ETH, BTC Drop to Multi-Week Lows, After US Inflation Data – Market Updates Bitcoin News
Ethereum fell below $1,800 in today’s session as markets continued to react to the latest US Consumer Price Index. Inflation in the US fell to 4.9% in April, less than the 5% figure many had expected. Bitcoin was also lower on the data, falling below $27,000.
Bitcoin
Bitcoin (BTC) briefly fell below $27,000 late Wednesday as markets reacted to the latest US inflation report.
After an earlier high of $28,322.69, BTC/USD fell to an intraday low of $26,883.67 towards the end of yesterday’s session.
This move saw bitcoin fall to its weakest point since March 28, when the price hit a low of $26,640.
Since this earlier price drop, BTC has since bounced back, and is currently trading at $27,494.24.
From the chart, this appears to be due to the relative strength index (RSI), which is now trailing at 41.91, and close to entering a floor again at 43.00.
Should this happen, there is a strong possibility that the world’s largest cryptocurrency could be back above $28,000.
Ethereum
In addition, Ethereum (ETH) also fell to a multi-week low in today’s session, falling below $1,800 in the process.
ETH/USD fell to a low of $1,795.67 late Wednesday, following an earlier high of $1,886.80.
As a result of the selloff, the cryptocurrency fell to its lowest level since April 26, but the price has since rebounded.
One of the catalysts for the selloff was a breakout that took place on the RSI, which saw the index fall below 45.00.
At the time of writing, price strength follows 43.93, with Ethereum now trading at a price of $1,824.22.
It appears that a crossover between the 10-day (red) and 25-day (blue) moving averages is likely to occur, and could signal a reversal in momentum.
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