A Quick Look At The Crypto Market - 21/05/25
Good morning, traders!
We might be in for a historical day in crypto as Bitcoin is pushing for the ATH. Meanwhile, ETH has found strength again, BTC dominance is down again & more! Let's take a look at my morning technical analysis for this beautiful Wednesday morning.
BTC
In yesterday's analysis, I noticed that BTC created a long-wicked candle, hinting at further upside movement. The $106.5k resistance level was then broken, and on the hourly time frame, it seems BTC has now turned this level into support.
On a daily TF, the long-wicked candle was followed by an engulfing candle which closed above resistance. Today, the positive action continues as BTC is getting very close to its all-time high. So all eyes are on that today.
BTC Dominance
As I predicted, Bitcoin's dominance did bounce up from the green area, giving alts some short-term hardship. However, even with BTC's rise today, BTC.D is coming down to test support again. I hope to see it come down to at least 63.4%, and if ETH keeps up, hopefully, we will see even lower levels.
ETH
Yesterday, ETH was testing the ~$2,600 area(green), and I was hoping to see it break the resistance. Instead, we took a little downturn, which ended up in ETH creating a higher low(good thing!) and is now testing the resistance again. $ETH above $2,650 would create a higher high, indicating possible further upside movement.
ETHBTC
Most of us obviously want to know when altcoin will run, if they'll run.
The ETHBTC chart shows whether ETH is outperforming BTC or the other way around. ETH outperforming should hint at a potential alt rally. Alts have been struggling lately, and as you can see in the chart below, ETHBTC has been in a downtrend for a while as BTC has been dominating.
Interestingly enough, even though Bitcoin is going for its ATH, ETH seems to have woken up and is currently outperforming BTC. In this chart, we can see some early signs of the diagonal trendline breaking, although I'd wait for ETHBTC breaking the horizontal (green) area so we'd get a higher high as a confirmation of the trend shift.
Altcoins
So all eyes are on BTC today. Even with ETH doing well, I'm still hesitant to go risk-on and open small-cap alt positions. That being said, I am holding some of the larger cap alts, "the big three":
- $SOL
- $SUI
- $HYPE
These are the ones I see most potential in the long run, and most of my holdings are currently in defi, liquidity pools or staked. This mitigates the potential downside as I'm constantly earning rewards with these.
Especially SUI ecosystem is offering some cool opportunities at the moment, and just yesterday I learned about the VOLO platform that launched a points system leading to a future airdrop.
This is very simple: stake SUI on the platform, receive vSUI in your wallet, hold, earn points & a small APR. For more points and a bigger APR, lend on NAVI.
In my opinion, this is a good option if you are long-term bullish on SUI. Getting airdrop exposure plus APR on SUI, putting it to work instead of just holding it idle.
Ok, that's all for today! Thank you for reading, and share your thoughts in the comments section!
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Posted Using INLEO
Its happening now, that is for sure!
I do think BTC.D can go much higher, around 21/22 I set ~65-75% as a target, basically based on Bitcoin itself.
Right now ATH seems inevitable, but of course if we get a recjection below, the whole structure will change.
What if we peek a little above, but get no real surge? Then at least I will spend a day or two checking if we might have a second double top, in which case I'll act on that...
I do think we get a surge, maybe to ~115-120k, the structure that builds after that is what will hint at going much higher, of if the whole cycle phenomena might have changed, along with global adoption, possible capture and so on.
Lots of decisions to get right the next days, weeks and months for sure!
Indeed, exiting day ahead (or a week). Now we saw a pullback but as long as BTC can hold it as a higher low, the structure remains valid. Also, I think the longer BTC consolidates and gather strength under the ATH, the more sustainable surge up will be. I'll rather take that than a quick spike.
Macro also looks good, not much FUD recently, stablecoin bill passed, etc.
I'm bullish on this one!
Thanks for the comment, btw! This was only my second TA post and planning on doing these on regular basis and really appriciate good comments! 🙏
What an exciting morning in crypto! Your analysis is spot on - BTC flirting with ATH while ETH shows promising strength could make for a historic day. Love how you break down the charts with clear support/resistance levels. That SUI staking opportunity with VOLO looks particularly juicy for long-term holders. Keeping my popcorn ready to see if BTC smashes through that record today!
Thank you very much!
I've been trading for a while but it's a never ending learning process. I do plan to keep posting these technical analysis posts more often so stay tuned if you like this kinda content! 🙂