Almost 10K lose, but 38K is strongly supporting.
Starting from the last days of March, BTC and the overall downtrend in the cryptocurrency markets started. For BTC, $48,220 was the latest peak, and $39,200 was the latest low. Bears in the decline that had in the past weeks, created strong support at 38,000.
These days we have two main market drivers, inflation and geopolitical tensions. Inflation is increasing as well as bond yields. Market pricing again on faster rate hikes with bigger numbers, and this higher expected inflation increases the demand for cryptocurrencies in different countries. On the other hand, market risk is increasing as geopolitical tensions are still there, and with the prolongation of conflicts there, fears can increase among investors which are not positive for the cryptocurrencies.
From the technical point of view, in the Daily chart, both BTC and ETH, have the same behaviors. BTC as you can see in the below chart created strong support at 38,00 US dollars, and after touching its latest lower low under 33,000, always creates a higher low. In the daily chart, we can even see the head and shoulders pattern with first resistance at 100DMA, which sits at its shoulders as well.
Ethereum is also in the Daily chart, always creating a higher low, after testing the 2,200 and below that. For ETH, the first resistance at the moment sits on 100 DMA, at 3,180. While the price slowly increasing and the OBV trend line moving above 20DMA, we can say that technically indicators remain bullish in the Ethereum Daily chart.