Weekly Recap: Bitcoin Breaks Out and Resumes Historic Uptrend
Bitcoin kicked off the week on a negative posture. The Tom Demark (TD) Sequential indicator presented a sell signal on the hourly chart right around the weekly open, which was confirmed by a significant increase in sell orders. The downward pressure behind the flagship cryptocurrency was strong enough to trigger a 0.86% correction.
Consequently, BTC plunged from a weekly open of $9,210.68 to hit an intraday low of $9,131.01. The bulls stepped back into the market around this price level allowing it to recover some of the losses incurred to close the day at $9,169.01. Nonetheless, the most considerable spike in demand was actually seen on July 21st at 7:00 UTC.
The bullish price action seems to have been trigger by the break of a bullish pennant that was developing since late June. Upon the breakout point, Bitcoin shot up 2.71% within seven hours to hit a high of $9,439.60. Some investors appear to have enjoyed the upswing to realize some profit. BTC’s uptrend was temporarily stopped and suffered a 1.78% correction that extended throughout the following day.
A few hours before July 22nd’s close, however, the bulls were back pushing the price of Bitcoin further up. From that point on, the pioneer cryptocurrency did nothing but surge to close Sunday, July 27th, at $9,939.68. The impressive bullish momentum behind BTC was able to provide market participants with a weekly return of 7.91%
Ethereum Reaches New Yearly High As Investors Grow Bullish
Like Bitcoin, Ethereum experienced a slightly bearish price action on Monday, July 20th. Its price opened the day at $239.18 and closed 1.32% lower at $236.02. Nevertheless, the following day a massive number of buy orders began to pile up. The significant spike in demand allowed Ether to surge over 4% on Tuesday, July 21st, to mark the beginning of a new uptrend.
Although the smart contracts giant spent most of July 23rd dormant trading within a narrow range, its price exploded around the end of the day. ETH surged by 10.57% to hit a high of $270.80, but the uptrend did not finish there. The following day Ethereum made another higher high of $280.48 and the same repeated throughout the rest of the week.
Over $10 billion were injected into the second-largest cryptocurrency by market cap between July 20th and July 27th. The major capital inflow allowed it to surpass mid-February’s high of $289 and close the week at a yearly high of $324.36. With such an impressive price action, Ethereum generated a weekly return of 35.84%.
Signs of a Pull Back Before Higher Highs
Following the upswing seen throughout the week of July 20th, it seems like the cryptocurrency market has finally entered a new bull market. Bitcoin and Ethereum were able to spark interest among market participants, which was needed for them to advance further. Although BTC has yet to make a new yearly high, everything seems to point out that it is headed in that direction.
But first, the TD Sequential index forecasts that the top two cryptocurrencies in the market are bound for a small retracement before they reach higher highs. This technical index forecasts a one to four daily candlesticks correction that may allow sidelined investors to get back into the market. Given the recent run-up, a small correction could help maintain the uptrend healthy and would likely result in more upward price action.
Bitcoin kicked off the week on a negative posture. The Tom Demark (TD) Sequential indicator presented a sell signal on the hourly chart right around the weekly open, which was confirmed by a significant increase in sell orders. The downward pressure behind the flagship cryptocurrency was strong enough to trigger a 0.86% correction.
Consequently, BTC plunged from a weekly open of $9,210.68 to hit an intraday low of $9,131.01. The bulls stepped back into the market around this price level allowing it to recover some of the losses incurred to close the day at $9,169.01. Nonetheless, the most considerable spike in demand was actually seen on July 21st at 7:00 UTC.
The bullish price action seems to have been trigger by the break of a bullish pennant that was developing since late June. Upon the breakout point, Bitcoin shot up 2.71% within seven hours to hit a high of $9,439.60. Some investors appear to have enjoyed the upswing to realize some profit. BTC’s uptrend was temporarily stopped and suffered a 1.78% correction that extended throughout the following day.
A few hours before July 22nd’s close, however, the bulls were back pushing the price of Bitcoin further up. From that point on, the pioneer cryptocurrency did nothing but surge to close Sunday, July 27th, at $9,939.68. The impressive bullish momentum behind BTC was able to provide market participants with a weekly return of 7.91%
Ethereum Reaches New Yearly High As Investors Grow Bullish
Like Bitcoin, Ethereum experienced a slightly bearish price action on Monday, July 20th. Its price opened the day at $239.18 and closed 1.32% lower at $236.02. Nevertheless, the following day a massive number of buy orders began to pile up. The significant spike in demand allowed Ether to surge over 4% on Tuesday, July 21st, to mark the beginning of a new uptrend.
Although the smart contracts giant spent most of July 23rd dormant trading within a narrow range, its price exploded around the end of the day. ETH surged by 10.57% to hit a high of $270.80, but the uptrend did not finish there. The following day Ethereum made another higher high of $280.48 and the same repeated throughout the rest of the week.
Over $10 billion were injected into the second-largest cryptocurrency by market cap between July 20th and July 27th. The major capital inflow allowed it to surpass mid-February’s high of $289 and close the week at a yearly high of $324.36. With such an impressive price action, Ethereum generated a weekly return of 35.84%.
Signs of a Pull Back Before Higher Highs
Following the upswing seen throughout the week of July 20th, it seems like the cryptocurrency market has finally entered a new bull market. Bitcoin and Ethereum were able to spark interest among market participants, which was needed for them to advance further. Although BTC has yet to make a new yearly high, everything seems to point out that it is headed in that direction.
But first, the TD Sequential index forecasts that the top two cryptocurrencies in the market are bound for a small retracement before they reach higher highs. This technical index forecasts a one to four daily candlesticks correction that may allow sidelined investors to get back into the market. Given the recent run-up, a small correction could help maintain the uptrend healthy and would likely result in more upward price action.