Defx Insights

Tag: Crypto Trading

  • Bitcoin Price Faces $120K Resistance: Glassnode Data Shows Sell Pressure

    Bitcoin Price Faces $120K Resistance: Glassnode Data Shows Sell Pressure

    Bitcoin’s recent surge to a new all-time high has triggered significant profit-taking activity, potentially creating headwinds for the anticipated push toward $120,000, according to the latest Glassnode report. This development comes as retail interest remains surprisingly subdued despite record prices.

    Key Findings from Glassnode’s Analysis

    The on-chain analytics firm’s researchers, Cryptovizart and Ukuria OC, have identified several critical metrics suggesting mounting sell pressure:

    • Exchange inflows have increased by 23% in the past 72 hours
    • Long-term holder profit-taking has reached levels not seen since March 2024
    • Derivatives market showing signs of overleveraged positions

    ETF Impact and Market Dynamics

    While institutional engagement through ETFs remains robust, with BlackRock’s IBIT leading recent inflows, the current market structure suggests a potential consolidation phase before any sustained move above $120,000.

    SPONSORED

    Maximize your trading potential with up to 100x leverage on perpetual contracts

    Trade Now on Defx

    Technical Resistance Levels

    Key resistance levels identified by Glassnode:

    Level Significance
    $115,800 Major psychological resistance
    $118,500 Fibonacci extension level
    $120,000 Key psychological barrier

    Expert Analysis and Predictions

    Market analysts remain divided on Bitcoin’s short-term trajectory. While some predict a brief consolidation, others see the current sell pressure as temporary, citing strong institutional demand and improving macro conditions.

    FAQ Section

    What’s causing the current sell pressure?

    Long-term holders taking profits at record highs, combined with increased exchange inflows and derivatives market positioning.

    Will Bitcoin reach $120,000 in 2025?

    While the path to $120,000 faces immediate challenges, strong institutional demand and ETF inflows support the possibility of reaching this target later in 2025.

    How does this compare to previous bull markets?

    Current profit-taking levels are notably lower than previous cycle peaks, suggesting potential for continued upside despite near-term pressure.

  • XRP Price Alert: $2.13 Support Test Before Major Breakout, Analyst Says

    XRP Price Alert: $2.13 Support Test Before Major Breakout, Analyst Says

    XRP appears poised for significant upside movement, but not before testing critical support levels, according to prominent crypto analyst Quantum Ascent. In a detailed technical analysis released May 28, the trader outlined why a temporary correction to $2.13 could set the stage for XRP’s next major rally.

    Elliott Wave Structure Points to Temporary Correction

    The analyst’s latest assessment comes after accurately predicting XRP’s recent move to $2.66, just five cents shy of his $2.71 target. Now, Quantum Ascent suggests the completion of a five-wave pattern indicates a corrective phase is due.

    “While the weekly chart structure remains firmly bullish, we’re likely entering a brief consolidation period,” explains Quantum Ascent. The analysis points to an ABC corrective pattern currently unfolding on shorter timeframes.

    This forecast aligns with recent technical indicators highlighting XRP’s key support levels, suggesting the token’s underlying strength despite near-term volatility.

    Key Support Level: Why $2.13 Matters

    The projected downside target of $2.12-$2.13 holds particular significance for several reasons:

    • Coincides with the 0.5 Fibonacci retracement level
    • Aligns with previous fourth wave support
    • Represents a critical psychological level above $2.00

    SPONSORED

    Trade XRP with up to 100x leverage on perpetual contracts

    Trade Now on Defx

    Comparative Market Strength

    Notably, XRP has demonstrated remarkable resilience compared to other cryptocurrencies. Recent institutional interest in XRP has helped maintain its strong market position, with the token setting higher highs ahead of most altcoins.

    Looking Ahead: Price Targets and Timeline

    Should XRP confirm support at $2.13, Quantum Ascent projects a new bullish wave that could push prices above $2.80. The analyst’s track record lends credibility to this forecast, having previously captured significant profit from XRP’s move from $0.50 to above $3.00.

    FAQ Section

    Q: Could XRP drop below $2.00 during this correction?
    A: While possible, the analyst considers it unlikely and emphasizes it wouldn’t break the broader bullish structure.

    Q: What timeframe is expected for the correction?
    A: The analysis suggests a relatively brief consolidation period before the next upward move.

    Q: What technical indicators support the $2.13 target?
    A: Multiple factors including Fibonacci levels, wave structure, and previous support zones converge at this level.

    At press time, XRP trades at $2.29, with market participants closely monitoring the potential move toward the key $2.13 support zone.

  • TACO Trade Strategy Emerges as Trump Market Impact Signal

    TACO Trade Strategy Emerges as Trump Market Impact Signal

    A new trading phenomenon dubbed ‘TACO’ is gaining significant attention in the cryptocurrency and traditional financial markets, highlighting the increasing intersection between political events and market movements. First coined by Financial Times journalist Robert Armstrong, TACO (Trump Always Chickens Out) represents a unique market indicator that’s catching the attention of both crypto and traditional investors.

    Understanding the TACO Trading Strategy

    The TACO trading strategy is based on a pattern where market volatility follows major policy announcements, particularly those related to tariffs and economic measures. This trading approach has become increasingly relevant for crypto traders, especially given Bitcoin’s recent price movements to $109K and its sensitivity to macro events.

    Impact on Cryptocurrency Markets

    The emergence of the TACO trading pattern comes at a crucial time for cryptocurrency markets, where political announcements and regulatory decisions have shown increasing influence on digital asset valuations. This development is particularly significant as institutional investors continue to enter the crypto market in 2025.

    SPONSORED

    Trade with confidence using advanced risk management tools

    Trade Now on Defx

    Market Analysis and Trading Implications

    Financial experts suggest that the TACO pattern could provide valuable insights for crypto traders, particularly during periods of political uncertainty. The strategy’s emergence coincides with significant market developments and could influence trading decisions across various digital assets.

    FAQ Section

    • What exactly is the TACO trade?
      TACO (Trump Always Chickens Out) refers to a trading strategy based on market reactions to major policy announcements and subsequent policy shifts.
    • How does this affect cryptocurrency markets?
      The pattern can influence crypto market volatility and trading decisions, particularly during periods of political uncertainty.
    • Can traders implement this strategy effectively?
      While the pattern offers interesting insights, it should be considered as part of a broader trading strategy rather than in isolation.

    Conclusion

    The TACO trading phenomenon represents an important development in how political events influence both traditional and cryptocurrency markets. As the digital asset space continues to mature, understanding such patterns becomes increasingly crucial for traders and investors alike.

  • Bitcoin Retail Interest Remains Low Despite $107K ATH – What’s Next?

    Recent on-chain data reveals an intriguing paradox in Bitcoin’s latest rally to $107,200 – retail investor participation remains surprisingly subdued despite the cryptocurrency reaching new all-time highs. This analysis explores what this unusual market dynamic means for Bitcoin’s future trajectory.

    Key Findings from Retail Investor Analysis

    According to CryptoQuant data, transactions under $10,000 – a key metric for retail participation – show minimal growth compared to previous rally phases. This pattern aligns with recent findings in our analysis of Bitcoin’s climb to $111K, suggesting institutional players are currently driving the market.

    Institutional Dominance vs Retail Hesitation

    The current rally shows a stark contrast to late 2024’s movement, where retail demand saw explosive growth exceeding 30%. Recent corporate entries like GameStop’s $500M Bitcoin investment highlight how institutional players are taking center stage in this phase of the market cycle.

    SPONSORED

    Trade Bitcoin with up to 100x leverage and capitalize on every market move

    Trade Now on Defx

    Historical Context and Future Implications

    Historically, sustained Bitcoin rallies have required strong retail participation. However, the current scenario presents a unique opportunity – the potential for a second wave of price appreciation once retail investors enter the market.

    FAQ: Key Questions About Bitcoin’s Retail Dynamics

    • Why is retail participation important? Retail investors typically provide sustained buying pressure and market liquidity.
    • Could low retail interest signal a market top? Contrary to typical patterns, current data suggests we’re early in the cycle.
    • What could trigger increased retail participation? Further price appreciation and mainstream media coverage could catalyze retail entry.

    Technical Analysis and Price Levels

    Bitcoin currently trades at $107,200, showing a 2% weekly gain. Key resistance levels lie at $110,000 and $112,000, while support has formed at $105,000.

    Conclusion: A Potential Second Wave

    The absence of significant retail participation, combined with strong institutional backing, suggests Bitcoin’s current rally might be just the first phase of a larger movement. As retail investors eventually enter the market, we could see another substantial leg up in Bitcoin’s price action.

  • Bitcoin Price Hits $109K: MVRV Ratio Signals Potential Resistance

    Bitcoin Price Hits $109K: MVRV Ratio Signals Potential Resistance

    Bitcoin continues to demonstrate remarkable strength in Q2 2025, trading at $109,000 despite a minor 0.6% daily decline. The leading cryptocurrency has posted an impressive 15% gain over the past month, recently touching a new all-time high above $111,000. However, a key on-chain metric suggests caution may be warranted at current levels.

    This latest price action coincides with historically low retail participation, raising questions about the sustainability of the current rally without broader market engagement.

    MVRV Ratio Approaches Critical Level

    According to CryptoQuant analyst Burak Kesmeci, Bitcoin’s Market Value to Realized Value (MVRV) ratio has reached a crucial juncture. Currently sitting at 2.36, the metric remains above its 365-day Simple Moving Average of 2.14, but faces significant resistance at 2.93 – a level that has historically preceded market corrections.

    The MVRV ratio, which compares Bitcoin’s market value to its realized value, has proven to be a reliable indicator of market tops and bottoms. When the ratio approaches extreme levels, it often signals potential trend reversals.

    SPONSORED

    Trade Bitcoin with up to 100x leverage on perpetual contracts

    Trade Now on Defx

    Institutional Dominance vs Retail Absence

    Perhaps most notably, this rally has been primarily driven by institutional investors, with major corporations like GameStop adding Bitcoin to their treasuries. Retail participation, measured by transfer volumes under $10,000, remains surprisingly subdued despite the new all-time highs.

    Looking Ahead: Key Levels to Watch

    Market participants should closely monitor the following technical and on-chain levels:

    • MVRV resistance: 2.93
    • Current MVRV: 2.36
    • SMA365 support: 2.14
    • Price resistance: $111,000
    • Key support: $109,000

    FAQ Section

    What is the MVRV ratio?

    The MVRV ratio compares Bitcoin’s market value to its realized value, helping identify whether the price is overvalued or undervalued relative to fair value.

    Why is retail participation important?

    Retail participation historically amplifies bull markets and provides sustained buying pressure needed for long-term price appreciation.

    What could trigger the next leg up?

    Increased retail participation, continued institutional adoption, or positive regulatory developments could catalyze further price appreciation.

    Featured image: Shutterstock

  • Bitcoin Realized Price Soars 12%: Long-Term Holders Signal Bull Run Peak

    Bitcoin’s realized price metrics are flashing major bullish signals as both short-term and long-term holder cost bases climb to new highs, suggesting the leading cryptocurrency could be entering the final explosive phase of its current bull cycle. With BTC consolidating near $112,000, on-chain data indicates growing conviction among seasoned investors.

    This analysis comes as Bitcoin long-term holders moved over $4 billion worth of BTC while testing the critical $112,000 all-time high resistance level. The synchronized movement of large holders often precedes major market moves.

    On-Chain Metrics Signal Strong Accumulation Phase

    According to data from CryptoQuant, the average realized price for long-term Bitcoin holders has increased by 12% since BTC reclaimed the $97,000 level. This metric represents the average price at which long-term investors acquired their holdings, with increases typically indicating healthy accumulation patterns.

    Short-term holder realized price has also seen an uptick, suggesting newer market participants are maintaining conviction despite elevated price levels. This dual increase across both cohorts historically precedes significant bullish moves.

    SPONSORED

    Trade Bitcoin with up to 100x leverage on perpetual contracts

    Trade Now on Defx

    Market Structure Supports Bullish Thesis

    The current market structure remains firmly bullish, with Bitcoin maintaining support above the critical $106,000-$108,000 range. Technical indicators suggest the consolidation phase could be nearing its end, potentially setting up for the next leg higher.

    As institutional interest continues to grow, with major policy developments supporting Bitcoin adoption, the combination of strong on-chain metrics and favorable macro conditions could catalyze the next major move.

    Key Levels to Watch

    Critical resistance levels:
    – $112,000: Current all-time high and psychological barrier
    – $109,300: Immediate resistance zone
    – $115,000: Next major target if breakout occurs

    Support levels:
    – $108,800: Short-term moving average cluster
    – $103,600: Major horizontal support
    – $97,000: Previous resistance turned support

    FAQ Section

    What is Bitcoin’s realized price?
    The realized price represents the average price at which Bitcoin was last moved, effectively showing the cost basis of current holders.

    Why is long-term holder behavior important?
    Long-term holders typically represent smart money and their accumulation patterns often predict major market moves with high accuracy.

    What could trigger the next leg up?
    A decisive break above $112,000 with strong volume, combined with continued institutional adoption and favorable macro conditions, could catalyze the next major rally.

  • XRP Price Shows Recovery Signs: Key $2.35 Level in Focus

    XRP Price Shows Recovery Signs: Key $2.35 Level in Focus

    XRP price is showing promising signs of recovery after finding strong support at $2.220, with technical indicators suggesting potential upward momentum toward the critical $2.35 resistance level. Recent analysis showing a potential $18 price target adds broader context to this current movement.

    Key Technical Developments for XRP

    The cryptocurrency has demonstrated resilience by establishing key support levels:

    • Strong bounce from $2.220 support level
    • Break above bearish trend line at $2.2920
    • Successful clearance of 50% Fibonacci retracement level
    • Current consolidation below 100-hourly SMA

    Critical Price Levels to Watch

    Traders should monitor these crucial resistance and support zones:

    Resistance Levels Support Levels
    $2.3250 (Immediate) $2.280 (Primary)
    $2.350 (Major) $2.260 (Secondary)
    $2.40 (Extended) $2.20 (Critical)

    SPONSORED

    Trade XRP with up to 100x leverage and maximize your profit potential

    Trade Now on Defx

    Technical Indicator Analysis

    Current technical indicators paint a cautiously optimistic picture:

    • MACD: Gaining momentum in bullish territory
    • RSI: Above 50, indicating positive momentum
    • Moving Averages: Price testing 100-hourly SMA

    Potential Scenarios

    Two primary scenarios are emerging for XRP’s short-term price action:

    Bullish Scenario

    • Break above $2.350 could trigger move to $2.40
    • Further upside potential toward $2.450
    • Ultimate target at $2.50 resistance

    Bearish Scenario

    • Failure to clear $2.320 may trigger decline
    • Initial support at $2.280 crucial for bulls
    • Risk of drop to $2.20 if support breaks

    Frequently Asked Questions

    What is the key resistance level for XRP?

    The key resistance level for XRP is currently at $2.350, with additional resistance at $2.3250 and $2.40.

    Where is XRP’s strongest support level?

    XRP’s strongest support level is at $2.220, with additional support levels at $2.280 and $2.260.

    Traders should maintain strict risk management practices and monitor these key levels for potential trading opportunities. The coming hours will be crucial in determining whether XRP can maintain its recovery momentum and break above the critical $2.35 resistance level.

  • Dogecoin Price Eyes $0.25 as Inverse H&S Pattern Forms

    Dogecoin Price Eyes $0.25 as Inverse H&S Pattern Forms

    Dogecoin (DOGE) is showing promising signs of a potential trend reversal, with technical analysis revealing a bullish inverse head and shoulders pattern that could propel the popular meme coin toward significant resistance levels. Recent analysis suggesting a potential surge to $12 adds broader context to this developing technical setup.

    Technical Analysis Points to Bullish Formation

    Renowned crypto analyst Klejdi Cuni has identified a promising inverse head and shoulders pattern on DOGE’s short-term chart. This classical technical formation is widely recognized as a reliable indicator of trend reversals, particularly when accompanied by strong volume confirmation.

    Key technical levels to watch:

    • Neckline resistance: Current major barrier
    • First target: $0.2390
    • Secondary target: $0.2500

    Volume Analysis and Pattern Confirmation

    The validity of this pattern hinges on several critical factors:

    • Volume confirmation during breakout attempts
    • Clean break above the neckline resistance
    • Sustained momentum post-breakout

    SPONSORED

    Trade DOGE with up to 100x leverage on perpetual contracts

    Trade Now on Defx

    Market Implications and Trading Strategy

    A successful breakout could trigger several key developments:

    • Increased buying pressure from momentum traders
    • Potential short squeeze scenario
    • Renewed retail interest in DOGE

    Frequently Asked Questions

    What is an inverse head and shoulders pattern?

    A bullish chart formation consisting of three troughs, with the middle one (head) being deeper than the other two (shoulders). It typically signals the end of a downtrend.

    What are the key resistance levels for Dogecoin?

    The immediate resistance lies at $0.2390, followed by a more significant barrier at $0.2500.

    How reliable is this pattern for price prediction?

    While historical data shows roughly 75% success rate for this pattern, traders should always use additional indicators and proper risk management.

    Traders should maintain careful position sizing and implement appropriate stop-loss orders, as technical patterns can fail despite promising setups.

  • XRP Price Eyes $2.92 Breakout as Key Support Level Holds Strong

    XRP Price Eyes $2.92 Breakout as Key Support Level Holds Strong

    XRP continues to demonstrate remarkable strength in the crypto market, maintaining crucial support at $2.00 despite recent market turbulence. Following earlier concerns about a potential 15% drop, the digital asset has instead formed a bullish channel structure that suggests significant upside potential.

    Technical Analysis: XRP’s Bullish Channel Formation

    Renowned crypto analyst VIPROSE has identified a compelling technical pattern on XRP’s price chart. The cryptocurrency is currently trading within an ascending channel, with particular emphasis on the critical 0.618 Fibonacci level serving as midline support. This level has historically acted as a springboard for substantial price rallies.

    SPONSORED

    Trade XRP with up to 100x leverage and maximize your profit potential

    Trade Now on Defx

    Key Support and Resistance Levels

    Current technical indicators highlight several crucial price levels:

    • Strong support: $2.18-$2.22 (aligned with 0.618 and 0.786 Fibonacci levels)
    • Primary resistance: $2.40
    • Target breakout level: $2.92

    Volume Analysis and Market Sentiment

    Trading volume patterns suggest accumulation at current levels, with bulls maintaining control above the $2.00 support zone. The market structure indicates a potential 20% upward movement, contingent on maintaining current support levels.

    Price Targets and Projections

    Based on the channel formation and Fibonacci projections, analysts anticipate:

    • Initial target: 10% move upon trend confirmation
    • Secondary target: $2.92 (representing a 20% increase)
    • Long-term potential: New all-time highs if current support holds

    FAQ Section

    What is the key support level for XRP right now?

    The critical support zone lies between $2.18-$2.22, aligned with important Fibonacci levels.

    What is the next major resistance level?

    The immediate resistance level is at $2.40, which needs to be cleared for further upside movement.

    What is the projected price target for XRP?

    Based on current technical analysis, the immediate price target is $2.92, representing a potential 20% increase from current levels.

    Traders should maintain careful position management and watch for volume confirmation of any breakout moves. As always, proper risk management is essential in volatile crypto markets.

  • eToro Expands US Crypto Offerings with 12 New Tokens Amid Regulatory Shift

    eToro Expands US Crypto Offerings with 12 New Tokens Amid Regulatory Shift

    In a significant expansion of its U.S. cryptocurrency services, leading trading platform eToro has announced the addition of 12 digital tokens to its American offering. This strategic move comes in the wake of a recent SEC settlement and amid the platform’s renewed push for an IPO, signaling a broader shift in the U.S. crypto regulatory landscape.

    eToro’s Strategic U.S. Market Expansion

    The platform’s decision to reintroduce previously delisted tokens reflects the changing regulatory environment following recent shifts in U.S. crypto policy. This expansion marks a significant milestone in eToro’s U.S. operations and demonstrates growing confidence in the regulatory framework.

    SPONSORED

    Trade with confidence using up to 100x leverage on perpetual contracts

    Trade Now on Defx

    Impact on U.S. Crypto Trading Landscape

    The reintroduction of these tokens comes at a crucial time for the U.S. cryptocurrency market. With eToro’s enhanced offering, American investors gain access to a broader range of digital assets, potentially increasing market liquidity and trading options.

    Regulatory Compliance and Future Outlook

    eToro’s successful navigation of regulatory requirements and SEC settlement demonstrates the platform’s commitment to compliance while expanding its services. This development could set a precedent for other trading platforms looking to expand their U.S. operations.

    FAQ Section

    What tokens has eToro added to its U.S. platform?

    The specific list of 12 tokens will be announced by eToro in the coming days.

    How does this affect U.S. crypto traders?

    U.S. traders will have access to a wider range of cryptocurrency trading options through a regulated platform.

    What are the implications for eToro’s IPO plans?

    This expansion suggests increased confidence in eToro’s U.S. market position, potentially strengthening its IPO prospects.