Analysts are observing that Bitcoin is facing rejection from a critical resistance zone. This movement has led to a short-term bearish divergence, suggesting potential downward pressure. Additionally, Ethereum and Solana are facing similar challenges as they struggle to maintain upward momentum.
Despite the short-term pullback, there has been a significant inflow into Bitcoin ETFs, particularly from major players like BlackRock. On Wednesday alone, BlackRock saw an inflow of over $872 million, contributing to a total of nearly $900 million in spot Bitcoin ETF inflows. This suggests strong institutional interest in Bitcoin, even amidst current price challenges.
Short-Term Bearish Trends
According to analyst Josh of Crypto World, currently, Bitcoin is encountering resistance between $72,000 and $74,000. A pullback in this range was anticipated, and while support levels exist around $66,700 to $68,300, further drops could see Bitcoin testing support around $65,000.
Longer-Term Bullish Outlook
Despite the short-term bearish signals, the longer-term trend remains bullish. The four-day Bitcoin chart recently confirmed a bullish flip in the super trend indicator, suggesting potential upward momentum. As long as Bitcoin holds above $65,000, the bullish cup-and-handle pattern remains intact.
Ethereum Price Analysis
Ethereum (ETH) is currently trading in a sideways range, showing a neutral stance on larger time frames. ETH faced rejection at $2,700 to $2,800, confirming this area as strong resistance. Currently, support is between $2,550 and $2,580. If it drops below this, the next support area is around $2,440 to $2,475. Falling below $2,440 could indicate a bearish trend, potentially pushing prices down to $2,280 to $2,320.
Solana Technical Analysis
Solana (SOL) is also facing resistance, specifically between $183 and $187, where it recently rejected. SOL has support in the range of $159 to $163. A drop below $159 would be a bearish signal. While the larger trend remains bullish with higher lows and highs, a bearish divergence on the RSI suggests potential for a short-term pullback.
