Bitcoin, Ethereum Technical Analysis: BTC, ETH Lower as Powell Claims There Are ‘Structural Issues’ With Cryptocurrency

Bitcoin was again within the crimson on Wednesday, as U.S. Federal Reserve Chair Jerome Powell known as for extra regulation in decentralized finance (defi), citing “structural points” as a key motive. The token fell under $19,000 on the feedback, shifting nearer to a key help level consequently. Ethereum additionally slipped following yesterday’s rebound, with the worth again under $1,300.

Bitcoin

Bitcoin (BTC) was again within the crimson on Wednesday, as markets reacted to feedback from U.S. Federal Reserve Chair Jerome Powell.

Speaking on Tuesday night, Powell said that extra regulation is required within the crypto market, with current declines in worth highlighting “structural points.”

In his comments, Powell stated of the present relationship between defi and conventional finance: “Ultimately that’s not a steady equilibrium and we have to be very cautious about … how crypto actions are taken inside the regulatory perimeter.”

Following the remarks, BTC/USD slipped to an intraday low of $18,553.30 earlier within the session, lower than a day after hitting a peak of $20,338.46.

As a results of right now’s sell-off, bitcoin moved nearer to its key help level of $18,300. However, bulls have responded, pushing worth away from this stage.

Currently, BTC is buying and selling at $18,976.35, as merchants appear to have closed out earlier shorts, giving strategy to some bullish sentiment.

Ethereum

Bitcoin wasn’t the one token impacted by Powell’s feedback, with ethereum (ETH) additionally buying and selling decrease in right now’s session.

The world’s second largest cryptocurrency fell to an intraday low of $1,267.87 on Wednesday, hitting a one-week low within the course of.

Following a string of bearish periods over the previous fortnight, ETH/USD has just lately moved into consolidation territory.

As could be seen from the chart, this has been between a help level of $1,230 and a resistance stage of $1,300.

It appears that this sideways motion has helped to curb a excessive stage of bearish momentum, with the 10-day (crimson) shifting common showing to have discovered a backside.

Should this be the case, it’s probably that we’ll see additional consolidation in coming weeks, with the potential for a rally sooner or later in October.

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