BTC Back Above $21,000, Following Strong Chinese GDP Figures – Market Updates Bitcoin News
As an affiliate, we may earn from qualifying purchases. We get commissions for purchases made through links on this website.
Receive $10 in Bitcoin when you buy or sell $100 or more on Coinbase! https://mathisenmarketing.com/coinbase
Bitcoin rallied back above $21,000 on January 17 as the market reacted to better-than-expected Chinese gross domestic product (GDP) numbers. The financial release comes as U.S. traders also returned to action after the Martin Luther King Jr. Day observation. Ethereum briefly rose above $1,600 earlier in the session.
Bitcoin (BTC) bounced back above the $21,000 mark on Tuesday as markets reacted to China’s latest GDP numbers.
Figures from the world’s second-largest economy showed gross domestic product grew by 3 percent last year, which was 2.8 percent more than expected.
As a result, BTC/USD hit a high of $21,360.87 earlier in the day, less than 24 hours after hitting a low of $20,715.75.
Looking at the chart, today’s price rally has pushed bitcoin closer to its long-term resistance level of $21,400.
This roof has been in place for the past two months and it broke a bit over the weekend.
The 14-day Relative Strength Index (RSI) is still hovering near the 90.00 ceiling, and if BTC bulls are to move above $21,400, this RSI ceiling must be breached first.
In addition to BTC, ethereum (ETH) edged higher in today’s session, briefly pushing above the $1,600 level
After hitting a low of $1,529.57 earlier this week, ETH/USD rose to an intraday high of $1,603 in the early hours of this morning.
Prices have since fallen, and at the time of writing, the world’s second largest cryptocurrency is trading at $1,569.75.
Overall, prices are significantly overbought and the upside seems to have peaked, so many expect that a turnaround may be coming.
Currently, the 14-day RSI is tracking at 83.84, the highest level since August 2020, when the price was below $1,200.
While long-term bulls remain, it is likely that Ethereum could move into consolidation until price strength is in a more neutral zone.
Register your email address here to receive weekly price analysis updates in your inbox:
Could we see Ethereum fall in the coming days? Leave your thoughts in the comments below.
The authors of the picture: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for information only. It is not a direct offer or solicitation of an offer to buy or sell, or an endorsement or endorsement of any product, service or company. Bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the company nor the author shall be liable, directly or indirectly, for any damages or losses caused or alleged to be caused by or in connection with the use of or reliance on the content, goods or services mentioned in this article.