Bitcoin surged nearly 5% on yesterday’s close, finally breaking inside the daily TBO Cloud after weeks of sideways action. This is a strong signal of momentum building, despite volume still lagging behind and OBV just barely crossing above its moving average. Additionally, BTC pierced the first resistance fan line and pushed above the lowest resistance ray at $85K, both positive signs of bullish continuation.
The short-term target remains $88,842, which aligns with the weekly TBO Fast line. Given current price action, BTC is likely to overshoot this level and push slightly above $90K before facing its next major resistance zone.
Ethereum Looks the Best It Has in Months
Ethereum’s daily chart is finally showing signs of strength after months of bearish pressure. Yesterday’s volume spike, a bullish OBV cross, and a TBT Bullish Divergence signal indicate that ETH is attempting to reverse its prolonged downtrend. Additionally, daily RSI has broken overhead resistance that has been in place since November 2024, signaling increasing strength.
ETH still needs to close inside the daily TBO Cloud to confirm a bullish shift, but given the momentum, this could happen by the weekend. If ETH can continue this trajectory and close higher this week, it would result in another weekly RSI Reset, further supporting the argument that ETH is building strength for a longer-term recovery.
ETH/BTC, however, remains strong bearish, and while the weekly chart is showing signs of support, the daily timeframe is still overwhelmingly weak. A breakout on ETH/USD is necessary before ETH/BTC can begin reversing its trend.
Stablecoin Dominance Weakens, Altcoins Preparing to Move
Stablecoin dominance has officially closed inside the daily TBO Cloud, marking the beginning of bearish consolidation. This is a critical development, as a declining stablecoin dominance often signals that traders are deploying capital into crypto assets rather than holding stables.
The support level at 8% has been tested six times and continues to weaken. Once this level breaks, it could lead to a significant influx of liquidity into Bitcoin and altcoins. More importantly, weekly RSI for stablecoin dominance has dropped below 70, indicating that the long uptrend in stablecoin dominance is likely over.
Bitcoin dominance continues to hover at TBO Resistance at 61.58%, but daily RSI is showing a clear pattern of lower highs, reinforcing the likelihood that BTC.D will eventually drop inside the daily TBO Cloud. A decline in Bitcoin dominance would be another major win for altcoins, allowing them to rally more aggressively.
Total Market Cap Closes Inside the TBO Cloud
The TOTAL crypto market cap has also closed inside the daily TBO Cloud, mirroring Bitcoin’s move. RSI continues to rise, and OBV remains above its moving average, further confirming that this is a legitimate breakout. The next key resistance level sits at 2.86T, with TOTAL2 and TOTAL3 also confirming their first breakouts above resistance fan levels.
OTHERS’ market cap, which tracks mid- and low-cap altcoins, has also closed inside the TBO Cloud, though volume remains a major issue. RSI and OBV are still holding strong, but significant inflows will be needed for smaller altcoins to see the kind of rallies that major assets have been experiencing.
BVOL7D Signals Increasing Volatility
BVOL7D never quite fell into the Bounce Zone, but it is now showing signs of a potential uptick in volatility. Daily RSI is at 12.47, an extremely oversold level, which suggests that Bitcoin and the broader market may experience more dramatic moves over the next 24 hours.
Gold Approaching Key Resistance, But Momentum is Weakening
Gold continues to push higher, now testing RSI resistance at 86.72. If RSI can break this level, Gold is likely to target $3,500 in the coming weeks. However, falling volume despite rising prices suggests bearish divergence, a sign that momentum may be fading.
A second TBT Bearish Divergence Cluster has printed on PAXG/BTC, mirroring a similar setup from September 2023 that led to a 60% decline in the asset’s value relative to Bitcoin. Meanwhile, BTC/Gold has printed a second TBT Bullish Divergence Cluster, reinforcing the expectation that Bitcoin will outperform Gold over the next 180 days.
XRP Surges 11% as SEC Drops Lawsuit
XRP saw an 11% rally yesterday after the SEC officially dropped its lawsuit against Ripple, a long-awaited development that has relieved regulatory pressure on the asset. XRP also closed above the daily TBO Cloud, confirming a bullish reversal.
However, the price spiked quickly, meaning a short-term correction to the TBO Fast line around 2.37 is possible before continuation.
Solana Breaks Above Multi-Month Resistance
Solana has finally broken above its long-term resistance line, which has been in place since December 2024. The key now is to hold above this level for at least three days to confirm the breakout. RSI and OBV remain bullish, supporting the possibility of further upside.
TON continues to hold up well, especially in terms of volume. However, it needs to push above $4.09 to maintain its momentum. Similarly, SUI is still struggling to break through overhead resistance, but RSI is growing, and OBV remains strong.
HYPE had a 10% close yesterday, touching the TBO Fast line for the first time since its recent recovery. AAVE also printed a TBT Bullish Divergence Cluster, while MNT barely closed above its first resistance line, though its volume remains weak.
Looking Ahead: Trump’s Announcement Could Make or Break the Market
All eyes are on President Trump’s Digital Asset Summit announcement tomorrow. Markets are overreacting in anticipation of potential bullish news, which means that if expectations are not met, a quick dump could follow.
While altcoins are showing clear signs of recovery, now is the time to secure profits. If you’re in profit, take some off the table. Protect your capital and avoid giving back gains if the market turns volatile.
For those looking to refine their investment approach and navigate these conditions with confidence, The Complete Cryptocurrency Investor at Mastering Assets provides the essential tools and strategies needed to succeed.
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