Ethereum exceeds R$11,500 and reaches the highest value of the year

Ethereum, the second largest cryptocurrency on the market, reached a price of $ 2,450 on Friday (29), a value not seen in 19 months. However, the digital currency soon retreated, reflecting a common scenario in the sector: Ethereum and Bitcoin are facing significant resistance at $2,500 and $45,000 respectively.

Bitcoin’s sideways trajectory over the past four weeks and the resistance both cryptocurrencies are facing highlight a pivotal moment in the market. The consolidation period is seen as a key pillar, reminiscent of the downturns of 2022.

Interesting to note is the dynamics of Ethereum, whose relationship with Bitcoin varied between 0.05 and 0.055 BTC. This ratio exceeded the upper limit on Wednesday (27th), currently trading at 0.05564 BTC, despite the lack of specific news justifying the 10% increase in the digital currency.

Another notable aspect is the 8% drop in Solana in the last 24 hours, as well as the 15% devaluation of the Bonk meme coin, based on the Solana blockchain.

On the other hand, cryptocurrencies such as Optimism and Arbitrum showed significant gains of 60% and 35% respectively, which contrasts with Bitcoin’s 2.64% decline in the same week.

Cryptocurrencies on the rise

Optimism in the Ethereum ecosystem seems to be fueling the growth of the coin itself, but uncertainty remains: will Ethereum and Bitcoin be able to overcome the current resistance? There is excitement in the air as investors and market enthusiasts eagerly await the next moves from these giants.

Smaller cryptocurrencies such as Sol, Bonk, Doge, Op and Arb appear to be following the lead of Bitcoin and Ethereum. While some perform independently, it is generally the two major currencies that set the tone for the market.

Ethereum’s resistance at $2,500 was a pivotal point during its 16-week downward trajectory. Now the coin is flirting with this level, but has not yet effectively surpassed it. At the same time, Bitcoin is also approaching its resistance at $45,000.

The main question centers on the cryptocurrency market’s willingness to face these barriers. There is growing anticipation among market participants, who are wondering whether a breakout from these levels would be sustainable or just a short-term increase.

Bitcoin’s recent price swings around $45,000 indicate an awareness of the existing resistance and perhaps a hesitation to challenge it. Furthermore, the trading strategy within this price range has become more sophisticated, with investors seeking to take advantage of the volatility.

There remains uncertainty about the future direction of the market. External events, such as the distribution of bitcoins by MT. Gox, can act as a catalyst for important movements.

Additionally, addressing new developments such as the potential approval of ETFs and BlackRock’s actions in the cryptocurrency market adds more elements to the equation.

As the new year begins, the cryptocurrency market is eagerly awaiting the next developments. As some parts of the world celebrate the new year, investors are preparing for what promises to be an action-packed week that could potentially herald a new chapter in the history of cryptocurrencies.

Source: Live Coins