Bitcoin BTC/USD was trading mostly flat during Friday’s 24-hour trading session in the wake of this week's Federal Reserve meeting, where the central bank applied a pause on hiking interest rates.
Ethereum ETH/USD and Dogecoin DOGE/USD also traded flat, in tandem with the S&P 500, while spot gold was lifting slightly, rising about 0.3%.
While economists are mixed on whether the Fed will apply a rate hike at the November and December meetings, CME Group’s FedWatch Tool sees a likelihood that the central bank will hold rates steady into 2024.
The lower-than-average volume across the general market and the crypto sector on Friday indicates the bears may be losing steam and a period of consolidation may be in the cards. Of course, traders and investors will be watching the crypto sector over the weekend for indications of how the general market may trade on Monday.
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The Bitcoin and Ethereum Charts: Bitcoin and Ethereum were consolidating with inside bar patterns during Friday’s 24-hour trading session after dropping over 2.5% on Thursday. The consolidation indicates both the bulls and the bears are taking a break.
Bitcoin’s and Ethereum’s inside bar patterns are neutral because although the cryptos dropped on Thursday, both are currently trading in uptrends and may have formed higher lows that day. Bullish traders want to see continued consolidation and then for Bitcoin and Ethereum to break up from Thursday’s mother bar.
Bearish traders want to see big bearish volume come in and drop Bitcoin and Ethereum down from Thursday’s low-of-day, which could accelerate downside pressure.
Ethereum has resistance above at $1,615 and at $1,717 and support below at $1,564 and at $1,421.
The Dogecoin Chart: Like Bitcoin and Ethereum, Dogecoin was consolidating on lower-than-average volume Friday but dropped from Thursday’s low-of-day, to break bearishly from an inside bar pattern.
Dogecoin’s fall caused the crypto to negate its uptrend by forming a lower low. On Friday, Dogecoin was working to print a hammer candlestick, however, which indicates a bounce may be in the cards for Saturday. If that happens, bullish traders want to see the crypto regain support at the eight-day and 21-day exponential moving averages (EMA).
Bearish traders want to see Dogecoin continue to reject the eight-day EMA and for the indicator to continue to push the crypto lower.
Dogecoin has resistance above at $0.061 and at $0.065 and support below at $0.057 and at $0.05.
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