bitcoin

Bitcoin, Ethereum Technical Analysis: BTC Consolidation Continues, as Moving Average ‘Death Cross’ Nears



Bitcoin, Ethereum Technical Analysis: BTC Consolidation Continues, as Moving Average ‘Death Cross’ Nears

Bitcoin was largely unchanged on Wednesday, as moving averages closed in on a potential upward crossover. The potential for a “death cross” will likely be in the mind of would-be bulls, looking for an opportune time to reenter. Ethereum continues to hover close to a floor of $1,630.

Bitcoin

Bitcoin’s consolidation continued on Wednesday, as bulls remained on the sidelines, despite the prospect of a “death cross.”

The term refers to an entangling between moving averages, in this instance the 10-day (red) and 25-day (blue) trendlines.

Despite the potential for this to occur, BTC/USD bottomed out at $25,628.61, which is marginally lower than Tuesday’s high of $25,858.37.

new TradingView.widget(
{
“width”: “100%”,
“height”: “400”,
“symbol”: “BITSTAMP:BTCUSD”,
“interval”: “D”,
“timezone”: “Etc/UTC”,
“theme”: “light”,
“style”: “1”,
“locale”: “en”,
“toolbar_bg”: “#F1F3F6”,
“enable_publishing”: false,
“container_id”: “tradingview_1247e”
}
);

Looking at the chart, price consolidation comes as the relative strength index (RSI), flatlines close to a support of its own at 35.00.

Bulls have so far rejected a move below this point, however in the event that this occurs, BTC could fall below $25,000.

Longer-term bitcoiners could be hoping for this, as a means of buying at an even lower rate.

Ethereum

Ethereum (ETH) remained close to the $1,630 level during today’s session, despite attempts by bears to force a breakout below $1,600.

ETH/USD has climbed away from an earlier low of $1,610.14 on Wednesday, with price going on to peak at $1,635.29.

Similar to bitcoin, the 10-day (red) and 25-day (blue) moving averages seem set for an imminent upwards cross, however price has yet to react to the prospect.

Ethereum’s price strength now sits at a reading of 36.80, marginally above a floor of 36.00, however a ceiling of 44.00 is likely the real target for traders.

Should a reversal happen in the coming days, a move to this point of resistance will be enough to send ETH past $1,700.

Register your email here to get weekly price analysis updates sent to your inbox:

Do you expect some bullish momentum later in the week? Leave your thoughts in the comments below.



READ SOURCE

This website uses cookies. By continuing to use this site, you accept our use of cookies.