Bitcoin rose back above $27,000 on the news, snapping a four-day losing streak. Ethereum neared the $1,900 level. On Friday, bullish sentiment returned to cryptocurrency markets, as the U.S. Senate approved the bill to increase the debt ceiling.
Bitcoin (BTC) snapped a four-day losing streak on Friday, after it was reported that the U.S. Senate had passed the bill to increase the debt ceiling.
This comes ahead of Monday’s deadline, which could have resulted in the government running out of cash, had the bill not been approved.
Following the news, BTC/USD raced to a peak of $27,203.32, a day after dropping to a bottom at $26,574.64.
Overall, this move appeared after bears could not break a long-term floor at $26,500, prompting bulls to reenter the market.
In addition to this, the relative strength index (RSI) moved above a floor of its own at 46.00, and is currently tracking at 48.12.
The next test to see if bitcoin can sustain this momentum will come at the $27,500 ceiling. If passed, there is a good chance that price will be above $28,000 this weekend.
Ethereum (ETH) also increased in today’s session, climbing closer to the $1,900 level in the process.
ETH/USD jumped to an intraday high at $1,896.62 earlier in the day, less than 24 hours after hitting a low of $1,851.96.
Friday’s rally saw the world’s second-largest cryptocurrency end a two-day downturn, following a bounce from a floor of $1,830 on Thursday.
From the chart, a bounce on the RSI also took place, with price strength jumping from support at 51.00.
The next visible point of resistance now appears to be at 59.00, and should ETH reach this point, price will be closer to $1,930.
At the time of writing, Ethereum is trading at $1,893.49.