Bitcoin and Ethereum Show Strength Amid Cautious Market Sentiment

Bitcoin (BTC) is currently trading within a range of $82,000 to $92,000, with a midpoint estimate of $85,000. It shows bullish momentum, having broken out of a falling wedge pattern and securing a weekly close above critical moving average like the 200-day and 21-day EMAs. This suggests strong buyer support at current levels. Resistance at $88,000 serves as a psychological barrier; a decisive break above this level could shoot BTC toward $90,000 and beyond. On the downside, $82,000 acts as a strong support zone. Market sentiment remains cautiously optimistic, driven by potential macro factors such as a dovish Federal Reserve or pro-crypto policies. However, bearish divergences on higher time frames temper the overall upside potential, keeping traders on their toes.

Ethereum (ETH), on the other hand, is trading between $1,900 and $2,200, with a midpoint estimate of $2,000. ETH’s recent 4.3% weekly gain and a green close after three consecutive weeks of declines indicate a potential momentum shift. This is further supported by anticipation of the upcoming Pectra upgrade, which could bolster the network’s scalability and functionality. Key support lies between $1,900 and $2,000, while resistance is positioned at $2,200 to $2,300. While the upgrade and ETH’s slight outperformance against BTC have fueled optimism, longer-term weakness—such as the 200-day moving average trending downward—limits significant gains unless reversed.

Both assets reflect a market that's balancing optimism with caution. Bitcoin’s technical strength and Ethereum’s upgrade-driven momentum highlight opportunities, but broader market conditions and technical indicators suggest a need for vigilance as traders navigate these ranges.