Daily Crypto Signals: Bitcoin Consolidates Under $97K, Ethereum Nears Critical Level
As a new week begins, Bitcoin eyes the coveted $100,000 mark while Ethereum approaches a critical price level that previously triggered a
Quick overview
- Bitcoin is approaching the $100,000 mark, with active addresses reaching a six-month high as market anticipation builds ahead of the Federal Reserve's interest rate announcement.
- Ethereum is nearing a critical price level that historically triggered a 450% rally, while technical analysts note similarities to past patterns.
- Cardano has risen over 40% from early April lows and is consolidating in a symmetrical triangle pattern, indicating potential for a breakout.
- Pro-crypto Senate Democrats have withdrawn support for a Republican-led stablecoin bill, citing unresolved issues that need addressing.
As a new week begins, Bitcoin eyes the coveted $100,000 mark while Ethereum approaches a critical price level that previously triggered a 450% rally. Active Bitcoin addresses hit a six-month high as altcoin markets show mixed signals amid Federal Reserve meeting anticipation.
Crypto Market Developments
After breaking out from a multi-day consolidation zone, the market for cryptocurrencies is displaying notable strength as Bitcoin settles just below the $97,000 level. Along with this positive momentum, expert Ali Martinez notes that Bitcoin blockchain activity has surged dramatically—the greatest level in six months—with over 925,914 active addresses recorded in one day.
Considered as the main macro event influencing Bitcoin’s future movement, market players are currently carefully tracking the forthcoming Federal Reserve interest rate announcement. Although the FedWatch Tool of CME Group shows low chances of a rate reduction on May 7, the result of the event will probably define the tone of the crypto markets in the next weeks.
Concurrent with this global acceptance is the Maldives government’s significant $9 billion agreement with Dubai-based MBS Global Investments to create a crypto hub in the national capital. Including plans for an 830,000-square-meter building to accommodate blockchain, crypto, and Web3 companies, this development represents a significant investment more than the nation’s annual GDP of roughly $7 billion.
Threatening to impede what could have been the first U.S. regulatory framework for stablecoins, a group of pro-crypto Senate Democrats have withdrew their support for the Republican-led stablecoin bill. Declaring in a joint statement that the law “still has numerous issues that must be addressed,” the senators said they would not support a procedural vote without major amendments.
Bitcoin Consolidates Under $97,000 Resistance
Trading close to $95,424, Bitcoin BTC/USD has dropped from multi-month highs above $97,000. Like mid-April when Bitcoin steadied about $86,000 before rallying almost $10,000, the recent price action has produced what traders see as a fair value difference between $94,200 and $95,000.
Technical analysts highlight a significant support zone between $91,500 and $92,000 based on the 20-day exponential moving average ($92,106). The road to the psychologically important $100,000 threshold stays clear as long as Bitcoin keeps support higher than this level. The relative strength index (RSI) stays in positive territory, implying that despite the weekend retreat buyers still have the upper hand.
With Bitcoin registering its largest number of active addresses in six months, showing robust network involvement corresponding with the current price action, on-chain indicators support the optimistic thesis even more. But liquidation data reveals that significant shorts are concentrated between $96,500 and $97,000, suggesting possible volatility once these price points are tested.
Some analysts are even more ambitious, with network economist Timothy Peterson speculating that, should certain circumstances be satisfied—that is, a drop in the CBOE Volatility Index below 18 and a decline in interest rates— Bitcoin may explode to $135,000 within the next 100 days.
Is Ethereum Getting Ready for a 450% Rally?
Against Bitcoin, Ethereum ETH/USD is nearing a pivotal price point that traditionally signaled the start of a major climb. ETH/BTC is moving closer to the 0.016 BTC level—the exact zone it touched in September 2019 before rising around 450% over the next year. Right now trading near 0.019 BTC ($1,813).
With both periods marked by oversold relative strength index (RSI), extended spells below significant moving averages, and multi-year falls, the present ETH/BTC configuration shows startling resemblance to the 2019 pattern. The fall of the ICO caused ETH/BTC to drop over 90% in the previous two years in 2019. Skepticism over Ethereum’s move to proof-of-stake, increasing competition, and Bitcoin’s increasing prominence as an institutional asset have depressed the pair today nearly 80% from its 2021 peak.
Responding to these issues, Ethereum co-founder Vitalik Buterin has suggested new design and protocol-wide rules meant to simplify Ethereum, accelerate it, and make it as manageable as Bitcoin within five years. One researcher referred to this idea as “the most bullish thing for ETH.”
Technical analysts note ETH/BTC’s attempt to escape its multi-year “bearish parabola,” a curved resistance that has hampered the pair’s upward attempts since December 2021 but is now displaying symptoms of tiredness.
Cardano Eyes Breakout After Consolidation
Rising more than 40% from its early April lows, Cardano ADA/USD shows fresh altcoin market appeal. Currently trading at $0.6963, ADA is consolidating on the 4-hour chart in a symmetrical triangle pattern—a configuration sometimes preceding significant breakouts.
Top analyst Carl Runefelt pointed out this technical trend: ADA is coiling for a definitive action while bulls and bears fight for temporary dominance. ADA is nearing a turning point as the bitcoin is trading somewhat below the 200-day moving average at $0.7766 and the 200-day exponential moving average at $0.7113.
A breach above $0.7730 would indicate positive continuation and might set off yet another leg upward toward the $0.85-$0.90 zone. On the other hand, losing support around $0.6280 might cause a more general correction. ADA seems well-positioned for upside for now if it can recover resistance and verify a breakout.
Top Altcoins to Watch Today
- HYPE (Hyperliquid): Trading at $20.04, HYPE is facing resistance at $21.50 but shows strength as bulls have not ceded much ground. The upsloping 20-day EMA ($18.48) and RSI near the overbought zone suggest the path of least resistance is to the upside. A close above $21.50 could initiate the next leg up to $25 and potentially $27.50.
- AAVE: Currently at $173.22, AAVE turned up from its moving averages on April 30, indicating positive sentiment and buying on dips. Bulls are attempting to push the price to $196, which serves as a significant resistance level. If AAVE maintains support at its 20-day EMA after any pullback from $196, the likelihood of breaking above this resistance increases, potentially leading to moves toward $220 and later $240.
- RNDR (Render): Trading at $4.31, Render attempted to breach the $4.87 resistance on May 2 but faced strong opposition from sellers. The price has retreated to the 20-day EMA ($4.31), a level where bulls typically defend. A bounce from this support could lead to another attempt at breaking $4.87, which if successful, could propel RNDR toward $6.20.
- FET (Fetch.ai): After reaching the $0.84 resistance level, Fetch.ai has pulled back to its 20-day EMA at $0.65. Bulls will likely try to halt this correction at the current level. A strong rebound could lead to another test of $0.84, with a break above potentially opening the path to $1.09. However, a drop below the current support could see FET falling to its 50-day SMA at $0.54.
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