Crypto Frontline

BTCUSD (Coinbase)

Bitcoin weakness emerged in the second half of last week after concerning inflation data in the United States. The price briefly touched a new ATH and then sold off impulsively and now not even the daily 20 EMA seems to be acting as support.

Additionally, the ascending trend line that has been in place since April seems weaker this time, suggesting a deeper correction might happen. If we see sustained selling below the trend line, the next area of support to watch is $112k – $109.5k. A strong corrective move will likely push BTC below that zone as well and imply $100k would be the stronger and decisive support to hold. 

Even though we are not yet implying the bull market is over, we must acknowledge that Bitcoin is up over 50% compared to April lows. The rally can’t be sustained indefinitely, since you need buyers willing to enter the market at increasingly expensive levels. 

The price has to regain the trend line to suggest buyers have an advantage this week, which so far is not the case. But if it does, we will look for a retest of the current all-time high and $125k area. 

ETHUSD (Kraken)

Ether is also under some selling pressure after reaching the $4,800 area. That hasn’t happened since 2022, when the bear market started. The inability to reach a new all-time high, despite the massive bullish run higher, is a slight reason for concern on our end. 

Still, the selloff is not strong enough to suggest a trend reversal. ETH is still trading above the daily 20 EMA and we have two important support levels below: $4,100 and $3,950. Even if selling could continue further from here, buyers will likely treat those levels as opportunities to enter the market at a cheaper price. 

Only if ETH breaks impulsively below $3,800 should bulls get more worried. For now, we see the above-mentioned levels as the bottom of a range. The upper side is formed by the current highs of 2025. A break on either side is needed to confirm the path forward. 

BNBUSD (Binance)

Binance Coin continued to move up since the last time we covered this token, but at the time of writing, the price is hovering close to the upper bound of an ascending channel. That raises the prospects for a corrective move lower, since the price continues to respect this price action formation. 

We would have suggested a continuation higher only if BNB had been able to break and hold above the channel. It is actually weakening right now, meaning there’s scope for further selling towards $800, where we expect buyers to step back in. 

If that doesn’t happen, more selling could follow and drive Binance Coin towards the $735 area. As long as the channel continues to be a valid structure, there is a chance we might see a deeper correction towards the $650 – $640 area. We have to wait and see how selling progresses in the short term.