Bitcoin Rallies Ahead of Senate Compromise

Bitcoin and Ethereum surprisingly staying strong even when the crypto community is threatened by the infrastructure bill by the US government.

Source
Lately we have seen cryptocurrencies in recovery mode, Bitcoin being back at $45,000 after a long time, Buyers were active and waiting on the US senate compromise on tax reporting requirements for digital assets, crypto-related blocks such as riot block chain and coinbase shift higher compare to stock markets in hopes for regulatory charity.

Ethereum price was also sold above $3000 at press time and 21% over the past week, in comparison to the 18% rise in bitcoin we saw this friday.

Bitcoin above 200-day moving average.

Bitcoin price met the 200-day EMA and over came it for the first time since april 2020 which caused a wide crypto rally.

Bitcoin returns to bullish mode when it crossed the 200 moving average and the technical resistance is at $50,000 or $55,000.

KIMCHI PREMIUM
This differentiate the price of bitcoin in south korea exchanges from the rest of the world bitcoin trading venue, which is at a six month low.

Basically when kimchi is on the rise it reflects trading frenzy in south korea relative to the US, an all time high in the kimchi premium is a sell off in bitcoin.

This time there is a kimchi discount which is because of the regulatory crackdown on the korean trading frenzy.

Digital asset fund flows

Despite experiencing a sell off for the past 8 weeks, crypto saw their management hit their highest level since mid-May according CoinDesk’s.

My Prediction for the price of Ethereum at the end of this bull circle

During this Bitcoin recovery i have noticed one thing and that is Ethereum is not going to be below $3000 at the end of this bull market plus the london hardfork upgrade that we just had like last week which is going to make ethereum a proof of stake instead what it was before which is proof of work so because of that i see a $12,000 ethereum by the end of this bull market.