On March 2, Bitcoin price dropped into the red as markets reacted to more negative data from the United States. The country’s manufacturing industry contracted for a fourth consecutive month in February, which came as consumer confidence also dropped in the past month. Ethereum was also a bit lower, retracting from March 1 highs.
Bitcoin price (BTC) dropped lower in today’s session, as the markets reacted to news that the US manufacturing industry remained in a contraction zone.
In its monthly report, the ISM’s manufacturing index came at 47.7, and normally any reading below 50.00 indicates a contraction.
Due to that, Bitcoin slid to an intraday low of $23,374.61, which comes barely a day after trading as high as $23,821.17.
The plunge came as the Bitcoin bulls failed to sustain a breakout above a resistance zone of $23,800.
Moreover, the 14-day relative strength index (RSI) has also dropped, after a failed breakout of a ceiling at 55.00. At the time of publication, price strength is tracking at 51.42, which is close to a long-term floor of 50.00.Buy Bitcoin Now
Ethereum (ETH) also ate into Wednesday’s gains, with the world’s biggest altcoin failing to break a ceiling of its own. After a high of $1672.05 on hump day, ETH/USD plunged to a bottom of $1,635.85 earlier on March 2’s session.
The move happened as Ethereum buyers failed to push the price above resistance at $1,675 during the March 1 rally.
As a result, bears reentered the market and intensified the downside momentum of the 10-day (red) moving average. Today, the trend line is fast approaching its 25-day (blue) counterpart, with a downside cross inevitable.
Moreover, the RSI, which tracks at 51.82, seems to be en route to a floor at 49.00, which might push ETH below $1,600.
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