Bitcoin and Ethereum: Bitcoin is testing support at $31,000

• Yesterday we saw the continuation of the July bullish consolidation and the jump in the price of Bitcoin to the $31400 level.
• Yesterday’s bullish trend in the Ethereum price was stopped at $1975.

Bitcoin chart analysis

Yesterday we saw the continuation of the July bullish consolidation and the jump in the price of Bitcoin to the $31400 level. The price stalls at that level and encounters resistance, leading to a pullback to the $31,000 support level. Now we need a new positive consolidation in order to start a new bullish consolidation. After that, we expect to return to this morning’s resistance zone around the $31400 level.

With the price breaking above, we are moving into a further bullish trend with the formation of new highs. Potential higher targets are $31600 and $31800 levels. We need a negative consolidation and pullback to the $30600 level for a bearish option. If Bitcoin fails to hold at that level, the price will continue to pull back and test previous lows.

Potential lower targets are $30400 and $30200 levels. Additional support is the EMA50 moving average in the zone around the $30400 level, and there we could get support and stop further decline.

Ethereum chart analysis

Yesterday’s bullish trend in the Ethereum price was stopped at $1975. After that, the price begins to pull back and meets the first support at the $1950 level. For a bearish option, we need a continuation of the negative consolidation and a drop below the $1950 level. In the continuation, we could have a price drop to $1930, the previous support level.

With the price of Ethereum falling below the previous support, bearish pressure would increase, and we would see a continuation of the decline to the next lower support. Potential lower targets are the $1920 and $1910 levels. Additional support at the $1910 level is in the EMA50 moving average.

We need positive consolidation and a return to the zone around the $1975 level for a bullish option. Then a breakout above and consolidation above is required. After that, we can expect to see the price continue to rise. Potential higher targets are the $1980 and $1990 levels.