Why Is the Cryptocurrency Market Experiencing an Upsurge Today?

Crypto News- The Bitcoin (BTC) price has successfully surpassed a crucial resistance level, while the Crypto Market Cap (TOTALCAP) is still trading below it. Concurrently, SEI has achieved a new all-time high.

Why Is the Cryptocurrency Market Experiencing an Upsurge Today?

In today’s cryptocurrency news:

The Securities and Exchange Commission (SEC) has sought public input on the risks associated with spot Bitcoin ETFs. Changpeng Chao resigned as the Chairman of the Binance.US Board, following his departure as CEO of Binance.

Crypto Total Market Cap Faces Pivotal Moment:

TOTALCAP has been navigating within an ascending parallel channel since November 9. However, it faced rejection from the channel’s resistance trend line on November 24 (red icon), leading to a significant decline. Despite this setback, TOTALCAP rebounded and initiated another upward trajectory on November 28. During this period, it encountered resistance at $1.40 trillion, currently attempting to break out from this horizontal barrier.

A successful breakout from this resistance could propel TOTALCAP by 5%, reaching the subsequent resistance at $1.47 trillion. This level is determined by the 1.61 external Fib retracement of the prior decrease, marking a potential channel breakout. However, a rejection at the $1.40 trillion resistance might result in a 5% decline towards the channel’s support trend line at $1.34 trillion.

Bitcoin Nears Annual High:

The Bitcoin price has been confined within a triangle pattern since November 9. After bouncing off the triangle’s ascending support trend line on November 22 (green icon), it initiated the ongoing upward movement. The triangle’s resistance is situated at $38,000. Although BTC briefly breached it on November 24 (red icon), the momentum was not sustained.

Bitcoin regained strength recently, surpassing the resistance once again. If this upward momentum continues, the BTC price could see a 7.50% increase to the next resistance at $41,000. This target is derived by projecting the triangle’s length to the breakout level. Despite this optimistic BTC price prediction, a close below the $38,000 horizontal area may result in a 4% decline towards the triangle’s ascending support trend line.

SEI Hits New All-Time High:

SEI’s price has experienced rapid growth since the beginning of November. Breaking out from the $0.22 horizontal resistance on November 24 and validating it as support three days later (green icon), the upward momentum accelerated, reaching a new all-time high of $0.30 today.

This high coincided with the 1.61 external Fib retracement of the previous drop. A potential breakout from this resistance level could propel SEI by 42%, reaching the subsequent resistance at $0.43, determined by the 2.61 external Fib. However, a rejection at the $0.30 resistance might lead to a 30% downturn towards the nearest support at $0.22.