Key Points
- Ethereum experienced a more significant correction last week compared to Bitcoin.
- Investors are advised to consider accumulating Ethereum as its volatility has slightly increased.
Ethereum had a harder week compared to Bitcoin, undergoing a more significant correction. Despite this, the latest data indicates that investors might want to consider accumulating Ethereum as its volatility has slightly increased.
Weekly Performance of Bitcoin and Ethereum
Data from CoinmarketCap showed that Bitcoin’s price dropped after being rejected from the $70k zone. At the time of writing, it was trading at $66,491 with a market cap of over $1.31 trillion.
Conversely, Ethereum experienced a 3% price correction last week and was valued at $3,325 with a market cap of over $399 billion at the time of writing.
QCB Broadcast’s insights suggested that Bitcoin’s price started to decline after the opening of US equities. Another contributing factor was the U.S. government’s sale of $2 billion worth of Bitcoin.
The same insights also suggested that investors might want to accumulate Ethereum as it has gained slight volatility and might see fluctuations in the coming week.
Ethereum vs Bitcoin
A comparison of Bitcoin and Ethereum was conducted by AMBCrypto to determine whether Ethereum can outperform Bitcoin this week.
Analysis of Santiment’s data revealed that Bitcoin’s Social Dominance was relatively higher than that of Ethereum. Both cryptocurrencies saw an increase in their Supply on Exchanges, suggesting that investors were considering selling both Bitcoin and Ethereum.
Bitcoin’s 1-week Price Volatility increased sharply, while Ethereum’s Price Volatility dropped. However, this drop in 1-week price volatility could signal an end to Ethereum’s bearish price action, hinting at a potential bullish trend reversal.
A review of Bitcoin and Ethereum’s daily charts indicated that Bitcoin’s MACD displayed a bearish crossover. Ethereum’s Relative Strength Index (RSI), on the other hand, gained bullish momentum. Ethereum’s Chaikin Money Flow (CMF) also followed a similar trend, suggesting that Ethereum might gain bullish momentum before Bitcoin.
