The crypto market has been highly unstable over the past few weeks, largely due to the Federal Reserve’s stance on monetary policy. With no signs of quantitative easing, the market has reacted negatively, triggering a broader downtrend—especially for Bitcoin.
On Sunday, we witnessed a dramatic price surge, with BTC skyrocketing from $84K to $94K, only to see all gains wiped out within a single day. This price action is eerily similar to the 2019 “China Pump,” when BTC spiked from $7K to $10K before retracing completely within days. Such volatility suggests that sentiment remains fragile, and sellers continue to dominate.
Ethereum (ETH): A Sign of Weakness?
ETH isn’t looking strong either. It’s currently hovering around the $2,100 level, sitting right on a critical support zone. As I’ve highlighted in my chart, ETH has already broken below its support trendline—a bearish signal that suggests further downside risk. If this key support level fails to hold, we could see ETH drop to around $1,500 in the coming weeks.
Implications for the Altcoin Market
If ETH loses its support zone, it could trigger a major sell-off across the entire altcoin market. Historically, ETH acts as a leading indicator for altcoins, and a breakdown here could push Bitcoin dominance up to 66%-70% before altcoins find a bottom. This means we could be in for another phase of altcoin underperformance while BTC consolidates.
Final Thoughts: Watch ETH Closely!
Given the current market structure, my suggestion is to monitor ETH closely at these levels. If it fails to hold, expect a significant downward move in the altcoins market. Bitcoin dominance rising would confirm that altcoins are in for a rough period ahead. Stay cautious and trade accordingly!
Stock Market Struggles Add to Bearish Sentiment
It’s not just crypto feeling the pressure—the stock market isn’t looking good either. Both the S&P 500 and NVIDIA are down significantly today, adding to the overall negative sentiment. When traditional markets struggle, risk assets like crypto tend to follow suit.
That said, I’m expecting one final leg down before we see a shift. Once the Federal Reserve signals quantitative easing (QE), we can start anticipating a return to bullish momentum across both stocks and crypto. Until then, caution is key!
On Sunday, we witnessed a dramatic price surge, with BTC skyrocketing from $84K to $94K, only to see all gains wiped out within a single day. This price action is eerily similar to the 2019 “China Pump,” when BTC spiked from $7K to $10K before retracing completely within days. Such volatility suggests that sentiment remains fragile, and sellers continue to dominate.
Ethereum (ETH): A Sign of Weakness?
ETH isn’t looking strong either. It’s currently hovering around the $2,100 level, sitting right on a critical support zone. As I’ve highlighted in my chart, ETH has already broken below its support trendline—a bearish signal that suggests further downside risk. If this key support level fails to hold, we could see ETH drop to around $1,500 in the coming weeks.
Implications for the Altcoin Market
If ETH loses its support zone, it could trigger a major sell-off across the entire altcoin market. Historically, ETH acts as a leading indicator for altcoins, and a breakdown here could push Bitcoin dominance up to 66%-70% before altcoins find a bottom. This means we could be in for another phase of altcoin underperformance while BTC consolidates.
Final Thoughts: Watch ETH Closely!
Given the current market structure, my suggestion is to monitor ETH closely at these levels. If it fails to hold, expect a significant downward move in the altcoins market. Bitcoin dominance rising would confirm that altcoins are in for a rough period ahead. Stay cautious and trade accordingly!
Stock Market Struggles Add to Bearish Sentiment
It’s not just crypto feeling the pressure—the stock market isn’t looking good either. Both the S&P 500 and NVIDIA are down significantly today, adding to the overall negative sentiment. When traditional markets struggle, risk assets like crypto tend to follow suit.
That said, I’m expecting one final leg down before we see a shift. Once the Federal Reserve signals quantitative easing (QE), we can start anticipating a return to bullish momentum across both stocks and crypto. Until then, caution is key!
Trade active
The weakness continues! The S&P 500’s ongoing weakness is negatively impacting the crypto market.Trade closed: target reached
We are about to experience a heavy altcoin reckoning! 
🔥 Unlock Lifetime Access to the Premium Trading Group – Just $129 for a lifetime membership!
🎖Telegram:
t.me/MBM_786kr 🎖
📩 Interested in our Premium Group?
DM @MBM786kr on telegram for full details!
🎖Telegram:
t.me/MBM_786kr 🎖
📩 Interested in our Premium Group?
DM @MBM786kr on telegram for full details!
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
🔥 Unlock Lifetime Access to the Premium Trading Group – Just $129 for a lifetime membership!
🎖Telegram:
t.me/MBM_786kr 🎖
📩 Interested in our Premium Group?
DM @MBM786kr on telegram for full details!
🎖Telegram:
t.me/MBM_786kr 🎖
📩 Interested in our Premium Group?
DM @MBM786kr on telegram for full details!
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.