Bitcoin fell below $40,000 to start the weekend, as the crypto market remained inundated by the latest red wave. ETH was also lower on Saturday and remained in the red for the second consecutive session.
Bitcoin
BTC dropped below the $40,000 level to begin the weekend, following a three-day losing streak that pushed the price closer to multi-week lows.
After Friday’s peak of $40,524.76, the world’s largest cryptocurrency fell to a low of $39,315.42 today.
This move was remitted above the $42,500 resistance level in less than 48 hours from BTC/USD trading. However, after a false breakout, the price is back towards the support.
The support point on this occasion is the $39,500 floor, where bitcoin began trading this week ahead of its initial midweek rally.
Ultimately, today’s return to support has been a perfect encapsulation of the current volatility within the crypto markets this week, and April in general, is where we have mainly seen consolidation.
Furthermore, the 14-day RSI is now tracking 40.5, an area where there is generally bullish momentum – eg, a rally remains high.
Ethereum
ETH was trading lower for the fourth consecutive session as the price traded below the $3,000 support level once again.
As of writing, ETH/USD has dropped to a low of $2,926.74 from today’s low, following yesterday’s high of $3,007.41.
As this low broke the previous support at $2,950, the world’s second largest cryptocurrency rose slightly higher as the bulls re-entered.
Typically, we have seen strong bullish pressure on this floor, and it has remained so to date, with ETH now trading at $2,963.86.
Looking at the chart, the RSI indicator is also hovering near its support of 43.50, however if this strength turns into weakness, there could be an even bigger drop in Ethereum price.
We will now see a higher level of uncertainty this weekend, as both the bulls and bears continue to jockey for positions.
Do you expect ETH to drop further this weekend? Give your thoughts in the comment below.
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