Bitcoin Market Update: Consolidation Continues Amid Broader Market Softness

Bitcoin experienced a bearish trading session yesterday, but from our perspective, it appears more like an ongoing consolidation phase within the established range, rather than a decisive move in any particular direction. This dip has pulled the broader crypto market down alongside it, though we don’t anticipate significant volatility in the short term.

BTC has been trading within a tight range for the past few weeks, and despite occasional pullbacks, we maintain our view that the medium- to long-term bullish structure remains intact. One of the macro factors supporting this thesis is the expectation of a weakening U.S. dollar over the coming months. A softer dollar typically provides tailwinds for risk assets like Bitcoin, which helps explain the growing demand for longer-dated call options targeting $100K strikes toward the end of this year and into early next year.

For short-term traders, this consolidation phase requires patience and precision. Key support levels to watch are at $82K and $78K, while resistance zones lie at $85K and $88K. Depending on your market bias, these levels can help shape your entry and exit points.

As long as this range holds, our recommendation for active traders is to continue playing the range with disciplined risk management. Breakouts will come—but until then, it’s all about navigating the chop.

Ethereum has faced significant downside pressure over the past 24 hours, with prices slipping below the key $1,600 level. As of this writing, ETH continues to trade beneath that threshold, signaling persistent weakness and a lack of bullish momentum in the near term.

There is some technical support in the $1,480 region, which may act as a temporary floor. However, this support is fragile, especially if Bitcoin experiences further downside. In such a scenario, ETH is likely to follow suit, potentially breaking lower and testing deeper support levels.

Over the past few months, Ethereum has struggled to maintain a clear bullish narrative. Despite periods of stability, there’s been a visible absence of sustained demand or fresh catalysts to drive a meaningful recovery. Even long-term holders who remain in the market appear to be doing so out of obligation rather than conviction—many of them likely holding from higher levels.

If ETH does begin to move upward, these holders could look to exit positions to recover losses or lock in gains, creating additional sell pressure and making it harder for bulls to regain control. Until a new driver for upside emerges—be it fundamental or macro-related—we expect Ethereum to remain in a subdued, vulnerable state.