Bitcoin, Ethereum Technical Analysis: BTC Falls to 2-Month Low Following the Latest NFP Report
Bitcoin fell to its lowest level in over two months, as Friday’s non-farm payrolls report showed an addition of 428,000. It was expected that last month’s payrolls would show an increase of 391,000 jobs — lower than March’s figure of 431,000. ETH also fell on the news, hitting a six-week low.
Bitcoin fell by nearly 10% in today’s session, as traders continue to react to recent action by the Federal Reserve to hike interest rates.
Today’s drop, which sees prices of BTC/USD hit an intraday low of $35,714.30, also comes as markets were preparing for the latest non-farm payrolls report.
Friday’s drop sees bitcoin slip for a second consecutive session, with prices now trading at their lowest level since February 24.
Despite slipping to a more than two-month low, there could be more declines ahead, as prices appear to be moving toward a floor of $34,050.
Looking at the chart, this latest fall in prices has pushed the RSI towards a one-month low of 35.50, which is a point that has acted as a floor in the past.
Should this support fail to hold firm, then we will likely see that floor of $34,050 hit in the next few days.
ETH was also submerged by the latest red wave in crypto markets, as prices moved towards a six-week low.
The world’s second-largest cryptocurrency fell to an intraday low of $2,668.60, which is its lowest level since March 16.
Today’s low took prices close to the long-term support level of $2,660, after breaking out of a higher price floor of $2,780.
As prices dropped, relative strength also gave way, with the 14-day RSI slipping below its own floor of 42.80.
Should this floor also fall apart, then we could see even more lows in ETH, with bears already targeting a $2,500 support point.
Overall, since the start of April, ETH/USD has moved from a peak of $3,560, to now trading almost $1,000 lower.
Will we see ETH continue to fall as we head into the weekend? Leave your thoughts in the comments below.
Eliman brings a diversified point of view to market analysis, having worked as a brokerage director, retail trading educator, and market commentator in Crypto, Stocks and FX.
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