Bitcoin gained bullish momentum and rallied above the $12,500 level in today’s early sessions. The king coin then monetarily tapped $13K as buying pressure continued to erupt and even traded to a new year-to-date high set at $13,250.
The BTC price has since now corrected slightly lower to trade at $12,971 during publication time.
BTCUSD Chart by TradingView
BTC has seen an absurd amount of intraday volatility over the past 24 hours amid the best price action in months.
After setting a new monthly high at $13,250K, the flagship crypto retracted sharply to reach as low as $12,600 on futures platforms. That price action meant that the BTC had plunged by $600 in just six minutes.
The cause of the retracement isn’t clear as of now, but some analysts speculate that it may have resulted from a sequence of cascading longs on futures exchanges. Some investors may have been caught off guard by the first BTC spike seen yesterday, then the subsequent sell-off.
BTCUSD has now managed to bounce 4% in the past sessions to trade just below the $13,000 resistance level. The latest rally is fuelled in part by news that PayPal will be supporting cryptocurrencies in its app and within Venmo.
According to Chamath Palihapitiya, CEO of Social Capital, the move by Paypal will force banks to discuss BTC adoption.
The BTC price is holding a couple of crucial supports near $12,700 and $12,850. The next major hurdle for the asset is at the $13K level.
ETH Price Turns Green
ETH shadowed Bitcoin’s rally and started a strong uptick above the $380 resistance on Thursday morning. The ETHUSD pair even surmounted the $385 and $392 resistance levels to move further into a positive zone.
The upward trend continued as the bulls gained momentum to break above the $400 resistance. A new monthly high has currently formed as the ETH price continues to surge higher. The popular altcoin is trading at $416 as of this article’s writing.
ETHUSD Chart by TradingView
BTC and Ethereum Have Transferred $2 Trillion in Value In 2020
According to on-chain data analytics firm Messari, BTC and ETH have transferred a combined value of about $2 trillion this year.
Bitcoin and Ethereum transfers have now hit a new all-time high, as the combined value in both markets is at about $200 billion a month. This figure is remarkable for the still-nascent cryptocurrencies and indicates increasing adoption of the asset class.
Moreover, data from trustnodes points to a phenomenal increase in users and use cases on the ETH blockchain. As a result, ETH has overtaken BTC this summer in terms of daily value transfers, which have surged to $7 billion a day while BTC remains at $3 billion.
ETH Overtakes BTC in Daily Value Transfers | Source Trustnodes.com