Ethereum traded below $1,900 again during Thursday’s session as the Ethereum Foundation revealed speculation surrounding The Merge. The move was recently rumored to reduce gas prices, but these claims were somewhat dismissed. Bitcoin was also lower as it continued to trade below $24,000.
Bitcoin
Bitcoin (BTC) fell for the fifth consecutive session as the token neared a price bottom at the $23,030 level.
On Thursday, Bitcoin fell to an intraday low of $23,243.35, the weakest point it has traded at since August 10.
This move comes as the 10-day (red) moving average has finally changed its direction and now appears to be turning downward.
At the time of writing,BTC/USD /USD is down about 5% from the same point last week, with price strength also at three week lows
Looking at the chart, the Relative Strength Index (RSI) is currently tracking at 51.84, which follows a breakout of the support point at 53.66.
Bulls should look to takeBTCback above $24,000, which should send price strength up and the RSI above this floor.
Ethereum
also turned lower on Thursday as the asset (ETH) extended its decline for a fifth straight day.
ETH/USD bottomed at $1823.53 earlier in the session today as the Ethereum Foundation commented on recent rumors surrounding The Merge and its potential impact on gas prices.
The blog post stated, “Gas prices are a product of network demand relative to network capacity; The Merge is deprecating the use of proof-of-work and moving to proof-of-stake for consensus, but will directly impact network capacity and throughput. It does not significantly change the parameters that affect it.” He stated.
Traders who recently bought into the rumor helped sendETHto a 3-month high earlier in the week and now appear to be slowly retreating.
At the time of writing, the relative strength of Ethereum has also declined as the RSI has fallen below its support point at 60.32
It appears to be trying to re-enter this point today and is currently tracking at 59.70. ETH/USD is trading slightly higher at the point of $1,854.84 at the time of writing.
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