Following a brief rally on Tuesday, BTC once again dropped below the $40,000 level during today’s session. Wednesday’s selloff has seen prices fall by as much as 4%, whilst ETH also declined by the same amount.
Bitcoin
The world’s largest cryptocurrency moved lower on Wednesday, following a brief rally during yesterday’s trading session.
On Tuesday’s peak, Bitcoin/USD hit $40,330.46. BTC/USD dropped to $37.884.99 intraday on the hump.
BTC continues to trade at or near $37.700 support and closes to its recent one month low.
Since today’s floor, prices have gone on to climb and bitcoin is currently hovering near the $38,910.00 level.
The chart shows that the 14-day RSI has also exceeded its ceiling at 39.50. There is potential to it move higher to resistance 43.
If this happens, we will see the floor remain firm and we could be in position for a run to $41,000.
Ethereum
ETH was also unable to sustain gains made during Tuesday’s session, as prices once again dropped below $3,000.
The world’s second-largest cryptocurrency hit a bottom of $2,786.25 earlier today, which comes less than 24 hours after it traded close to $3,046.
Today’s drop saw prices find support at the $2,780 level, which has historically been a soft landing spot for retreating bulls.
This was proven to be true again as the ETH/USD traded at $2862.25, up from its lower levels.
Looking at the chart, this is still roughly 3.98% lower than yesterday’s peak, and comes as RSI attempts to move away from a six-week low.
Taking a look ahead, it seems that the $2950 resistance is the biggest obstacle to any future runs into the $3,000 area.
What do you think about crypto consolidation continuing into May? Please leave your comments.
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