Bitcoin, Ethereum Prices Surge on US CPI Data, But Trends Shift
The release of US August CPI data and a short squeeze led to a sharp surge in Bitcoin and Ethereum prices. On the daily chart, Ethereum's bullish structure remains intact, but with a long upper shadow at the highs indicating heavy selling pressure above. This suggests that blindly chasing long positions may not be wise on the daily timeframe.
The mid-band support line for Ethereum is around 2470-2480. If the price falls below this level, the trend could weaken and lead to a deeper pullback. However, if daily support holds, it would be an opportunity to enter long positions.
Bitcoin surged to around 79,888 before reversing downwards. The price has already broken below the Bollinger mid-band, shifting the daily trend from a bullish uptrend to high-level consolidation and retracement. On the 4-hour chart, the Bollinger channel is opening to the downside, with highs gradually descending and yesterday's low of 75,866 serving as a key watershed in the near term.