Centralized exchanges continue to come under scrutiny after the FTX collapse, with many working to show proof of reserves. Ethereum was also on the rise, with the token approaching $1,200 today.
Bitcoin rebounded from its recent declines on Wednesday, as markets were boosted by news that Coinbase has 2 million BTC in its reserves as of the end of the third quarter. After a low of $15,820.29 on Tuesday, BTC hit an intraday high of $16,611.59 in today’s session.
The price rally sees BTC move away from a recent low of $15,600, with bulls now seemingly targeting a ceiling of $16,900.
Looking at the chart, this rally comes as the 14-day relative strength index (RSI) has broken through resistance at 38.00. At the time of writing, the index is at 39.58 and appears to be headed for a resistance point of 41.00.
Sentiment in the market remains bearish despite today’s rally, however, if these upcoming hurdles are overcome, then the momentum could begin to change.
Like Bitcoin, ethereum also returned to the green in today’s session, with the token closing in on the $1,200 mark. Ethereum hit a high of $1,175.13 on Wednesday, less than 24 hours after hitting a low of $1,096.66.
Today’s rally took ethereum past a key resistance level of $1,170, reaching its highest point since Sunday in the process.
Since the crash, market uncertainty has increased, with the world’s second largest token now trading below previous highs. This comes as the RSI has also hit a wall, with the index currently tracking at 40.26, which is marginally below a ceiling of 40.30.
Bulls are likely targeting a return to the $1,200 area, but price strength will have to overcome this current hurdle first.