After a continuous strong rise, the market has finally welcomed a rational breather.


After the CPI data release in June, although the annual inflation rate of 2.4% was below the market expectation of 2.5%, the crypto market did not cheer but instead showed a typical sentiment of 'buying the expectation, selling the fact': Bitcoin slightly fell by 1.2%, trading at $107,369; Ethereum dropped by 0.96%, currently trading at $2,746.


Does this mean the market is about to reverse into a bear? From the chart, the answer is clear: it does not.



I. Bitcoin: Technical charts still support a medium-term bullish logic.


Although Bitcoin has not stabilized at the $110,000 key level, from the daily chart structure, it is still operating within the upward channel formed since mid-May.


  • EMA50 is significantly above EMA200: short-term prices are above long-term prices, which is a typical bullish arrangement;


  • The Relative Strength Index (RSI) is at 55: not yet overbought, indicating that there is still ample room for upward movement;


  • ADX trend strength is 17: Although it is not a strong upward phase, it is also a healthy performance during normal consolidation;


  • The key support area is at $103,000: This is the lower bound of the channel. If it holds, there is still a chance to test the previous high.



It is worth mentioning that the Mlion.ai on-chain data board shows that the current Bitcoin holding addresses in profit are close to historical highs. Although there is short-term selling pressure, it has not triggered large-scale transfers or liquidation alerts on-chain, indicating that investors still maintain a positive attitude towards the future market.



II. Ethereum: The trend is slightly stronger than Bitcoin, with greater potential elasticity.


Ethereum's performance is even more noteworthy. From technical structure to market sentiment, it shows stronger resilience than Bitcoin:


  • Breakthrough of the horizontal channel between $2,400–$2,700 and confirm support on a pullback;


  • RSI is at 62, approaching but not reaching overbought levels, still allowing room for a technical rebound;


  • ADX as high as 25 indicates that the current trend strength is higher than Bitcoin;


  • The key resistance above is at $2,850; breaking through this will face the psychological level of $3,000.



More importantly, Ethereum's staking rate has hit a new high, and expectations for ETH spot staking ETFs are becoming increasingly clear, as both funding and policy are building a new value anchoring system.


According to the Mlion.ai AI research report simulation model, if the ETH price can successfully break through the $2,850 resistance zone and stabilize within 72 hours, the probability of entering the $3,000–$3,300 range is as high as 71.4%. From the holding behavior of on-chain whales, some large whales have quietly built positions near $2,700, preparing for the next breakthrough.



III. A cooling of sentiment does not mean the end of the trend.


It is worth noting that the 'Fear and Greed Index' in the crypto market has dropped from 72 to 71, a nearly negligible pullback. But this reflects an important signal: the market is trading news calmly and is no longer blindly impulsive in entering.


This 'dulling' of sentiment often occurs in the middle of a bull market and is one of the signs of a healthy and sustained trend. Institutional investors prefer to enter during this state rather than in blindly euphoric sentiment.








IV. How to use Mlion.ai to gain leading insights?


Such 'high position pullbacks not representing trend reversals' are best combined with Mlion.ai's AI charting tools and market sentiment analysis dashboards to quickly gain insights into changes in long and short forces:


  • Track the dynamics of large on-chain transactions, staking changes, and social media sentiment in the data dashboard;


  • Use price prediction models to observe the triggering probabilities of support and resistance levels;


  • Through the AI news interpretation module, capture the impact of macro data like CPI and PPI on the market's short-term rhythm in real-time.



Facing the 'uncertainty' of the pullback period, gaining insights into the emotional turning point ahead of time is the key to capturing the next market breakout point.



Conclusion:


A market pullback does not mean the trend has ended. From the chart structure, on-chain data, and investor sentiment, Bitcoin and Ethereum are still in a typical upward channel. Short-term consolidation is part of a healthy trend and not a reason for panic selling.


Instead of blindly waiting for external stimuli, it is better to use professional tools like Mlion.ai to deeply explore the long-short evolution logic behind the technical structure and make more rational decisions than those based on emotions.


Disclaimer: The above content is for information sharing only and does not constitute any investment advice. Investment should be cautious, and risks are borne by the investor.