Bitcoin consolidated recent losses on Tuesday, as focus shifts to Wednesday’s Federal Open Market Committee (FOMC) minutes. Traders will look for guidance from the report, to see the Fed’s stance on the economy, after opting to keep rates unchanged last month. Ethereum remains below $1,700 in today’s session.
Bitcoin
Bitcoin (BTC) continued to trade below the $28,000 level on Tuesday, ahead of the release of last month’s FOMC minutes.
BTC/USD peaked at $27,715.85 earlier in the day, which comes less than 24 hours after hitting a low of $27,302.56.
Overall, although mid-term momentum appears to be bullish, bears seem to be looking to hit the $27,000 mark in the short-term.
The relative strength index (RSI) of 14 days remains on a downward trend, with a current reading at 54.95.
This comes as price strength attempts to find a floor, following a move away from a resistance level of 60.00.
Currently, BTC is trading at $27,518.86, however volatility will likely increase as we near tomorrow’s economic release.
Ethereum
Additionally, ethereum (ETH) remained in the red, following the recent decision by the Ethereum Foundation to trade 1,700 tokens.
After a high of $1,596.97 to start the week, ETH/USD retreated to a low of $1,553.01 late in yesterday’s session.
This saw the cryptocurrency hit a one-month low, prompting bulls to buy the dip, pushing price to a current reading of $1,580.44.
From the chart, it seems that the recent decline has pushed the 10-day (red) moving average close to a downward cross with its 25-day (blue) counterpart.
In the event that this occurs, there will likely be further sell-offs, with ethereum almost certainly falling below $1,500.
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Will there be a stronger red wave to come later this week? Leave your thoughts in the comments below.