Market Sees Pullback After Recent Highs, Key Buying and Selling Signals Emerge
The cryptocurrency market is undergoing a notable correction following its recent highs, with major tokens like Bitcoin and Ethereum retreating from peak levels amid increased volatility and macroeconomic uncertainty.
Market Highlights:
$BTC has pulled back to around $106,000, down from recent highs. The correction is largely due to profit-taking and a wave of liquidations triggered by high leverage in the market.
$ETH is also under pressure, currently trading near $2,640, with similar trends in investor behavior and market positioning.
Key Factors Behind the Correction:
Profit-Taking: After a strong bullish run, many traders are locking in gains.
High Leverage: Recent liquidations have cascaded across exchanges, particularly affecting altcoins and derivatives markets.
Macroeconomic Concerns: Uncertainty surrounding U.S. Treasury yields and global trade tensions has contributed to a risk-off sentiment.
Top Coins to Watch:
1. Bitcoin ($BTC )
Buy Signal: If $BTC holds above $105,000 with increasing volume.
Sell Signal: Breakdown below $102,000 could signal deeper correction.
2. Ethereum ($ETH)
Buy Signal: Accumulation zone between $2,600–$2,650.
Sell Signal: Drop below $2,500 may trigger further downside.
3. Solana ($SOL ) and Avalanche ($AVAX ) continue to show resilience in the layer-1 space, with strong on-chain activity and investor interest.
$SOL Buy Zone: Around $170.
$AVAX Buy Zone: Near $36.
Investor Sentiment:
Despite the correction, long-term sentiment remains cautiously bullish, with institutional interest still strong. Analysts suggest monitoring support levels and volume trends closely before making new entries.
Outlook:
Short-term volatility is likely to continue. Traders are advised to maintain tight risk management and focus on quality assets with strong fundamentals and active ecosystems.
