Ethereum continued its recent trend of falling prices to start the week, as the token momentarily traded lower than a significant support level during today’s session. As of the time this article was written, the total market capitalization of all cryptocurrencies has decreased by 1.61% due to the sell-off that occurred on Monday. Bitcoin also experienced a decline, dropping below $21,000 for the second time in three days.
Bitcoin (BTC) prices started the week in the red, as a mini-rally that occurred over the weekend was followed by a dip in value for the token.
The Bitcoin to US Dollar exchange rate dropped to an intermediate low of $20,939.18 earlier in the day, less than 24 hours after reaching a high of $21,668.85.
This dip caused bitcoin to move closer to its recent support mark of $20,800, which it last struck on Saturday. Nevertheless, bulls have so far been able to prevent a similar occurrence from taking place today.
Taking a look at the chart, it appears that the early momentum of the bear market has somewhat slowed down, and while this article is being written, the token is trading at $21,251.86.
Overall, Bitcoin (BTC) has been trading at a lower price for seven of the past nine trading sessions. As a direct consequence of this trend, a downward cross has formed between the 10-day undulating average (MA) and the 25-day MA.
Even though the support level of $20,800 has so far held intact, it is quite likely that Bitcoin would drop below $20,000 if bearish pressure continues to increase.
As the world’s second-largest cryptocurrency, ethereum (ETH) proceeded to trade at prices lower than $1,600, bearish sentiment was also present in the market for this asset.
On Sunday, the ETH/USD pair reached a high of $1,640.94; but, during today’s trading session, it dropped significantly, reaching a session low of $1,535.01.
Following the decline that occurred on Monday, ETH prices are currently hovering very close to their lowest position since the 27th of July, when they dropped below the $1,500 mark.
Taking a closer look at the chart, we can see that today’s decline in price was precipitated by the 14-day relative strength index moving below its floor at 43.00.
The indicator is currently tracking at 41.90, which is its lowest value since July 12, when ETH was trading at $1,065, and it hasn’t been this low since then.
In contrast to Bitcoin, the moving averages have not yet crossed each other; nonetheless, they are currently at their closest closeness to one another since the middle of July.