Futures Analysis: Bears Step Back, but Do Not Yield

Last week, Bitcoin traded in a narrow price range from $39,595 to $44,451. At the time of publication, the first cryptocurrency trades in the $42,000 area, and Ethereum — $3,100.

What to expect from the market this week? We analyse the price levels of Bitcoin and Ethereum on the cryptocurrency exchange Bybit.

BTCUSD

After a short pullback in Bitcoin below $40,000 on January 10, the bulls bought the dip, but could not push the price significantly above this level. The weekly candle closed at $41,924.

As of publication, buyers are trying to hold BTCUSD above the uptrend line. However, for a more confident recovery, Bitcoin needs to break the resistance at $45,500.

If selling resumes, bears could push the uptrend line and test the $40,000 level.

ETHUSD

Bulls in the ETHUSD market were unable to break through the resistance at $3,400.

If the market maintains a downward momentum, Ethereum price may again test the psychological level of $3,000. The next strong support zone is around $2,650.

Conclusions

Last week, buyers managed to defend key support levels — $40,000 for Bitcoin and $3,000 for Ethereum. Nevertheless, the market shows a weak recovery, so bears may test these levels again.

The uptrend will continue if the bulls break through resistance at $45,500 on the BTCUSD market and $3,400 on the ETHUSD market.

Subscribe to ForkLog news on Twitter.