Bitcoin Retests Key Resistance as Ethereum’s Heated Price Sentiment Wears Off

The bill seeks to make all market players, including crypto exchanges and miners, to report transactions that happen on-chain to the Internal Revenue Service (IRS) for appropriate taxation.

The bill has been opposed by Pro-Bitcoin lawmakers, and with the support of the broader community, expectations are on the Senators to shun undue sentiments and adopt the bill with the Wyden/Toomey/Lummis amendment.

Bitcoin’s Price Revival

The impasse on Capitol Hill might have retarded the growth of Bitcoin in the early hours of Monday as the premier digital asset traded in the red zone. At present, the coin is up 1.67% at $45,704.8 according to CEX.IO. The current price trend per Technical Indicators may be a lift-off to a new price region after the coin broke the key resistance point at $45,000.

Per the chart above, BTC price is above the 9-day Moving Average, and despite the slight selling indication as shown by the last candlestick, the MACD indicator can confirm the continuation of the uptrend should the line cross above that of the signal. A 90-day high of $58,000 is the next stop if the buyers successfully push the price beyond $48,000 resistance.

Ethereum Price Per EIP 1559 Sentiment is Cooling off

Ethereum literally stirred the major fundamentals in the crypto world when its EIP 1559 upgrade went live last week. With a cheap base fee for transactions and a deflationary token, the network now appears attractive to both users and investors. This sentiment drove prices to a 7-day high of $3,184.60. However, current trends shows the price is cooling off.

While Ethereum is still not doing bad per its on-chain metrics, a reduced buying pressure can give way for the sellers to drag prices down. The future of the Ethereum blockchain may not permit drastic fall-offs at this time, however, market buyers will need to do much more to keep prices at the $3,000 support, while pursuing a $3,500 price target in the short to mid term.

Yuriy Mazur, Head of Data Analysis Department at CEX.IO