Bitcoin, Ethereum: Market Shifts as BTC Hovers, ETH Struggles
1min read Crypto Market Update: Bitcoin Dominance Drops, Ethereum Gains Ground, Tether Declines
Bitcoin Dominance Drops by 0.5%, Ethereum Dominance Increases by 2.1%, Tether Dominance Declines by 0.4%
Bitcoin (BTC) Price Analysis
Bitcoin's price action has remained muted over the past couple of sessions as it hovers between $104,500 and $105,000 after it failed to move above $107,000 on Thursday. However, the flagship cryptocurrency has recovered from its dramatic collapse on Monday when it fell below $100,000. If buyers can consolidate above $105,000, BTC could push to $110,000 and set a new all-time high. However, the markets lack a catalyst to initiate a price jump, with most factors already priced in. The muted performance could be attributed to market jitters about trade tariffs under Trump, which have impacted risk appetite. BTC saw considerable volatility during the week thanks to the release of DeepSeek, a potentially disruptive Chinese AI model that sparked a significant selloff in global markets.
Ethereum (ETH) Price Analysis
Ethereum (ETH) is back in the red during the ongoing session as it struggles to move past the 20-day SMA and $3,300, with resistance building. ETH traders have been preparing for a potential rally, anticipating a positive February. ETH has posted more returns in February than in any other month. However, it is set to end January in the red, thanks to negative sentiment around the Ethereum Foundation and a jittery crypto market. ETH is trading in a falling wedge pattern and is facing significant resistance near its descending trendline. If the trendline holds as resistance, ETH could decline to $3,000. A close below this level could drive ETH to a low of $2,800. However, if ETH can break above the upper boundary resistance and establish it as support, it could set off a substantial rally and drive ETH past $3,500 and potentially $4,000.
