Bitcoin, Ethereum Technical Analysis: ETH Drops Below $1,200 to Start the Weekend

Bitcoin News

Ethereum fell below $1,200 to start the weekend, as prices continued to trade close to a multi-week low. This decline comes as market sentiment remained bearish following a big week of economic data. Bitcoin also extended recent declines, as traders remained nervous following news that financial auditor Mazars paused all work for crypto clients.

Bitcoin

Bitcoin (BTC) extended recent declines on Saturday, as markets continued to be nervous following recent uncertainty surrounding Binance’s proof-of-reserves audit.

The auditor in charge of the diligence, Mazars, opted to pause all of its work with crypto clients earlier this week, leading to a resurgence of bearish sentiment.

As a result of this news, BTC/USD fell for a third straight session, hitting a low of $16,584.70 to start the weekend.

Looking at the chart, BTC fell below a key support point of $16,700, hitting its lowest point since November 30 in the process.

Prices have since rebounded, as the 14-day relative strength index (RSI) bounced from a floor of 42.20, and is currently tracking at 43.52.

The index now seems to be moving towards a ceiling of 45.00, which if hit, could see bitcoin reenter the $17,000 mark.

Ethereum

Ethereum (ETH) also remained in the red during today’s trading session, as prices moved below the $1,200 mark.

Following a high of $1,278.16 on Friday, ETH/USD fell to an intraday low of $1,162.18 earlier in the day.

Like BTC, today’s decline sees ETH continue to trade close to a five-week low ($1,150), with the RSI also tracking near a multi-week bottom.

As can be seen from the chart, the index has bounced from a floor of 40.20, and is currently at the 41.11 level.

In addition to this, the 10-day (red) moving average is now nearing a downward cross with its 25-day (blue) counterpart.

Should this crossover take shape, we could see ethereum fall to a long-term floor of $1,085.

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Eliman Dambell

Eliman brings an eclectic point of view to market analysis, he was previously a brokerage director and retail trading educator. Currently, he acts as a commentator across various asset classes, including Crypto, Stocks and FX.




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