as Best Selling Trading Books. If you want to read full content by him and his partners, trading signals/calls in real time, daily/weekly/monthly reports, trading videos and podcasts, trading tips check out his VIP Subscription Service