Bitcoin and Ethereum Volatility High: What to Expect This Week
• Bitcoin (BTC) and Ethereum (ETH) experienced volatility in prices to start the week. BTC/USD dropped closer to a recent support point at the $22,300 zone, while ETH/USD fell to an intraday low of $1,557.36.
• The recent rise in bearish sentiment has caused bitcoin to fall by as much as 5% in the last seven-day period. A downward crossover between the 10-day (red), and 25-day (blue) moving averages has also transpired, which could be a sign of further sell-offs to come.
• Ethereum’s market cap is down 5% within that period and the 10-day (red) moving average has moved below its 25-day (blue) counterpart, with support at $1,560 preventing further falls. The 14-day relative strength index (RSI) is currently tracking above a floor at the 42.00 mark for Bitcoin and 44.00 for Ethereum respectively.
Volatility in Bitcoin & Ethereum Prices
Bitcoin (BTC) started the week in consolidation, ahead of a key week of economic data from the United States. Following a high of $22,497 on Sunday, BTC/USD slipped to an intraday low of $22,331 earlier in the session. As a result of this move, Bitcoin sank closer to a recent support point at the $22,300 zone. Overall, bearish sentiment has caused bitcoin to fall by as much as 5% in the last seven days period and resulted in a downward crossover between its 10 day red moving average and 25 day blue moving average which could be signifying further sell offs on their way .The 14 day relative strength index(RSI) is presently tracking above its floor at 42 points which may be considered positive for Bitcoin markets .
Ethereum(ETH)’s market cap is down 5 % within that period , it traded at an intraday low of 1557 dollars earlier today . Its 10 day red moving average has gone below its 25 day blue one with support being provided by 1 560 dollars . The relative strength index is hovering around 44 points which may not bode well for ETH markets .
Key Economic Data This Week
This week sees some important economic data coming out from U S economy; nonfarm payrolls will be posted , this will be followed by Federal Reserve Chair Jerome Powell’s speech later this week .
Sentiment & Technical Analysis
Recent increase in bearish sentiment coupled with technical analysis such as Moving Average crossovers have pointed towards potential downturns ahead; additionally RSI readings have been mixed so far with BTC’s being higher than ETH’s but both are still close to their respective floors ; if these levels break then more downside movement can be expected from both these cryptocurrencies .