Bitcoin and Ethereum, Weekly Performance Since March | CoinDesk JAPAN | Coin Desk Japan

• The Bitcoin Trend Indicator (BTI) is in a “significant uptrend.”
• Next week’s scheduled macroeconomic events and data will not be of much importance other than consumer spending on the 30th.

Thirty days ago, Bitcoin (BTC) was headed for its first monthly negative of 2023, but on the 23rd, Bitcoin is headed for its strongest performance since March. Ethereum (ETH) has followed suit and has yet to record a single negative month so far this year.

Bitcoin and Ethereum Match Direction and Momentum

CoinDesk Indices’ Bitcoin Trend Indicator (BTI) shows that Bitcoin has entered a significant uptrend after the price rose 15% this week.

The bullish factor of the past two weeks has started to warm up the frigid “crypto winter.” The reason for this is that Bitcoin and Ethereum were not included in the list of “securities” in the SEC (US Securities and Exchange Commission) lawsuit against major crypto asset exchanges Binance and Coinbase.

More recently, BlackRock, Invesco and WisdomTree have filed Bitcoin ETFs. There is also a rise in initial unemployment claims, a sign that the Fed’s hawkish monetary policy is slowing the economy.

The Ethereum Trend Indicator (ETI) has also broken out of neutral, signaling an uptrend.

Momentum in both assets has surged this week, with the relative strength index (RSI) up 43% and 46% respectively since Thursday.

Currencies Sector Leads Coindesk Market Index (CMI)

The CoinDesk Market Index (CMI), which measures the performance of the entire cryptocurrency market, is up 11% this week. Of the five CMI sectors, all 20 cryptocurrencies were positive in the currency sector.

Bitcoin Cash (BCH) and Onyxcoin (XCN) led the currency sector with gains of 33% and 28%, respectively.

The DeFi sector rose 5.8%, but fell short of the currency sector.

What is the outlook for next week?

Can the cryptocurrency market sustain momentum? Bitcoin has broken above the Bollinger Bands for the fourth day in a row, and the RSI is overbought at 75.

Traders wary of the current price rally could see this as a profit-taking opportunity. It will be interesting to see how much bitcoin does or does not move to exchanges.

In the past, Bitcoin has tended to go up even when the RSI numbers are high. Volume peaked on the 21st and declined on the 23rd. Momentum shifts are a clue as to whether the immediate buying pressure is waning.

Macroeconomic data does not look very important, with the exception of Tuesday’s release of personal consumption expenditures (PCE).

While the consumer price index (CPI) has been the focus of attention on inflation-related matters, the FOMC (Federal Open Market Committee) minutes show that Fed officials frequently mention the PCE.

According to advance forecasts, PCE in May rose by 0.4%. Anything above 0.4% could indicate a halt to recent inflation.

｜Translation: coindesk JAPAN
｜Editing: Takayuki Masuda
｜Image: CoinDesk
｜Original: Bitcoin, Ether on Track for Strongest Weekly Gains Since March