Bitcoin, Ethereum Technical Analysis: BTC Edges Closer to $17,000 as Market Focus Turns to FOMC Minutes

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Bitcoin moved closer to the $17,000 level on Tuesday, as market volume begins to pick up following the New Year’s celebrations. This comes as traders turn their attention to tomorrow’s Federal Open Market Committee (FOMC) minutes report. Ethereum also continued to trade above $1,200 in today’s session.

Bitcoin

Bitcoin (BTC) edged closer to the $17,000 level on Tuesday, as traders turned their attention to Wednesday’s FOMC minutes report.

BTC/USD hit a high of $16,760.45 earlier in today’s session, which comes less than 24 hours after trading at a low of $16,666.92.

Today’s activity saw bitcoin near a breakout of a long-term resistance level of $16,800, as market volatility remains high following the New Year’s celebration.

BTC/USD – Daily Chart

As can be seen from the chart, Tuesday’s move comes as the 14-day relative strength index (RSI) approached a resistance level of its own.

Currently, the index is tracking at 47.18, which is marginally below its point of resistance at the 48.00 mark.

This ceiling seems to be the main hurdle stopping price from extending gains, and moving above the $17,000 zone.

Ethereum

In addition to BTC, ethereum (ETH) mostly consolidated on Tuesday, with prices continuing to trade above the $1,200 point.

Following a low of $1,212.49 to start the year, ETH/USD hit a peak of $1,219.86 earlier in today’s session.

As a result of today’s move, ethereum moved closer to a resistance level of $1,230, which has been in place since December 16.

ETH/USD – Daily Chart

Looking at the chart, ethereum was unable to recapture this ceiling, as the RSI of 14 days failed to break out of a resistance at 49.00.

As of writing, the index is tracking at 48.90, with bulls remaining close to this point ahead of tomorrow’s FOMC report, which could be the trigger to a potential price surge.

After tomorrow’s report, attention will turn to Friday’s U.S. nonfarm payrolls (NFP), which could also be a catalyst for market moves.

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Could we see ethereum hit $1,300 by the end of the week? Leave your thoughts in the comments below.

Eliman Dambell

Eliman brings an eclectic point of view to market analysis, he was previously a brokerage director and retail trading educator. Currently, he acts as a commentator across various asset classes, including Crypto, Stocks and FX.

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