On course to have their greatest month since 2021, Bitcoin and Ether

The two biggest digital tokens in the world, Bitcoin and Ether, are on track to have their best months since 2021 due to a rise in risk appetite on the international markets and hope for an Ethereum network update.

Though the rallies slowed on Friday, both Bitcoin and Ether are up by 28 and 72 percent, respectively, in July.

Investors believe that the Federal Reserve will stop rising rates by year's end and switch to lowering borrowing costs in 2023 as a result of the slowing US economy, which will improve the liquidity environment for speculative assets.

All risk assets, including cryptocurrency, have risen as a result of indications the Fed may be nearing the end of its cycle of rate increases, according to Cici Lu, CEO of consulting firm Venn Link Partners. She continued, "Leveraged position liquidation seems to be completed, and markets may have struck the bottom."

The MVIS CryptoCompare Digital Assets 100 index of cryptocurrencies has lost more than 50% of its value this year, and they are currently striving to rebound. The Fed's switch to monetary tightening and the subsequent leveraged blowups, like that of the cryptocurrency hedge firm Three Arrows Capital, shook virtual coinage.

The Ethereum blockchain will soon switch to a so-called proof-of-stake method, which uses less energy. That has recently been Ether, the native tokenwindfall. ,'s

In the coming days, the virtual coin might advance toward $1,915 to $2,000, predicts Mark Newton, head of technical strategy at Fundstrat.

In the short term, Ethereum appears more appealing technically than Bitcoin, thus pullbacks towards mid-August should be buyable, he added.