Bitcoin, Ethereum Technical Analysis: BTC, ETH Remain in the Red, to Start the Weekend
Bitcoin and ethereum were both trading lower to start the weekend, as crypto markets continued to face bearish pressures. The current uncertainty surrounding next week’s Federal Reserve meeting has seen prices consolidate for most of the week, with Saturday being no different.
Bitcoin
Bitcoin (BTC) was once again in the red during today’s session, as prices continued to trade below the key $40,000 level.
The world’s largest cryptocurrency dropped to a low of $38,235.54 to start the weekend, following a peak of $39,263.60 on Friday.
Saturday’s fall has seen the price continue to slowly approach the long-term support level of $37,570, which is a point that hasn’t been reached since March 13.
One reason why BTC bears haven’t yet captured this floor is due to the fact that the 14-day RSI continues to sit above its own support.
As of writing this, relative strength is tracking at 40.50, which is slightly above the ceiling of 40, and bears have likely avoided entering in huge numbers, as they are likely anticipating a rebound.
Recent history has shown that bulls typically push prices higher at this level, which could be a reason for the tentative start to today’s session.
Ethereum
Ethereum (ETH) on the other hand saw its long-term support level briefly hit during today’s session, as traders prepared to leave April behind.
April has been the worst month for ETH since December, with prices going from a peak of $3,580, to a bottom of $2,770.
Saturday’s bottom saw ETH/USD drop to an intraday low of $2,782.44, which is marginally above support at $2,780.
Following the low, the price has since climbed, as history suggested, with bulls typically re-entering the market at this point.
As of writing, ETH is trading at $2,832.82, which is 0.43% lower than Friday’s high, and comes as many hope for pending reversals.
Should this occur, the 42 ceiling within the RSI indicator will need to be broken in order to help rally more bulls together.
Will May see price consolidation in crypto finally end? Leave your thoughts in the comments below.
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Author: Eliman Dambell