Bitcoin and Ethereum Poised to Resume Rally in Bid to End Bear Market
Despite the continuing struggles of FTX, Bitcoin and Ethereum prices have managed to remain resilient. Both Bitcoin (BTC) and Ethereum (ETH) have seen an upswing, indicating a positive sentiment for cryptocurrency investors.
This is especially prominent, with both seeing an increase of over 20% in just one week. Digital assets are back in the news as the global market cap has recently broken the $1 trillion mark.
Furthermore, the recent price movement has also been accompanied by an increase in Bitcoin mining difficulty. This measure reflects how difficult it is to solve the cryptographic puzzle required to generate a block on the network.
On January 15, the mining difficulty increased by more than 10%, reaching an all-time high of 37.73 T. This indicates that, on average, it takes 37.73 trillion hashes (or tries) to find and add a legitimate Bitcoin block reward to the blockchain.
A bullish reversal in the cryptocurrency asset's price movement aligns with the number used to calculate how challenging it is to mine a Bitcoin block.
The second-largest cryptocurrency by market capitalization, Ethereum, saw an increase of 21% over the past seven days. According to experts, bulls are almost exhausted, and traders who hold short positions may benefit before the Shanghai upgrade.
Ethereum development is on schedule for the Shanghai hard fork, which will be preceded by a token unlock event. ETH staked in the deposit contract will be unlocked for the first time since the contract's debut in November 2020.
The circulating quantity of the cryptocurrency will increase by at least 35,000 ETH after it has been unlocked and unstaked. According to experts, this could potentially increase the selling pressure on the commodity and reduce the
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