Futures analysis: a turning point for the bear market has arrived

Last week the crypto market unsettled traders. Bears drove prices to new three-month lows: $28,800 for Bitcoin and $1,700 for Ethereum. But bulls, within a few hours, pushed prices back to the previous levels.

How will the market develop and where could prices go? We analyse indicators and price levels for Bitcoin and Ethereum on the crypto exchange Bybit.

BTCUSD

On the Bitcoin chart, a bullish trend has formed. Along with the resistance at $35,000, it has formed an ascending triangle. Perhaps, in early July, a breakout of the $37,500 resistance zone could occur and the price could rise further to $40,000.

In the best case, Bitcoin will break the resistance after rebounding from the trendline. In the worst case, it will continue trading in a range of $35,000–$30,000.

Short-term outlook

On June 28, bears attempted to push the price of BTCUSD below $34,000 on higher volumes. Bulls absorbed the selling pressure and continued pushing Bitcoin higher.

In the coming days Bitcoin could dip to $34,500, but a deeper decline is unlikely.

Medium-term outlook

Bitcoin is still below the key resistance level of $37,500. To confirm a new bullish trend, Bitcoin needs to break this level and bounce from it at least once.

On the daily chart a bullish signal is also forming — a trend reversal on the RSI indicator.

ETHUSD

On June 21 and 26 Ethereum fell to $1,700 twice. But in recent days the price of ETHUSD has risen by 25% on high volumes and continues to rise.

The current bullish trend is moving at too steep an angle. Perhaps in the next few days Ethereum will take a breather, retrace to the $2,050 support level and continue higher.

Short-term outlook

ETHUSD has bounced off the $2,250 resistance and is trading near $2,150. Average trading volumes are decreasing. This signals a likelihood of a sharp move. A small pullback is more likely. The RSI divergence also points to this.

Medium-term outlook

On the daily chart, two candles with long wicks stand out. A similar pattern typically forms ahead of a medium-term reversal.

Conclusions

The current week could become a turning point in the bear market. Despite large volumes, sellers could not push through and hold below key support levels: $30,000 on BTCUSD and $1,800 on ETHUSD.

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