Bitcoin hit a new two-month high on Jan. 14, as crypto markets were significantly higher on Saturday. The world’s largest cryptocurrency surged above $21,000 as prices rallied for a sixth straight day. Ethereum traded above $1,500 to start the weekend, also hitting its strongest point since November.
Bitcoin
bitcoin (BTC) rose for a sixth consecutive session to start the weekend, as prices rose above the $21,000 level.
BTC/USD hit a high of $21,054.38 earlier in today’s session after prices hit a low of $18,793.66 on Friday.
This price surge has seen bitcoin add up to 10% to its value in the past 24 hours, reaching its strongest point since November 5.
Looking at the chart, the rally came as the 14-day Relative Strength Index (RSI) continued to rise. It now follows at 89.22.
Generally, a reading of 70.00 is considered overbought, and with this print, which is its highest level in two years, we are deep in bearish territory.
When the price becomes overbought, many expect bearish sentiment to build as traders begin to short the market.
Ethereum
Ethereum (ETH) also hit a two-month high in today’s session, with price remaining in the green for a seventh straight day.
After bottoming out at $1,404.82 on Friday, ETH/USD hit an intraday high of $1,558.25 on Saturday.
As with bitcoin, this rally sent the world’s second-largest cryptocurrency to its highest level since November 5.
Overall, Ethereum is now trading up over 23% over the past seven days.
The move comes as the 10-day moving average (red) extended a crossover from its 25-day counterpart (blue).
Despite this bullish momentum to start the weekend, many still expect some reversals over the next few days.
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Could we see Ethereum falling below $1,400 this weekend, with traders taking profits? Leave your thoughts in the comments below.
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