Bitcoin, Ethereum Technical Analysis: ETH Below $1,900 as Ethereum Foundation Comments on Gas Fees

Bitcoin, Ethereum Technical Analysis: ETH Below $1,900 as Ethereum Foundation Comments on Gas Fees

Ethereum was once again trading below $1,900 during Thursday’s session, as the Ethereum Foundation clarified speculation surrounding The Merge. It was recently rumored that the move will reduce gas fees, however these claims were somewhat dismissed. Bitcoin was also lower, as it continued to trade below $24,000. Bitcoin

Bitcoin (BTC) fell lower for a fifth straight session, as the token moved closer to a price floor at the $23,030 level.

Thursday saw bitcoin slip to an intraday low of $23,243.35, which is the weakest point it has traded at since August 10.

The move comes as the 10-day (red) moving average has finally shifted its direction, and now seems to be downward facing. BTC/USD – Daily Chart

As of writing, BTC/USD is down almost 5% from the same point last week, with price strength also tracking at a three-week low.

Looking at the chart, the relative strength index (RSI) is now tracking at 51.84, which comes following a breakout of the support point at 53.66.

Should bulls look to take BTC back over $24,000, then price strength will need to rise, sending the RSI above this floor. Ethereum

Thursday also saw ethereum (ETH) move lower, as the asset extended its decline for a fifth straight day.

ETH/USD hit a bottom of $1,823.53 earlier in today’s session, as the Ethereum Foundation commented on recent rumors surrounding The Merge, and its potential impact on gas fees.

In a blog post, it was stated that, “Gas fees are a product of network demand relative to the network’s capacity. The Merge deprecates the use of proof-of-work, transitioning to proof-of-stake for consensus, but does not significantly change any parameters that directly influence network capacity or throughput.”

Traders who recently bought the rumor, helping send ETH to a three-month high earlier in the week, now seem to be slowly retreating. ETH/USD – Daily Chart

As of writing, relative strength on ethereum was also down, as the RSI fell below a support point of 60.32

The index appears to be attempting to reenter this point today, and is currently tracking at 59.70. ETH/USD is trading marginally higher at a point of $1,854.84 as of writing.

Register your email here to get weekly price analysis updates sent to your inbox: Tags in this story Analysis, Bitcoin, BTC, ETH, Ethereum

Do you expect further declines in ethereum this week? Leave your thoughts in the comments below. Eliman Dambell

Eliman brings a eclectic point of view to market analysis, having worked as a brokerage director, retail trading educator, and market commentator in Crypto, Stocks and FX. Biggest Movers: FLOW Rebounds Following 7-Day Losing Streak MARKET UPDATES | 8 hours ago Biggest Movers: EOS up Nearly 20%, Token Hits 3-Month High MARKET UPDATES | 1 day ago

Image Credits: Shutterstock, Pixabay, Wiki Commons Previous articleElectricity Consumption of Russian Crypto Miners Spikes 20 Times in 5 Years, Research Finds Next articleCoinbase Could Be a Material ‘Beneficiary’ of Ethereum’s Merge Transition, JPMorgan Analyst Says Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItDraft Law Regulating Aspects of Crypto Taxation Submitted to Russian Parliament

A bill updating Russia’s tax law to incorporate provisions pertaining to cryptocurrencies has been filed with the State Duma, the lower house of parliament. The legislation is tailored to regulate the taxation of sales and profits in the country’s market ... read more.SEC Risks Violating Admin Procedure Act by Rejecting Spot Bitcoin ETFs, Says Grayscale Privacy-Centric Monero Plans for July Hard Fork, Plans Include Ring Signature, Bulletproof Upgrade Survey: Adoption in Argentina Grows, With 12 out of 100 Adults Having Invested in Crypto Economist Predicts the Fed"s Response to Inflation Will Push Crypto Higher