Bitcoin BTC/USD fell more than 3% during Friday’s 24-hour trading session S&P 500who was the fourth-straight victim bearish day of heavy fall in prices,
Ethereum ETH/USD And dog coin doge/usd were weaker than bitcoin, slipping nearly 5% below Thursday’s closing price.
The general market and the crypto sector declined after the Federal Reserve chairman Jerome Powell The Wall Street party came crashing down on Wednesday with predictions that inflation will remain very high through 2023 and the unemployment rate will exceed 4%.
Ahead of a grim outlook, markets rallied on weaker-than-expected Consumer Price Index data that showed lower inflation in November, which pulled Bitcoin and Ethereum higher. dog coin did not join the party and has declined by over 24% since 30 November.
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bitcoin chart: Bitcoin’s decline on Thursday plunged the stock back into a sideways trading pattern, which has been holding the crypto between $16,000 and $17,580 since November 11. Friday’s drop on sustained bearish momentum saw bitcoin lose support on the eight-day and 21-day. The day’s exponential moving average, which was bearish at least for the short term.
There is some slight support near the $16,800 pattern that developed over the past month, and bullish traders would like to see bitcoin move above that level in the Friday session. If this happens, bitcoin could consolidate horizontally in the upper boundary of the descending channel over the weekend.
Bitcoin faced resistance above $17,580 and $19,915 and support below $16,797 and $16,000.
Ethereum Chart: Ethereum broke out of a sideways channel on Friday, negating its current uptrend by printing a sharp lower low. In order to confirm the downtrend, Ethereum will eventually need to bounce to at least print a higher high on the 24-hour chart.
Unlike bitcoin, which was trading on decreasing volume, Ethereum’s decline came on increasing volume, which was a bad sign for the bulls. Eventually, Ethereum could enter a consolidation phase and start trading sideways. If this happens, bullish traders will want the cryptocurrency to print a series of candlesticks with lower wicks to indicate accumulation may be on the way.
Ethereum has resistance above $1,245 and $1,412 and support below $1,081 and $997.
Dogecoin Chart: Dogecoin’s downtrend was taking place between two parallel lines, which saw the crypto settle into a falling channel pattern on its 24-hour chart. The pattern is considered bearish until the stock or crypto breaks above the channel’s upper descending trend line on higher-than-average volume.
On Friday, Dogecoin was testing the lower trend line of the channel and bounced off the level. If Dogecoin continues to trade lower within the channel, then bullish traders would like to see the crypto bounce off the 200-day SMA if Dogecoin moves back into that area.
Dogecoin faced resistance above $0.083 and $0.091, and support below $0.075 and $0.07.