Ether (ETH) is worth more in bitcoin (BTC) than at any time since the beginning of the year, amid a renewed appetite for altcoins.
Altcoin Market Hits $700 Billion Again
Data from Cointelegraph Markets Pro and TradingView confirm that the ETH/BTC pair broke through key resistance to rise above 0.08 BTC on August 13.
This move is great for the largest altcoin, Ethereum, as the area around 0.075 was a troublesome selling zone that the bulls had previously held since January.
As of this writing, the ETH/BTC pair is struggling to hold the newly achieved level as traders wonder how long this strength will last.
As previously reported by Cointelegraph, the ETH/USD pair broke above $2,000 overnight, an important psychological boundary that has not been breached since May.
Not long then
— CryptoTony (@CryptoTony__) August 13, 2022
Not long then. — Cryptocurrency Tony (@CryptoTony__) August 13, 2022
When the chain analysis firm Glassnode saw the growing trend in altcoins developing, investors were eager to increase risk exposure in the current atmosphere.
“According to Swissblock’s Altcoin Cycle Signal, bitcoin strength has emerged as investors divest from altcoins in a less risky environment,” co-founders Yann Allemann and Jan Happel wrote in the latest edition of their “Uncharted” newsletter.
“Since the Ethereum Merger became clearer, Ethereum has outperformed bitcoin, driving altcoins higher. »
The overall market capitalization of altcoins also reached its highest level since the end of May this week, surpassing $700 billion, according to figures from TradingView and CoinMarketCap.
ETH Price Analysis is still in favor of the Bear Market
When it comes to potential price targets for Ethereum, however, traders remain cautious after months of bullishness.
Also read: 8/12 Price Analysis: BTC, ETH, BNB, XRP, ADA, SOL, DOGE, DOT, MATIC, AVAX
“ETH at $2200 as long as we stay above $1737,” it said abstract the popular Crypto Chase account.
“Once the untapped vertices start to reach (and no reversals are given), the rest of the vertices usually suffer the same fate. I don’t have my eye on an exact level or setup for a long shot right now, but I’ll update if I see one. »
“The LTF trend is bullish: I watch for a breakout if $2,000 –> $2,400 is claimed”, continues his colleague Karoush AK.
“HTF trend is neutral and bearish: it is not a bull market, but a less bear market. Holders of underwater bags have the opportunity to de-risk at the $2,000 resistance. »
In its latest market update for Telegram channel subscribers, meanwhile, trading firm QCP Capital highlighted the need for a cautious approach to further gains in a booming altcoin market.
Of particular interest, the team wrote, was open interest (OI) in derivative markets, with ETH eclipsing BTC activity almost twice.
“The ETH/BTC pair broke through the 0.08 level and ETH options open interest (OI) is at an all-time high of $8 billion, increasing BTC OI options by $5 billion. This is unprecedented,” the site wrote.
“Hard fork concerns remain, with September ETH futures trading less than -8% (annualized) from spot. We made profits on our long position on spot spreads vs. short future.”
Ethereum’s September Merge event, he said, could be an inflection point for the markets.
The views and opinions expressed herein are solely those of the author and do not necessarily reflect those of Cointelegraph.com. All investments and transactions involve risk. You should do your own research before making a decision.