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Bitcoin and Ethereum Market Analysis – 26.08.2021

Bitcoin is currently facing a rejection at $50-51k resistance level after a massive rally of 70% since the recent low in July at $28,000. I see this key level as the major hurdle before a new all-time high.

Even with Wednesday’s pullback, Buyers are still buying at every minor dip to underline support levels which suggests that, the crypto market is still bullish. The short-term technical are beginning to turn cautious and slightly bearish as 4-hour, and daily momentum slowed and started to trend lower. This recent trend has not really enticed longer-term investors to part with their holdings to top the previous record achieved in October 2020.

I see this near-term pullback, healthy to build the structure but we should not throw caution into the wind. We have to be very careful as the bearish divergence of the on-bound volume(OBV) and the RSI of BTC/USD pair is suggesting a retest for one more push at $53k level.

The Altcoins indicator- Ethereum is also facing a crucial resistance to breaking through around the psychological area but the trend is still bullish likewise most Altcoins.

Looking at the BTC daily chart we see, a bearish divergence of the on-bound volume(OBV) and the RSI like we saw around 63k BTC in April this year. More closes above the 200 MA will increase the chances of a further run to $53k level before any major correction.

Given the significance of the $53k area resistance, this area is the final hurdle before a big run toward the all-time high is likely to take place. If the $53k resistance breaks, a short squeeze to $57,000–$59,000 becomes likely. However, given the recent correction, a further corrective move is most likely going to happen.
Until then, MA 20 daily (middle BB) is buy the dip and wait for any upside.

Pic.1: Shows, a bearish divergence of the on-bound volume(OBV) and the RSI like we saw around 63k BTC in April this year.
Source: Paid Content by Peter Brendt and his partners at bitcoin.live

From the BTC weekly chart we see a red candle forming after a long stretch of five green candles. It’s bound for a retest that may lead to major correction. The entire structure is still bullish and the bulls defending the key levels aggressively for more upside.

Stay focused on key levels and buy the dip. Weekly EMA 8, daily MA 50, as well as 53k area resistance are all critical for the next move. Loss of that may bring us to 42k, I believe.

Pic.2: shows a red candle forming after a long stretch of five green candles. Source: bitcoin.live

Ethereum
Ethereum had a higher high, but could not sustain the higher levels. It’s still pushing but, is having trouble with that $3300 area. Above that would generate a new buy signal, and any dip back to $2850 would also present a nice risk/reward.

Let’s see if the price could be sustained above the 20-day EMA and the buyers will take another shot at pushing the pair above $3,335.

Pic.3: Ethereum had a higher high that could not be sustained, suggesting that, the bears are fighting aggressively. Source: bitcoin.live

Top Takeaways
$BTC MA 20 area support/53k area resistance
$ETH $2900 area support/$3300 area resistance

🔴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