Ethereum plunged below the $1,600 level to start the week, as global markets reacted to the escalating tensions in the Middle East. Crude oil prices rallied from a six-week low, climbing by over 4% overnight. Bitcoin gave up recent gains, as traders fled to more traditional safe-haven assets.
Following a peak of $27,999.55 on Sunday, BTC/USD dropped to an intraday low of $27,445.89 earlier in the day.
Overall, bitcoin has been edging lower since Friday, after bulls failed to orchestrate a break out above a ceiling at $28,300.
Looking at the chart, it now appears that momentum has shifted bearish, with bitcoin heading for a support point at $27,000.
The 14-day relative strength index (RSI) has also been on the decline, moving away from its resistance of 60.00, and is now tracking at 54.35
A target of 45.00 on the RSI will likely need to be hit, if bears are to push BTC below the $27,000 level in the coming days.
ETH/USD moved to a bottom at $1,590.34 earlier in today’s session, which came a day after peaking at $1,638.90.
Overall, it appears that sellers are looking to push the world’s second-largest cryptocurrency to a floor at $1,560, before possibly taking profits.
Ethereum is now trading at a two-week low, with the RSI also hovering around its weakest point since late-September.
Price strength is now tracking at 41.65, after recently slipping below a point of support at the 43.00 level.
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Could crypto prices continue to decline this week? Leave your thoughts in the comments below.