Bitcoin bulls strive to keep the price above $70,000

Bitcoin price plummeted on Tuesday, dropping from $72,000 to $69,000, but rallied on Wednesday, and continued to gain strength on Thursday. Bulls kept Bitcoin price mostly above the key $70,000 level on Thursday, but the cryptocurrency traded sideways, without a clear trend. If the BTC price declines, support can be found near $65,000, while resistance may be encountered near $72,800. 

Ethereum price also traded sideways on Thursday, oscillating around the $3,550 level. If Ethereum's price declines, it may encounter support near $3,200, while if it increases, resistance may be encountered near $3,800.

Bitcoin price recently reached a new all-time high of $73,800. Bitcoin’s bullish run has renewed interest in crypto markets, boosting other cryptocurrencies as well. Bitcoin has encountered significant selling pressure as well, however, causing increased volatility in the past couple of weeks as bulls wrestle with bears. 

Bitcoin is gaining strength as the Bitcoin halving event is approaching. Every halving event cuts the rate at which new bitcoins are released into circulation in half, increasing the scarcity value of Bitcoin. The halving is scheduled approximately every four years, and the next Bitcoin halving event is expected on April 19th raising the value of the cryptocurrency.

The approval of Bitcoin spot exchange-traded funds (ETFs) by the Securities and Exchange Commission (SEC) has caused cryptocurrency prices to surge over the past few months. The SEC has approved 11 applications boosting Bitcoin price. Spot Bitcoin ETF demand has been on the rise, boosting the cryptocurrency as well.

Cryptocurrency prices are affected by central banks’ interest rates. High-interest rates are putting pressure on risk assets, while the promise of rate cuts boosts crypto markets. The US Federal Reserve kept interest rates unchanged at its latest policy meeting in March, within a target range of 5.25% to 5.50%. Market expectations of rate cuts dropped sharply after the release of the US inflation report on Wednesday. Odds of rate cuts are becoming more moderate, boosting crypto markets, as policymakers have stated that they intend to start reducing interest rates slowly.

BTC/USD 1h Chart

ETH/USD 1h Chart

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Written by:
Myrsini Giannouli

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