Bitcoin consolidated by the start of the weekend as prices dropped back below $17,000. The move comes as traders continue to analyze the latest US nonfarm payrolls report. Ethereum also dropped slightly in today’s session as the price broke through a key resistance point.
bitcoin
Bitcoin was in consolidation by the start of the weekend following the US Nonfarm Payrolls (NFP) report. Yesterday’s numbers showed that 263,000 jobs were added to the US economy, more than the 200,000 expected by the markets.
This employment surge has left the cryptocurrency markets unsure of what the Federal Reserve will do at its next policy meeting.
Bitcoin fell to a low of $16,877.88 following the news, lower than Friday’s high of $17,116.04. The 14-day Relative Strength Index (RSI) also eased and is now at 52.16, close to a low of 52.00.
Despite this, the 10-day moving average (red) has completely crossed its 25-day counterpart (blue), which seems to be a signal of an upcoming bullish momentum.
Ethereum
Ethereum was also in the red on Saturday as the price of the world’s second-largest cryptocurrency fell below a key resistance point. After hitting a high of $1299.84 on Friday, Ethereum dropped to a low of $1275.09 earlier in today’s session.
This drop sends Ethereum below its recent high at $1,285 despite the recent upward crossover of the 10-day (red) and 25-day (blue) moving averages.
Today’s decline is explained by the RSI breaking its long-term support at 51.70. It now stands at 51.42 at the time of writing. Traders still seem optimistic about a potential move above $1300, however the RSI will likely need to break 52.00.
If this happens and the moving average rises, we may see an increase in the RSI index. ETH is approaching the $1,370 ceiling.