IMG-LOGO

Bitcoin, Ethereum Technical Analysis: BTC Nears $20,000, as ETH Hits 1-Month Low

News Feed - 2022-08-27 08:08:51

Bitcoin, Ethereum Technical Analysis: BTC Nears $20,000, as ETH Hits 1-Month Low


Bitcoin was trading close to $20,000 to start the weekend, as traders reacted to comments from U.S. Fed Chair Jerome Powell during Friday’s Jackson Hole summit. Powell warned that “there will be some pain ahead,” as the Fed attempts to bring the rate of inflation down. Ethereum was below $1,500 on Saturday. Bitcoin


Bitcoin (BTC) was trading lower for a second consecutive session, as the token dropped below $21,000 to start the weekend.


Following a high of $21,804.91, bitcoin moved closer to the $20,000 level, falling to an intraday low of $20,020.94.


The move comes as comments from United States Fed Chair Jerome Powell sent shockwaves through global financial markets. BTC/USD – Daily Chart


Powell warned that, “there will be some pain ahead” in upcoming months, as the central bank continues its battle with inflation.


From a technical perspective, the sell-off commenced as BTC failed to sustain a breakout of its $21,600 resistance level.


Prices then went on to fall below another key level, this time at support of $20,800, on the way towards today’s low.


As of writing, the sell-off has marginally eased, however bitcoin continues to hover around what seems to be an interim floor of $20,200. Ethereum


Like bitcoin, ethereum (ETH) also moved lower on Saturday, as the world’s second largest cryptocurrency fell under $1,500.


Saturday saw ETH/USD drop to a low of $1,477.67, which is its weakest point since July 27, a day after prices were trading below $1,400.


Today’s decline comes as ethereum fell below its long-term support level at $1,550, with bears now targeting a floor of $1,450. ETH/USD – Daily Chart


Following this week’s downward crossover between the 10-day (red) moving average against its 25-day (blue) counterpart, many had feared that such a decline could occur.


Price strength has also now weakened to a multi-week low, with the relative strength index (RSI) tracking at a low of 38.75.


Although ETH is currently oversold, the RSI has yet to reach its support at 34, and should it reach this point, we will likely see the token trading below $1,400


Register your email here to get weekly price analysis updates sent to your inbox: Tags in this story Analysis, Bitcoin, BTC, ETH, Ethereum


Do you expect further declines in ethereum this weekend? Leave your thoughts in the comments below. Eliman Dambell


Eliman brings a eclectic point of view to market analysis, having worked as a brokerage director, retail trading educator, and market commentator in Crypto, Stocks and FX. Crypto Economy Slides Under $1 Trillion, as Bitcoin and Ethereum Dive Below Previous Support Zones MARKET UPDATES | 3 hours ago While the Merge Led the Bear Market Rise, Hype Has Been Erased and Ethereum Now Leads the Slide MARKET UPDATES | 10 hours ago


Image Credits: Shutterstock, Pixabay, Wiki Commons Previous articleZugacoin Controversy: Supposed Poverty Eradicating Cryptocurrency Criticized as Just Another Complex Nigerian Ponzi Scheme Next articleBiggest Movers: DOGE, AVAX Fall to 1-Month Lows on Saturday Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItFollowing a Brief Fee Spike, Gas Prices to Move Ethereum Drop 76% in 12 Days


Transaction fees on the Ethereum network are dropping again after average fees saw a brief spike on April 5 jumping to $43 per transfer. 12 days later, average ether fees are close to dropping below $10 per transaction and median-sized ... read more.NFT Sales Volume Saw a Small Uptick This Week — Moonbirds, Mutant Apes Take Top Sales Argentinian Securities Regulator Launches Innovation Hub to Discuss Regulated Crypto Investments Privacy-Centric Monero Plans for July Hard Fork, Plans Include Ring Signature, Bulletproof Upgrade FBI Issues Alert Concerning Malicious State-Sponsored North Korean Hackers Targeting Crypto Firms