Massive Liquidations Hit BTC, But TBO Remains Bullish
Bitcoin experienced a sharp -5.86% wick-to-wick pullback, resulting in a massive $875 million long liquidation. Despite this, BTC managed to stay above the daily TBO Cloud, and the TBO Slow line remains pointed upward. Volume exceeded its moving average, and the TBO Springboard Bounce setup triggered with a projected move from $117k to TBO Resistance at $124k. This bullish pullback strategy has proven reliable throughout the year, though it rarely plays out in a single day.
4h Bearish Reversal Signals Cancel Breakouts
BTC’s 4h chart flashed a TBT Bearish Divergence and a TBO Close Long, canceling out the previous day’s 4h TBO Breakouts. A TBT Stop Loss Hunting Alert and an hourly TBT Bearish Divergence preceded the drop. On the bright side, BTC finally closed its CME Gap, removing a key downside risk and opening the path back to $124k.
ETH Outperforms as ETH/BTC Remains Bullish
ETH pulled back 4% but remains well above its TBO Fast line with increasing daily volume. It’s still moving steadily toward its ATH at $4,868. The ETH/BTC pair remains extremely bullish and flatlined during the BTC dump, proving its strength and hinting at a broader ALT recovery led by ETH. After over a year of underperformance, ETH is now emerging as the market leader.
Dominance Levels Reveal Unusual Behavior
Combined stablecoin dominance surged 4.42% but failed to close above resistance, while STABLE.C.D printed a TBO Close Short on the 4h, canceling the prior Breakdown Cluster. Most surprisingly, BTC Dominance did not rise during the selloff — a rare event — suggesting a lack of dip-buying for BTC and an increasingly bearish macro trend as the daily TBO Slow line curls down.
ETH Dominance Holds, OTHERS.D Weakens
While OTHERS.D printed a bearish TBO Close Long on the 4h, ETH Dominance remains firmly bullish, reinforcing the notion that ETH is the preferred asset right now. Top 10 Dominance showed wild wicks reflecting volatile price action, while TOTALES still sits above the Cloud with strong indicators despite a 4h TBO Close Long. TOTALE50 dropped to its Fast line, and OTHERS fell below the key 0.618 Fib level, but as long as the Cloud and Slow line hold, the market structure remains bullish.
ALTs Suffer Pullbacks, But Signals Suggest a Bounce
Most ALTs saw steep pullbacks between -6% and -20%, consistent with a Multiple Factor Effect event. XRP closed inside its Cloud, but volume increased. Across many charts, 4h TBO Close Longs and RSI Resets are appearing. These are early reversal signals often seen near bottoms in bullish markets. Clusters of TBO Close Longs are especially significant, as are deep RSI Resets with confirmed crossbacks above 25.
Notable ALTs to Watch During Recovery
SOL pierced TBO Resistance at $205 and printed a higher level at $209, with strong volume growth. DOGE and many others show TBO Springboard setups. ADA surged with ETF news and broke resistance with huge volume. LINK, HYPE, and SUI had mixed reactions, while LTC printed a TBT Bearish Divergence. CRO pulled back to the 0.382 Fib level and showed signs of recovery. NEAR and APT both reacted to resistance with expected pullbacks.
Mixed Signals from Meme Coins and Mid-Caps
BONK raised concerns with a fourth daily TBO Close Long, signaling potential weakness. IP fell to its 0.618 Fib level but held strong, while SPX6900 dropped 13% but printed reversal signals on the 4h. KCS pumped 14%, likely riding on exchange token hype. PUMP retraced 9% but held support, AERO is rebounding, and ZORA is flashing early warning signs with falling volume and clustered TBO Close Longs.
Summary and Strategy Moving Forward
Despite the sharp BTC liquidation and market-wide dump, signs of recovery are already showing. ETH remains the strongest chart and will likely lead the next ALT rally. Traders should treat this as a DCA opportunity, remain patient, and be disciplined with profit-taking. Oversold conditions across the board suggest a rebound is likely, but proper execution is key in volatile markets.
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