Sponsored by

Two assets. Two completely different chart stories this week.

BTC is building on the breakout I flagged on Friday. The structure is the strongest it's been since the bull run started losing momentum months ago.

ETH is sitting at the most critical level it has faced in weeks. One direction confirms a bullish continuation. The other confirms a reversal pattern that has significant downside implications.

Let me show you exactly what each chart is saying.

Current: 78.5k

Cast your mind back to two months ago. BTC was stuck in a box between 65k and 75k. Multiple failed attempts to break above the ceiling. Weeks of frustrating, directionless price action.

That box is firmly in the rearview mirror.

BTC has now been trading above 75k for several days. The ascending channel from the February lows is intact. Price is making higher lows within the channel. The internal step-up trendline visible on the daily chart shows buyers consistently defending higher levels.

78.3k is the immediate support floor below current price. BTC has held above it across multiple daily closes now. That's price acceptance at a new level. Not a spike and reversal. Genuine holding.

80.6k is the resistance directly above. That's the macro structure break level I've been referencing since early this year. A weekly close above 80.6k changes the long-term picture from macro downtrend to confirmed recovery.

We are 2k away from it.

The picture has shifted. BTC is no longer a chart I'm watching from a distance. It's a chart where the setup is forming and the trigger is getting close.

What I need to see: 78.3k holding as support on any pullback this week. If BTC pulls back to 78.3k and bounces with conviction, that level becomes the confirmed new floor and 80.6k becomes the next realistic target this week.

What would change my read: A daily close back below 75k. That would suggest the breakout was not genuine and would push me back to standby mode.

Take note, im still long term bearish after hitting 80k. We are finding lower prices during this bear market. Invalidation is a higher low, with price closing above 97k

If You Have $50k+ on Coinbase, Read This

If you're a digital asset investor with over $50k on Coinbase, this might ruin your day.

Every time you buy Bitcoin, Coinbase takes a cut. Every time you sell, Coinbase takes a cut. When you panic sell at the bottom — cut. When you FOMO buy at the top — cut.

They don't care if digital assets go to the moon or zero. They collect either way.

Visa made $36 billion last year being a middleman. Mastercard made $28 billion. PayPal made $30 billion. 

Nearly $100 billion from three companies that don't produce anything — they just sit between two parties and collect.

The middleman always wins. 

Tan Gera, CFA Charterholder and ex-Wall Street banker, built the ABN System — a three-phase wealth generating system inspired by BlackRock and used by 4,000+ investors. 

At it’s core is fee generation. 

Up market, down market, sideways — you collect regardless.

For educational purposes only. Results will vary. DM Intelligence LLC is not liable for losses. 

ETH: The Pattern That Matters Most Right Now

Current: 2,365

I flagged the head and shoulders pattern on ETH on Friday. This morning it is more clearly defined.

The pattern has three components:

Left shoulder: formed in late March around the 2,380 area before the push to 2,467.

Head: the highest peak at 2,467.

Right shoulder: forming right now at current price, approximately 2,365 to 2,380. Crucially, the right shoulder is forming at a lower level than the head. That's exactly how the pattern is supposed to develop.

The neckline, the level that confirms the pattern on a break, sits at 2,270. This level is visible as the dashed yellow line on the daily chart.

Now here's what I want to be clear about tho.

This pattern is not confirmed.

ETH still has the ascending channel from the February lows intact as the broader structure. The neckline has not broken. The right shoulder could fail and ETH could push back above 2,467, which would completely invalidate the pattern.

The two possible outcomes this week are very different from each other.

If ETH breaks back above 2,467: The head and shoulders is invalidated. Buyers absorbed all the selling and pushed through the head level. In that scenario the next target is 2,625, the macro structure break for ETH.

If ETH breaks below 2,270 on a daily close: The neckline is broken and the pattern is confirmed. The measured move from a head and shoulders of this size projects to approximately 2,070 from the neckline break.

Everything sits between those two outcomes right now. Watch 2,270 this week.

The Divergence Story

Here's what makes this week particularly interesting.

BTC is in an uptrend and approaching a macro structure break.

ETH is forming a potential reversal pattern.

Both happening at the same time is the ETH/BTC divergence story playing out in USD price terms. I've been covering this in the indicator issues for weeks. ETH/BTC forming lower highs while BTC charges toward 80k is exactly what that divergence looks like on the individual USD charts.

If BTC closes above 80.6k while ETH breaks below 2,270, that divergence becomes as explicit as it can get. Capital is moving from ETH into BTC. That environment does not favour altcoin exposure.

My overall position is shifting from standby to alert. BTC is getting close to the deployment trigger. ETH needs to resolve its pattern before I have any clarity on ETH exposure.

What Premium Members Get This Week

Free gives you the picture. Premium gives you the exact game plan.

Inside premium today:

  • The exact BTC level and candle formation that triggers Tranche 1 deployment this week

  • ETH's measured move target in detail and what a neckline break means for my ETH allocation

  • How I handle the divergence scenario where BTC confirms bullish and ETH confirms bearish simultaneously

  • The ascending channel parameters for BTC this week and where the lower rail sits as a defined stop level

  • My updated macro signal tracker and how many indicators have now aligned

Join 9-5 Traders Premium at www.whop.com/digitalvault1

Full scenario maps. Exact levels. Real-time Discord updates.

Victor

Keep Reading