Bitcoin (BTC), Ethereum (ETH) Surge on Amazon Payment Rumor

• Amazon payment rumor sends cryptocurrencies sharply higher.

• Alt-coins continue to rally.

Bitcoin is registering double-digit gains on a widespread ‘insider’ story that Amazon is looking to accept BTC payments soon. If this story is true, and well need to hear some form of confirmation from the company, this move higher may continue to gain traction, especially as the heavyweight coin has broken out of its multi-week range with ease over the last 24 hours.

The daily chart shows that Bitcoin is spiking higher and is above prior multi-week range resistance. The next zone of resistance lies between $41,350 and $43,580. Prior resistance at $36,750 should act as the first line of support before $35,000 comes into view. The CCI indicator is showing BTC in extreme overbought territory and at levels last seen in December 2020.

Ethereum (ETH/USD) is also pushing sharply higher but has not yet been able to break multi-week range resistance between $2,420 and $2,470 although the spot price is closing in on this area quickly. Above here there is a cluster of prior highs all the way up to $3,000 that may put the brakes on any further rally.

The Ethereum/Bitcoin spread continues to respect a bearish trendline off the mid-May high around 815, with the 20- and 50-day simple moving averages also providing short-term resistance. Prior support around 550 should hold, suggesting a breakout is in the making if both support and trendline resistance continue to hold.