Cryptocurrency prices remain steady amid rate hike expectations

Cryptocurrency prices remained relatively stable on Monday, with Bitcoin trading below the $39,000 level and Ethereum trading sideways around the $2,500 level. If Bitcoin price falls, it may find support at $36,000 and $33,000, while resistance may be found at $40,000 and further up near $44,300. Ethereum may find support at $2,600 and further down around $2,300. In case its price goes up, it may find resistance at $3,000 and further up at $3,400.

Cryptos have been under pressure since the beginning of the year, hit by a bout of risk-aversion. Mounting geopolitical tensions have been driving the price of cryptos down, as investors shy away from risk assets. 

Increased expectations that the US Federal Reserve and other major Central Banks will raise their benchmark interest rates also put pressure on crypto markets. Both the Fed and the BOE are expected to raise their benchmark interest rates this week, although the rate hikes are widely expected and have been mostly priced in by markets.

Most major cryptocurrencies have received a boost over the past couple of weeks, as demand from Russian and Ukrainian markets increased. Bitcoin volume from Russian markets has increased considerably, as Russian investors aim to escape the plummeting Rouble and Russian sanctions.

BTC/USD 1h Chart

ETH/USD 1h Chart

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Written by:
Myrsini Giannouli

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