The declines that accelerated on Friday have slowed down, giving way to a rebound and gains in the oversold cryptocurrency market. Ethereum is trading above $4,100 today, marking a gain of more than 10% from its recent local lows. Bitcoin has regained an important on-chain level — the neutral profitability of short-term investor addresses.
- As a result, if the price holds, selling pressure in this group may ease once again, providing the market with more room for a potential continuation of the upward trend. A key factor supporting cryptocurrencies is the positive sentiment on Wall Street, which persists as long as Trump and Beijing continue to give investors hope of avoiding a full-scale trade escalation.
- At the same time, Trump’s announced 100% tariffs remain the base scenario — although likely avoidable — and are theoretically set to take effect on November 1st. Until then, investors will hope for more clarity regarding a trade deal with China and potential export restrictions.
- The U.S. dollar continues to weaken amid the ongoing government shutdown and uncertainty about the real condition of the U.S. labor market. Investors view this development positively, seeing it as a reason for the Federal Reserve to accelerate monetary policy easing. Gold is up more than 2% today, and Bitcoin is indirectly benefiting from renewed interest in “hard assets.”
Ethereum (D1 timeframe)
The Friday decline in ETH prices halted around $3,600, which will likely remain an important medium-term support level, additionally reinforced by the 200-day EMA. Bulls are now targeting the $4,340 area, where the 50-day EMA is currently located.
Source: xStation5
Bitcoin (D1 timeframe)
Bitcoin has shown greater resilience than Ethereum, losing less during Friday’s sell-off. Today’s rebound is also less pronounced than that of the second-largest cryptocurrency. It appears that if the crypto bull market were to return, investors might shift more attention toward Ethereum, which has historically outperformed Bitcoin in the later stages of market cycles. Currently, BTC trades about 70% above its 2021 record highs, while Ethereum has only just surpassed its all-time high earlier this summer.
Source: xStation5
The material on this page does not constitute financial advice and does not take into account your level of understanding, investment objectives, financial situation or any other specific needs. All information provided, including opinions, market research, mathematical results and technical analyzes published on the Website or transmitted To you by other means, it is provided for information purposes only and should in no way be construed as an offer or solicitation for a transaction in any financial instrument, nor should the information provided be construed as advice of a legal or financial nature on which any investment decisions you make should be based exclusively To your level of understanding, investment objectives, financial situation, or other specific needs, any decision to act on the information published on the Website or sent to you by other means is entirely at your own risk if you In doubt or unsure about your understanding of a particular product, instrument, service or transaction, you should seek professional or legal advice before trading. Investing in CFDs carries a high level of risk, as they are leveraged products and have small movements Often the market can result in much larger movements in the value of your investment, and this can work against you or in your favor. Please ensure you fully understand the risks involved, taking into account investments objectives and level of experience, before trading and, if necessary, seek independent advice.
