BTC started the day on a positive note as it climbed from a $10,139 swing low against the US Dollar. The flagship digital coin gained pace to surmount the $10,550 resistance and even broke above a bearish trend line with resistance near $10,600.
This price action moved the BTC price into a short-term positive zone and formed a high near $10,789. However, the asset encountered a significant hurdle near $10,800 and started correcting lower.
The BTCUSD pair trades at $10,616 during press time, with the next major support near $10,550.
BTCUSD chart by Tradingview
In the coming sessions, BTC needs to continue higher above $10,780 and $10,800 to catalyze a new rally.
Safe-havens Like BTC should Rise, Says CitiBank Report
A recent report by Citigroup Inc. gave some hope to BTC investors. The American banking giant projected that the flagship crypto could soon hit a new year-to-date (YTD) high, fuelled by the uncertainty surrounding the November US presidential election.
The report further notes that safe-havens such as gold should rise as long as the Fed continues to print money to boost the global economy.
Last week, the BTC price briefly touched lows of $10,100 as the Fed Chairman Jerome Powell hinted at the possibility of an imminent second Covid-19 stimulus package.
The bank of England also recently debated introducing negative lending facilities to boost spending on market-aiding programs.
A new influx of cash into the economy would cause ultralow interest rates and higher inflation growth, driving more people to turn to safe-haven assets.
The expansionary approach by central banks to boost the world economy prompted Tyler Winklevoss, the co-founder of the Gemini exchange, to note:
“You couldn’t buy a better advertisement for Bitcoin but you can take their money and go long bitcoin.”
ETH Price Registers Steady Recovery
The ETHUSD pair started a steady recovery wave from the $313 swing low and even broke the $320 and $330 levels to move into a short-term positive zone.
The second-largest digital asset climbed higher as the bulls pushed the price above $340 to form a high near $353.
ETH then faced a significant resistance near $355, resulting in a correction lower. The ETH price is currently consolidating gains just below the $350 resistance level at its current price of $347.10.
ETHUSD chart by Tradingview