The week began with Bitcoin trading below $17,000 as markets got ready for a busy week of economic announcements. Tomorrow’s report on U.S. inflation is expected to show a decrease to 7.3%. Many predict that the Federal Reserve will change course from its aggressive rate hike policy as a result of this. Ethereum fell as well and is currently trading below $1,250.
As traders got ready for a busy week of US economic announcements, Bitcoin (BTC) started the week off in the red.
On Tuesday, the government will announce the inflation rate, which is predicted to decrease to 7.3% from 7.7% in the previous month.
During Monday’s session, BTC/USD dropped to an intraday low of $16,899.39, one day after reaching a high of $17,245.64.
The chart shows that during today’s decline, bitcoin fell for a fourth straight day, drawing nearer to a floor of $16,700.
The 14-day RSI, which is currently tracking at 47.42, is also getting close to its own resistance level of 46.00.
Depending on the inflation number released tomorrow, BTC may decline below $16,700 and possibly approach the $16,000 level.
On Monday, Ethereum (ETH) prices fell for a second straight session as the trend continued downward.
ETH/USD moved to a low of $1,243.48 earlier in the day after reaching a high of $1,281.78 on Sunday.
When the RSI failed to breach a 52.00 ceiling, recent bearish sentiment in ETH returned, as seen on the chart.
The index is currently tracking at 48.60 and appears to be heading towards a floor of 45.30 as of this writing.
The 10-day (red) moving average is still above its 25-day (blue) counterpart despite the downward trend.