Bitcoin price, Ethereum and other cryptocurrencies have been on the backfoot throughout the week as negative headlines made investors worry about what to come. As the week advances, some tail risks have been defused with statements from the Fed, US President Joe Biden and EC President Ursula Von Der Leyen. Expect a good trading day in the making that could even see cryptocurrencies eke out gains for the week going into the weekend.
Dogecoin price has displayed serious bearish signals as the token failed Tuesday’s $0.17 breakout. The large bearish engulfing candle produced a 20% decline on the daily chart, which signals supreme control of the trend. The bears have likely trapped breakout traders at the $0.17 zone and anyone who did not quickly take profit from last week’s successful trade setup.
Ethereum price has experienced a 10% sell-off this week. It was mentioned in last week’s bearish thesis that a sell-off at $3300 would occur. The sellers have halfway validated the thesis, signaling their control of the trend with yesterday’s bearish engulfing candle. The bearish candle is the largest printed within the rally, which should concern investors.