Bitcoin and ethereum price movements

What happened: Bitcoin (BTC) and Ethereum (ETH) prices experienced volatility last week, driven by geopolitical events and market sentiment. On Monday, April 13, both cryptocurrencies opened lower, with BTC at $70,741.30 (-3.2% from Sunday) and ETH at $1,635.75 (-3.5% from Sunday), following the failure of U.S.-Iran peace talks. Conversely, on Friday, April 10, prices rose ahead of the U.S. CPI report, with BTC opening at $71,783.52 (+0.9% from Thursday) and ETH at $1,664.57 (+0.8% from Thursday). Despite recent price drops, institutional investors continue to accumulate both cryptocurrencies, indicating long-term bullish sentiment.

Market impact: The crypto market's sensitivity to geopolitical events and macroeconomic indicators was evident, affecting both BTC and ETH prices. This volatility impacts crypto investors and traders, as well as companies with significant crypto holdings or exposure. Additionally, the continued institutional accumulation of BTC and ETH signals a potential shift in market dynamics, as these investors often drive long-term price trends.

What to watch next: Investors should closely monitor the following catalysts to gauge the evolution of this narrative: 1) The U.S. Federal Reserve's interest rate decision and subsequent press conference on May 3, which could influence risk asset prices, including cryptocurrencies; 2) The U.S. inflation data release on May 11, as it may impact market sentiment and crypto prices; 3) The technical support and resistance levels for BTC and ETH, currently around $68,000-$70,000 for BTC and $1,500-$1,600 for ETH, which could indicate potential price reversals.