Bitcoin, Ethereum Technical Analysis: BTC Nears Breakout Below $29,000 on Wednesday

Bitcoin fell to a one-week low on Apr. 19, as markets moved into consolidation following a recent bull run. Following today’s red wave, prices neared a breakout below the $29,000 level earlier in the session. Ethereum also declined, falling below $2,000.

Bitcoin

Bitcoin (BTC) moved lower on Wednesday, as markets began to consolidate following recent gains in price.

Following a high of $30,470.30 on Tuesday, BTC/USD dropped to a bottom at the $29,102.17 mark earlier in the day.

The low sent bitcoin to its lowest point since April 10, which is when price was last below $29,000.

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Overall, it appears that today’s sell-off took place as the 14-day relative strength index (RSI) fell below a floor at 59.00.

At the time of writing, the index is tracking at 54.97, with the next visible point of support at the 55.00 mark.

Should this level be hit, there is a good chance that BTC will be trading around a floor at $28,600.

Ethereum

In addition to BTC, Wednesday’s red wave also pushed ethereum (ETH) lower, with the price dropping below $2,000.

ETH/USD hit a low of $1,967.17 earlier today, which comes less than 24 hours after it traded at a peak of $2,121.53.

The move came as ethereum fell below its recent price floor at the $2,030 level, with some eyeing a lower floor at $1,830.

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Ultimately, ETH was relatively overbought in recent days, with the RSI hitting a reading above 75.00 to start the week.

This led to bears reentering the market, which have now pushed price strength to a current reading at 55.00

A floor at 51.00 could be the target for sellers, which would almost certainly see ETH trading under $1,900.

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What is behind today’s red wave? Leave your thoughts in the comments below.