1. Ethereum (ETH) recently dropped below its $1,600 mark after Bitcoin (BTC) lost the $23k zone.
2. ETH is currently stuck in the $1,540 – $1,560 range and could fluctuate in this range for the short-term.
3. A move to the $1,700 zone could be possible if BTC moves beyond $23K, especially if the FOMC announcement next week triggers the markets positively.
The cryptocurrency market is always in flux, and Ethereum (ETH) is no exception. Recently, ETH dropped below its $1,600 mark after Bitcoin (BTC) lost the $23k zone. This drop occurred on 24 January, with BTC sharply declining to below $22.5k, pulling down ETH to $1,518. As of press time, ETH is struggling to break above the $1,560 mark, while BTC is hovering below the $22,800 level.
The short-term outlook for ETH is not looking too positive, as BTC’s loss of traction and velocity could force ETH into a short-term range before bulls attempt to target the green zone. On the 12-hour chart, ETH’s Relative Strength Index (RSI) and On-Balance Volume (OBV) are both declining, showing that the altcoin is in a mild bullish momentum and close to a neutral market structure. This could mean that ETH could fluctuate in the $1,540 – $1,560 range in the short term before attempting a retest of the $1,600 zone in the next couple of days/weeks.
However, there is a potential for ETH to move to the $1,700 zone if BTC moves beyond $23K. This could happen if the markets are positively triggered by the FOMC announcement next week. But overall, ETH’s weak fundamentals could delay any immediate price reversal and short-term Ethereum holders‘ profits could be cut to size. Therefore, investors should be watchful of the market movements and tread carefully when making any decisions.
