The situation in the cryptocurrency market remains quite bleak. Bitcoin tested $58,000 yesterday and is poised to continue its decline at any moment. Ethereum is just a step away from the $1,500 level, a breach of which will trigger a sharp sell-off.
Yesterday, Ethereum recorded an unprecedented event: for the first time since the asset's inception, it is closing three consecutive quarters with negative results. In its nearly ten-year trading history, Ethereum has experienced deep drawdowns, including the crash of 2018 and the collapses of 2022, but it has never shown such a prolonged series of consecutive losing quarters. This serves as structural confirmation that what is happening now is not a routine correction but one of the longest periods of weakness in the history of the second-largest cryptocurrency by market capitalization. The coincidence with the eighth consecutive day of outflows from Ethereum ETFs, amounting to a $30 million loss yesterday, only strengthens this picture: both short-term and quarterly data point in the same direction.
Bitcoin ETFs are following the same dynamics: for the eighth consecutive day, outflows totaled $231.1 million yesterday. BlackRock continues its systematic practice of transferring assets to exchanges, sending 4,984 BTC worth $295 million and 30,725 Ethereum worth $48.5 million to Coinbase Prime yesterday. Such transfers have become so regular that they form a background indicator of market pressure. Among altcoins, some positivity was observed: XRP attracted $15.3 million, SOL added $5.5 million, and HYPE saw inflows of $2.2 million again. DOGE, LINK, HBAR, LTC, AVAX, DOT, and BNB remained at zero flows.
Given this data and news, it is difficult to claim that the bearish phase in the cryptocurrency market is about to end.
Regarding short-term trading, the strategy and conditions are outlined below.
Bitcoin
Buy Scenario
Scenario #1: I plan to buy Bitcoin today at an entry point around $58,900, targeting growth to $59,400. At around $59,400, I will exit the buy positions and sell immediately on the pullback. Before buying on the breakout, ensure that the 50-day moving average is below the current price and that the Awesome indicator is in the area above zero.
Scenario #2: You can buy Bitcoin from the lower boundary of $58,500 if there is no market reaction to its breakout in the opposite direction back to the levels of $58,900 and $59,400.
Sell Scenario
Scenario #1: I plan to sell Bitcoin today at an entry point around $58,500, targeting a drop to $57,700. At around $57,700, I will exit the sell positions and buy immediately on the pullback. Before selling on the breakout, ensure that the 50-day moving average is above the current price and that the Awesome indicator is in the area below zero.
Scenario #2: You can sell Bitcoin from the upper boundary of $58,900 if there is no market reaction to its breakout in the opposite direction back to the levels of $58,500 and $57,800.
Ethereum
Buy Scenario
Scenario #1: I plan to buy Ethereum today at an entry point around $1,579, targeting growth to $1,595. At around $1,595, I will exit the buy positions and sell immediately on the pullback. Before buying on the breakout, ensure that the 50-day moving average is below the current price and that the Awesome indicator is in the area above zero.
Scenario #2: You can buy Ethereum from the lower boundary of $1,568 if there is no market reaction to its breakout in the opposite direction back to the levels of $1,579 and $1,595.
Sell Scenario
Scenario #1: I plan to sell Ethereum today at an entry point around $1,568, targeting a drop to $1,551. At around $1,551, I will exit the sell positions and buy immediately on the pullback. Before selling on the breakout, ensure that the 50-day moving average is above the current price and that the Awesome indicator is in the area below zero.
Scenario #2: You can sell Ethereum from the upper boundary of $1,579 if there is no market reaction to its breakout in the opposite direction back to the levels of $1,568 and $1,551.
