Bitcoin and Ethereum Bounce More Than 15% After Setting 52-Week Lows Over the Weekend
KEY POINTS
- The two most valuable crypto projects -- Bitcoin and Ethereum -- are leading a relief rally within the beaten down digital asset market.
- According to CoinMarketCap, both BTC and ETH hit 52-week pricing lows over the weekend.
- Bitcoin sank as low as $17,708 per coin, recovering to as high as $20,913, resulting in a 15% price pump.
- Ethereum dropped to $896 per coin and then surged to $1,159 since Saturday, generating a 20% pop.
The entire crypto space was up more than 5% today, reaching a total market value of $907 billion according to CoinMarketCap.
At the time of writing, all the top-10 digital assets by market cap listed on cryptocurrency exchanges were in positive territory this morning, according to CoinMarketCap. Of particular note, the two largest cryptocurrencies which represent 59% of the total crypto market -- Bitcoin (BTC) and Ethereum (ETH) respectively -- were up more than 15% each over the past 48 hours after recording 52-week lows for the same timeframe.
The price of BTC crashed through key levels of price support at $20,000 per coin until it finally hit the brakes at $17,708 and rebounded 15% back above $20,000. Similarly, ETH broke through the critical $1,000 price floor, all the way down to $896, but has since regained 20% of its value to trade higher than $1,100.
It's reported that technical analysis experts believe that the current support level that BTC needs to hold is $19,100 -- otherwise further dramatic drops could leg down to the $16,000 or $14,000 ranges. For ETH, its price needs to stay above the psychological threshold of $1,000 per coin to avoid free falling down to $700.
Are Bitcoin and Ethereum buys?
Despite these recent pricing recoveries, BTC is currently 70% off its all-time high of $68,789 price per coin set on Nov. 10, 2021, while ETH is discounted 77% from its top price of $4,891 which was reached Nov. 16, 2021.
This is not financial advice and investors should determine the amounts they can afford to invest and should always conduct their own research. But Bitcoin and Ethereum are currently priced very cheaply compared to their respective utility, massive user base, staying power, and future potential. In my opinion, now would be a great time for anyone looking to add crypto to their portfolio to begin dollar-cost averaging -- weekly or monthly -- into both of these crypto projects to minimize risk and smooth out entry-price volatility over the long run.
Our Research Expert
Tor Constantino is a corporate communications executive and business writer with an MBA. Since 2017, he has written about cryptocurrencies, blockchain, and crypto's potential to revolutionize finance. His writing has appeared in outlets including Entrepreneur, Forbes, Fortune, CEOWorld, and Yahoo!.
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