Daily Crypto Signals: Bitcoin Eyes $110K Breakthrough, Ethereum Futures Activity Surges 40%
Bitcoin is approaching a key resistance level of $110,000 and is exhibiting strong technical patterns. At the same time, Ethereum is gaining
Quick overview
- Bitcoin is nearing a significant resistance level of $110,000, showing strong technical patterns and a recent 3.5% price increase.
- Ethereum is gaining institutional trust with a 40% rise in futures open interest, indicating increased confidence among traders.
- Paraguay's government has denied claims that Bitcoin is legal tender, citing concerns over potential hacking of accounts.
- Australian authorities have uncovered a $123 million cryptocurrency laundering scheme, highlighting ongoing regulatory challenges in the crypto market.
Bitcoin BTC/USD is approaching a key resistance level of $110,000 and is exhibiting strong technical patterns. At the same time, Ethereum ETH/USD is gaining institutional trust, as seen by a 40% increase in futures open interest. Paraguay’s government, on the other hand, dismisses allegations that Bitcoin is legal cash because they think accounts are being hacked. In Australia, officials find a huge $123 million crypto laundering enterprise.
Crypto Market Developments
The cryptocurrency market is reaching a turning point right now, as major digital assets are coming together at important resistance levels. Bitcoin’s recent 3.5% rise from June 7 to 9 has moved the leading cryptocurrency close to new all-time highs. At the same time, Ethereum is showing signals of institutional accumulation through both spot ETF inflows and increased derivatives activity.
Even though the economy is still facing problems, the market is nevertheless cautiously optimistic. Professional traders are keeping an eye on Bitcoin’s connection to traditional stock markets. Right now, it has an 82% correlation with the S&P 500. This might limit short-term gains if fears of a recession continue. But technical indicators reveal that key cryptocurrencies may be getting ready for big swings, as many assets are showing bullish divergence patterns.
Regulatory changes are still affecting how the market works. For example, the government of Paraguay had to make it clear that posts on social media that said Bitcoin was legal tender were not true. In Australia, police actions show that they are still trying to stop financial crimes related to cryptocurrencies. For example, they were able to break up a complex laundering scheme worth more than $123 million.
Bitcoin Testing Resistance at $110,000
Bitcoin (BTC) Bitcoin is showing amazing strength as it gets close to the important $110,000 barrier zone. It is trading barely 3% below its all-time high of $111,965, which was established on May 22. Technical analysis shows a number of positive signs, such as the creation of a weekly Doji candle, which signals that buyers and sellers are not sure what to do, which sometimes happens before big price increases.
After hitting a local bottom of $100,300 on June 6, the cryptocurrency broke out of a pattern of lower trendlines. Chart analysts have found a possible inverted head-and-shoulders pattern that might go after $146,892 if Bitcoin can break above the neckline above $112,700. Also, fractal analysis that looks at the present price movement and the rally after the ETF was approved in early 2024 shows that a similar breakout pattern may be forming.
Market structure data backs up the bullish argument, showing that spot trading volumes on centralized exchanges have dropped to levels not seen since October 2020. This means that investors are going into “HODL mode.” Since the all-time high, long-term investors have added 605,000 BTC to their accounts, while short-term holders have given away 592,000 BTC in the last 30 days. This difference means that powerful institutional investors are taking on the selling pressure from retail investors.
Bitcoin, on the other hand, has problems because it is closely linked to traditional markets and the economy is still not sure about what will happen. The futures premiums are still close to the 5% baseline that is common in neutral markets. This shows that professional traders are being careful, even though prices have been strong lately.
Ethereum Consolidating Under $2,800
Ethereum is displaying strong evidence of institutional accumulation and technical strength, even though it is trading 48% below its all-time high. The second-largest cryptocurrency has been trading sideways between $2,300 and $2,800 for the past 30 days, but this may be coming to an end as a number of positive catalysts come together.
There has been a huge increase in activity on the futures market. In the previous 30 days, open interest has gone up by 40%, from $26 billion to $36 billion. This sudden rise in derivatives activity usually happens before big price changes and shows that traders are becoming more confident during the consolidation phase. The 4-hour chart reveals that ETH is still above the 200-day exponential moving average and is developing a concealed positive divergence with the RSI indicator.
BlackRock is still aggressively buying Ethereum. In the last 10 days, it has bought $500 million worth of ETH and now holds 1.5 million ETH ($2.71 billion) in custody. Spot Ethereum ETFs have seen net inflows for four weeks in a row, bringing the total number of ETH held to 3.77 million ETH. This buying pressure from institutions is a firm base for prices to go up.
If momentum keeps going, technical analysis with the Gaussian channel indicator says that ETH might rise to $3,100 to $3,600. Ethereum has made big gains in the past when it broke through the Gaussian Channel midline. For example, it rose 93% to $4,000 in 2023 and 1,820% in 2020.
Top Altcoins to Watch Today
- Hyperliquid (HYPE) is the most attractive altcoin setup because it broke over a symmetrical triangle pattern on June 9. This breakthrough means that the uncertainty is over and the price could go up to $42.50 or $46.50, which is the pattern target. HYPE is especially appealing to traders looking for momentum plays because the technical setup is so tidy.
- XRP XRP/USD is still stuck between $2.00 and $2.65, with moving averages that are mostly flat showing that supply and demand are in equilibrium. If the price breaks above the moving averages, it might go toward the $2.65 resistance level. If it doesn’t hold its present levels, it could test the $1.61 support level again.
- Solana SOL/USD is trying to bounce back from $140 support, but the 20-day EMA around $158 is getting in the way. If the price breaks above the moving averages, it could go up to $185. If it doesn’t, it could go down to $123 and maybe even $110.
- Cardano ADA/USD is trying to recover near the 20-day EMA at $0.69, but bears are still selling on rallies. To reach the downtrend line, buyers need to surge above moving averages. If they do, it might mean a new uptrend toward $1.02. Support is still very important at $0.60 and $0.50.
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