Ethereum maintains its dominance over BTC

The second largest cryptocurrency Ethereum is doing much better than Bitcoin, which is still struggling to climb above its 200-session weekly average. Despite sizable gains, however, the token is retreating nearly 10% from record highs at $1,630 and is again struggling to hold $1,500. The heated sentiment around the cryptocurrency market cooled slightly today:

• Ethereum's gains are directly driven by the upcoming version 2.0, which will make ETH greener, more efficient and create deflation (freezing the mining of more tokens). According to information from the developers' conference, September 19 of this year has been chosen as the approximate date for the final introduction of the modification;

• Ethereum is doing better than Bitcoin, which has very rarely happened in the past in a bull market, in which altcoins lost the most against the 'king of cryptocurrencies'. The dominance of the major cryptocurrency is currently waning. Some markets are predicting that this could be a historic moment for Ether, which has a chance to overtake Bitcoin;

• Cryptocurrencies are retreating as a result of the sell-off in US indices at the end of yesterday's session. Today, the opening of the European session is also in a mixed mood;

• Apple (AAPL.US) conveyed yesterday that it is preparing for a recession by cutting costs, and Germany faced news of the suspension of Russian gas flow through the Nord Stream 1 pipeline, which could impinge on the margins of German industry and create an economic problem for Europe. At the same time, the markets rather expected such a scenario so it did not have a catastrophic impact on European indices - but it contributed to a cooling of sentiment, which ricocheted off the strength of bulls in the digital asset market.

Ethereum chart, H1 interval. The second largest cryptocurrency is trading up nearly 2.4% today and is trying to continue the move after breaking out of the upper limit of the downtrend. Currently, the $1500 and $1600 zones can be considered local resistance, while we can consider the previously mentioned broken trend limit as support. Source: xStation 5