Bitcoin has finally broken through its overhead resistance within the anticipated pennant formation, moving closer to testing its all-time high. This breakout aligns with expectations for such formations and reinforces the broader bullish narrative despite the looming CME gap at $77,000. Encouragingly, the daily TBO Slow line remains angled upward, signaling that the macro trend is still intact. Volume has also increased over the past three days, a welcome change from last week's period of consolidation.
Ethereum Outpaces Bitcoin with Strong Weekly Indicators
Ethereum has been outperforming Bitcoin, gaining 6% today and solidifying its upward trajectory with a TBO Breakout cluster. On the weekly chart, Ethereum is nearing the TBO Resistance level at $3,887, with RSI in overbought territory and OBV trending above its moving average.
While the ETH/BTC ratio remains bearish, signs of a reversal are emerging, suggesting that Ethereum could sustain its momentum.
Shifts in Market Dominance Signal Broader Opportunities
Stablecoin dominance continues to fall, nearing the critical 5% level, indicating a shift from fear to greed within the market. The daily TBO Slow line for stablecoins is now strongly angling downward, further confirming this trend.
Meanwhile, Bitcoin dominance shows signs of temporary stabilization, though it remains overextended from the TBO Fast line. This opens the door for altcoins to seize the spotlight, particularly as OTHERS.D exhibits strong bullish characteristics, including a TBO Breakout cluster and upward-trending indicators.
Navigating Market Narratives and Staying Patient
As Bitcoin moves closer to the psychologically significant $100,000 level, attention should also focus on identifying shifts in market narratives. Whether it's legacy coins making a comeback or new utility tokens preparing to surge, traders should keep a close eye on which ecosystems are driving the action. Patience remains a crucial virtue during this phase of the market cycle, as some coins may not see parabolic moves until much later. By staying attuned to market rotations and aligning with emerging trends, traders can position themselves for maximum gains in this evolving bull market.
