Following two consecutive sessions of declines, cryptocurrencies rebounded on Friday, as markets prepared for the first non-farm payrolls of the year. ETH was up 8% as of writing, with the crypto market cap 4.4% higher.
On the first Friday of each month, non-farm payrolls in the United States are released, and this typically sees an increase in market volatility, across all asset classes.
The world’s largest cryptocurrency, bitcoin, which fell to an intraday low of $36,388.14 during yesterday’s session, was up nearly 5% today, potentially benefiting from this volatility.
This came as BTC/USD hit an intraday high of $38,139.66 on Friday, as both traders and investors seem to have bought Thursday’s dip.
As a result, the 14-day RSI held its support of 35, which initially appeared to be broken, and this indicator has now surged beyond resistance of 40, and tracks at 41.4.
BTC/USD – Daily Chart
As described earlier this week, bitcoin looks as though it is consolidating after selloffs in December and January, with many still anticipating either a break from support or resistance, to trigger the next sizable price swing.
Momentum for this swing is somewhat bullish, based on recent rallies.
ETH was once again higher on Friday, with prices of the world’s second largest cryptocurrency moving closer towards the $3,000 level.
ETH/USD is currently up around 8% in today’s session, after hitting an intraday high of $2,855.75 earlier.
The move saw ethereum briefly rally beyond resistance of $2,844.00, before giving back some of these gains, likely as a result of profit takers closing their positions.
ETH/USD – Daily chart
Heading into the weekend, the 14-day RSI is trading above resistance of 44, and if there are more bulls added to this run, we could see multi-week highs for ETH.
Will the crypto red wave reappear this weekend? Leave your thoughts in the comments below.
Eliman brings a diversified point of view to market analysis, having worked as a brokerage director, retail trading educator, and market commentator in Crypto, Stocks and FX.
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