Ethereum fell below $1,300 on Thursday, as markets continue to react to the US Fed’s latest decision to raise interest rates. Following expectations for a 100-basis-point hike, the Federal Reserve rose 0.75% as it battled rising consumer prices. Bitcoin also declined, nearing the $18,000 level.
Bitcoin
Bitcoin (BTC) edged closer to $18,000 on Thursday as markets tumbled following the latest US Federal Reserve policy meeting.
The Fed opted to raise interest rates by 75 basis points on Wednesday, with Chairman Jerome Powell hinting at further moves, saying, “In my view, there’s a way to go.”
As a result, BTC/USD fell to $18,290.32 on the day, the lowest level in three months.
Looking at the chart, the move saw Bitcoin fall slightly from the $18,300 support point, before bulls re-entered and sent prices higher.
As of writing, BTC is trading at $19,217.16, which is nearly $1,000 off the aforementioned low.
As the 14-day Relative Strength Index (RSI) has hit the ceiling at 42.00, and if it holds, we could see Bitcoin once again below $19,000.
Ethereum
Like bitcoin, ethereum (ETH) saw a price drop following the Fed’s rate hike decision, with the token falling below $1,300.
Following yesterday’s session high of $1,384.48, ETH/USD dropped to $1,229.43 earlier today.
In another parallel with BTC, the price decline has seen ethereum collide with the $1,230 floor.
Bulls have since moved to raise the token, as of writing, the world’s second largest cryptocurrency trading at $1,307.80.
The current price is close to a key resistance point of $1,315, and this comes as the RSI is also nearing its ceiling.
If ethereum bulls intend to move prices above this resistance, the index currently tracking at 37.67 should break above the 38.00 reading.
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Can we expect crypto prices to rise in the coming days after yesterday’s announcement? Leave your thoughts in the comments below.
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