The uncertainty prevailing in the markets after the bankruptcy of the crypto currency exchange FTX has increased its impact. According to a study conducted by Coinbase, the collapse experienced may extend the “crypto winter” seen in the ecosystem until the end of 2023. So what is the latest situation in Bitcoin (BTC) and Ethereum (ETH)?
June November 9 Bitcoin, the leading cryptocurrency, broke downward and closed below the year’s low of $ 17,622, which was seen in June. Closing below the specified level may be a sign that the downtrend in the cryptocurrency has resumed. In addition, although Bitcoin bulls attempted a strong recovery on November 10, their efforts encountered intense selling above $17,622. This may be an indication that the bears have turned the level into resistance. The cryptocurrency’s 20-day exponential moving average has fallen to $18,271, and the relative strength index (RSI) is in negative territory. The data may carry strong signs that the bears have the upper hand.
However, if the price of Bitcoin remains below the 17.622 dollar level, the probability of breaking below the 15.588 dollar may increase. If the assumption comes true, the BTC/USDT pair could extend its decline to $12,200. If, contrary to the bullish assumption, the price of Bitcoin rises and rises above the 20-day EMA, it may indicate a strong demand at lower levels. The pair can then challenge for $20,000, which is the psychological level.
Ethereum has been falling in a declining channel for the last few weeks. The attempt to move the price above the channel on November 4 may have led to short-term investors taking profits. In addition, buyers bought the drop in the support line on November 10 in a significant way. However, the relief rally that was effective on ETH failed near the 50-day simple moving average level of $1,372. The failure of the initiative may be an indication that the bears are selling at higher levels.
In addition, analysts suggested that the bears may try to pull the price of the crypto currency back under the channel. If the assumption comes true, the sell-off could intensify and the ETH/USDT pair could fall as low as $1,000. Buyers may have to push the price above the moving averages to gain the upper hand.