Ethereum dipped below $1,300 on Thursday, as markets continued to react to the Fed’s latest rate hike decision. Following speculation of a 100 basis point increase, the Federal Reserve raised interest rates by 0.75%, as it continues to grapple with rising consumer prices. Bitcoin also fell, approaching $18,000.
Bitcoin (BTC) edged closer to $18,000 on Thursday, as markets slid after the US Federal Reserve’s latest policy meeting
The Fed opted to raise rates by 75 basis points on Wednesday, with Chairman Jerome Powell hinting at further moves, saying, “In my view, there is a way to go.”
As a result of this, BTC/USD fell to an intraday low of $18,290.32, which is a three-month low.
Looking at the chart, this move shows bitcoin dropping slightly below the $18,300 support, with bulls returning shortly after, pushing the price higher.
When writing, BTC is trading at $19,217.16, nearly $1,000 above the aforementioned low.
However, the price could have some volatility as the 14-day relative strength index (RSI) has hit a ceiling at 42.00 and if held, we could see bitcoin once again going below. 19,000 dollars.
Like bitcoin, ethereum (ETH) saw its price drop following the Fed’s rate hike decision, with the token falling below $1,300.
Following yesterday’s high of $1,384.48, ETH/USD fell to a low of $1,229.43 earlier today.
Another similarity with BTCThe price drop saw ethereum hit a floor of $1,230.
Bulls have since moved to lift the token higher, with the world’s second-largest cryptocurrency trading at $1,307.80 as of press time.
The price is currently close to the critical resistance of $1,315 and this comes as the RSI is also approaching its own ceiling.
If the ethereum bulls are intent on moving the price beyond this resistance above, the index is currently tracking at 37.67, which will also need to break through the 38.00 reading.
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After yesterday’s announcement, can we expect crypto prices to rise in the coming days? Leave your thoughts in the comments below.
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