Bitcoin started the week trading below $17,000, as volatility in the cryptocurrency space continued to intensify. Following last week’s collapse of FTX, account withdrawals have increased, with several customers opting to remove their tokens from exchanges. However, strong comments from Twitter CEO Elon Musk have helped boost prices. Ethereum remained below $1,300 on Monday.
Bitcoin (BTC) started the week trading below $17,000, as market volatility remained high, following last week’s collapse of FTX.
Since FTX’s bankruptcy, the market has struggled to attempt to find support, with BTC trading near this point in today’s session.
BTC fell to a low of $15,872.94 earlier in today’s session, before rallying and reaching a high of $16,864.76.
The move away from its current support of $15,800 came as Twitter CEO Elon Musk gave his view on the token.
In a response to a tweet from Jason Calacanis, Musk tweeted, “BTC will make it, but might be a long winter.”
As can be seen from the chart above, price strength has also rebounded since this tweet, with the 14-day relative strength index (RSI) now moving higher, towards a ceiling of 39.00.
Ethereum (ETH) was trading below $1,300 for a third straight day, which comes following recent uncertainty in the marketplace.
Despite starting the day, and week, trading at a bottom of $1,178.43, ETH/USD marginally rebounded, climbing above $1,200.
The world’s second largest cryptocurrency surged to an intraday peak of $1,267.48, which is over 2% higher than earlier lows.
Looking at the chart, the surge in price has also led to the RSI climbing higher, with the index now hovering below a ceiling of 43.00
In order for ETH to extend today’s surge and move above $1,300, this point of resistance will likely need to be broken.
Overall, ethereum is currently down by as much as 20% from the same time last week.
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Do you expect cryptocurrencies to fall even lower this week? Leave your thoughts in the comments below.
Eliman brings an eclectic point of view to market analysis, he was previously a brokerage director and retail trading educator. Currently, he acts as a commentator across various asset classes, including Crypto, Stocks and FX.
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