by Eliman Dambell
Bitcoin consolidated on Friday, as traders prepared for the release of the upcoming consumer sentiment figures from the United States. Following a move to a five-month high on Thursday, prices were once again below $23,000. Ethereum also slipped, moving below $1,600 in the process.
Bitcoin (BTC) fell back below $23,000 on Friday, as markets consolidated ahead of U.S. consumer sentiment data.
BTC/USD slipped to a bottom of $22,654.59 earlier in today’s session, less than 24 hours after hitting a high of $23,215.00.
The drop came ahead of this afternoon’s U.S. consumer sentiment report, which is expected to come in at a reading of 64.6.
As can be seen from the chart, the relative strength index (RSI) also edged closer to a floor of 78.00, leading to a slight shift in momentum.
The 10-day (red) moving average continues to move in an upward direction, however should the index move below 78.00, this trend will likely reverse.
Currently, the index is tracking at 79.64, with BTC/USD trading at $22,965.60.
There was a slight shift in sentiment in ethereum (ETH), with prices moving below $1,600 during today’s session.
Following a high of $1,619.45 on Thursday, ETH/USD dropped to an intraday low of $1,565.25 earlier in the day.
Today’s move came as the world’s second largest cryptocurrency was unable to break out of a resistance level of $1,640 on Wednesday.
Since this time, prices have moved to lower lows in back-to-back sessions, with ethereum’s RSI also dropping below a key point of support.
The index is tracking at 61.94, which is marginally under its recent floor at 63.00, and its weakest level since January 8.
Should this bearish trend continue into the weekend, there is a strong possibility that ETH will hit a floor at $1,500.
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Will today’s data send cryptocurrencies higher? Leave your thoughts in the comments below.
Eliman brings an eclectic point of view to market analysis. He was previously a brokerage director and online trading educator. Currently, he acts as a commentator across various asset classes, including Crypto, Stocks and FX, whilst also a startup founder.
Image Credits: Shutterstock, Pixabay, Wiki Commons
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