Ethereum moved below $1,600 on Jan. 25, with bears selling previously overbought cryptocurrencies. After days of uncertainty, sentiment turned around in crypto markets, with a red wave sweeping through recent bulls. Bitcoin also fell below $23,000 as a result of today’s selloff.
Bitcoin
bitcoin (BTC) fell below the $23,000 level on Wednesday, as a wave of red swept through the cryptocurrency markets.
After a high of $23,048.18 on Tuesday, BTC/USD hit an intraday low of $22,406.08 earlier in today’s session.
As a result of today’s price decline, bitcoin fell to its weakest point since Sunday, breaking a floor of $22,500 in the process.
Looking at the chart, the drop came as the 14-day RSI fell to its lowest level since last Thursday.
At the time of writing, the index is at a level of 79.93, which comes less than 24 hours after hovering around 85.09.
Since its previous breakout, the world’s largest cryptocurrency has rallied somewhat and is currently trading at $22,614.62.
Ethereal
Sentiment in ethereum (ETH) also changed on Wednesday, with prices dipping below a recent support point at $1,600.
ETH/USD fell to a low of $1,530.80 on Wednesday, after peaking at $1,630.47 during the Tuesday session.
Since breaking out of its $1,600 floor, Ethereum appears to be heading towards a lower support level at $1,500.
As with bitcoin, today’s red wave comes when the bears finally opted to re-enter the market, as a result of price overbought.
Ethereum’s 14-day RSI is currently at 61.07, which is its lowest point since January 8, and this comes a day after breaking a bottom at 74.00.
There seems to be a next support area at 58.00, and if this holds firm, ETH it could manage to hold above $1,500.
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Could we see cryptocurrencies continue to fall in the coming days? Leave your thoughts in the comments below.
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