Bitcoin consolidated on January 16 as U.S. markets closed for the Martin Luther King Jr. holiday celebration. Traders appeared to have moved to secure recent gains after the world’s largest cryptocurrency rose above $21,000 for the first time since November. Ethereum also retreated from recent highs in today’s session.
Bitcoin
Bitcoin (BTC) consolidated to start the week as prices failed to break out of a key resistance line.
Following a high of $21,345.25 on Sunday,BTC/USD fell to an intraday low of $20,681.98 earlier in the session today.
The drop comes as the world’s largest cryptocurrency failed to break above its long-term ceiling of $21,400.
BTC
This was somewhat expected as the chart shows the 14-day relative strength index (RSI) in overbought territory.
It failed to cross 90.00 and is currently at 86.65.
It could fall further this week and the lower limit of $20,000 could be a target for sellers.
Ethereum
in addition to BTC(ETH) also retreated from recent highs, this after failing to breakout on its own.
ETH/USD fell to a bottom of $1,529.79 earlier today after trading as high as $1,579.48 on Sunday.
Ethereum failed to sustain a move above the $1,580 ceiling, giving way to a resurgence of some bearish sentiment.
Like Bitcoin, Ethereum prices were significantly overbought, with the index at its highest level since January 2021.
currently tracking at 83.46, but the next visible floor is likely at the 70.00 mark, and if it hits, we may seeETHtrading near $1,475.
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