Bitcoin Nears Weekly Close with $114,000 in Focus as Ether Steals the Show
Bitcoin (BTC) is hovering around a crucial price point as the week draws to a close, with earlier gains largely diminished. Attention has largely shifted to Ether (ETH) following its recent surge to record highs, as major players in the market are reportedly exchanging their Bitcoin holdings for ETH.
BTC’s price performance is also being influenced by a gap in the CME futures market, presenting a potential short-term target.
Data from Cointelegraph Markets Pro and TradingView indicate that BTC/USD is fluctuating around the $114,000 level. The weekend has been relatively calm after a surge towards $117,500 on Friday, fueled by external economic news. This rally was spurred by remarks from Jerome Powell, Chairman of the U.S. Federal Reserve, who suggested potential interest-rate cuts resuming in September during his Jackson Hole symposium speech.
The broader crypto market, including Ether, responded positively, with Ether achieving new all-time highs.
Given the present market dynamics, observers are closely monitoring Ether’s performance. According to BitBull, a well-known trader, a strong weekly close above $4,600 for ETH would confirm the current trend and potentially signal further upward movement. BitBull noted that if Ether closes above $4.6K this week, it would represent the highest weekly close ever, paving the way for a move towards the $5,200-$5,500 range in the coming week.
Lookonchain, a crypto analytics account, highlighted data from Arkham, a crypto intelligence firm, revealing significant transactions of long-dormant Bitcoin being converted into Ether.
The Bitcoin OG moved out another 6,000 $BTC($689.5M) to buy $ETH.
So far, he has bought 278,490 $ETH($1.28B) at an average price of $4,585, and still holds a 135,265 $ETH($581M) long position.
BitBull described the activity as suggesting strong whale appetite for Ether, adding that, despite a 300%+ rally in Ether over the last four months, whales are continuing to accumulate, potentially signaling that the rally is not yet over.
Ether and Bitcoin React to CME Gaps
Meanwhile, Rekt Capital, another prominent analyst, pointed out that ETH/USD had successfully filled an open gap in CME Group’s Ether futures market.
$ETHEthereum has successfully filled its Weekly CME Gap (green) and reversed to the upside from it
https://t.co/VuKCZhPPbI
For Bitcoin, the focus is on a gap created by weekend price movements. According to trader Daan Crypto Trades, the weekend was relatively quiet following Friday’s broad market rally. He noted that if Bitcoin opens with a gap, there is a strong historical tendency for such gaps to be closed quickly, often on the following Monday, or not appear in the first place.
Last week, Rekt Capital identified $114,000 as a crucial level for Bitcoin’s weekly close.
As previously reported by Cointelegraph, some market analysts anticipate a potential correction for Ether in September, based on historical patterns.
Disclaimer: This information is for informational purposes only and does not constitute financial advice. Trading and investing in cryptocurrencies involves substantial risk of loss. Conduct your own research before making any investment decisions.