ā© TL;DR

Bitcoin broke the neckline of a Head & Shoulders pattern, pulling down the rest of the Crypto market.

šŸ“¬ In This Issue

  • Web3 Headlines – Markets are down
  • Fear & Greed Index – 70
  • Market Moves – Bearish for Top 100
  • Expert Analysis – Technical Roundup, Market Mavericks, & DCA Live
  • Dates To Watch – June unlocks and Retail Sales in US
  • Top Tweets & Crypto Memes

šŸ’Ž Sponsored by

This issue is sponsored by Milk Road, which is a much better newsletter than this one.

Subscribe to Milk Road here, and get their daily memes and in-depth analysis.

šŸ—žļø Web3 Headlines

  • Bitcoin Pullback to $66K Triggers $250M in Crypto Liquidations – Coindesk
  • US spot Bitcoin ETFs see $200 million in net outflows ahead of FOMC meeting – The Block
  • Bitcoin Pullback Does Little Damage To Bullish Chart Bias – Verified Investing
  • Ether ETFs Should Be Fully Approved by September, Says SEC Chair Gensler – Coindesk
  • Curve founder repays 93% of $10M bad debt stemming from liquidation – CoinTelegraph

šŸ˜±&šŸ’ø Fear & Greed Index

The Fear & Greed Index, according to Milk Road, measures the mood of the crypto market.

Subscribe to their excellent newsletter for daily crypto updates.

šŸ“ˆ Market Moves

This week was bearish for the Top 100 tokens.

  • No coins reached a 52-week high, but 33 reached a 52-week low.
  • CRV lost 38% after founder HHH was liquidated from many of his positions.
  • Swarm $BZZ was the winner this week, gaining 63%.

Bitcoin has created a classic Head & Shoulders pattern on the daily timeframe.

If it confirms below the neckline, we could see a pullback to $60,500 – the same distance from the peak of the Head to the neckline from the breakdown.

This is not actionable until it confirms, when a candle closes lower than the first candle closing below the breakdown.

Given the institutional interest and price manipulation, this could be turned around by market makers, so I won’t be entering a short, or exiting my spot positions, until I see confirmation on the daily timeframe.

However, I could also see those who manipulate the markets wanting a lower entry for large amounts of institutional capital – so the price could likely be manipulated either way. What the chart tells us is this is a big bearish signal to be monitored.

There is also a Bearish Divergence on the RSI, which isn’t actionable by itself, but does add a layer of confluence.

šŸ§ Expert Analysis

[13:26] Technical Roundup with Crypto Cred

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TL;DW Takeaways:

šŸ“‰ BTC Range Strategy: Focus trades at the $60k and $70k extremities; avoid the middle ($65k) for better opportunities.

šŸ” Key BTC Levels: Watch the midpoint around $65k for strong market signals; otherwise, wait for moves near $60k or $70k.

šŸ“Š ETH ETF Play: Consider buying ETH before ETF approval if you expect a positive outcome, but brace for a potential drop below $3600.

āš–ļø Trading Balance: Prefer extreme price levels over mid-range for trades to capitalize on market inefficiencies.

šŸš« Avoid Noise: Steer clear of low time-frame, impulsive trades during consolidations; wait for clear breakouts for safer bets.

[1:08:04] DCA Live with CTO Larsson, InvestAnswers, and Rekt Mando

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TL;DW Takeaways:

šŸ“‰ Monitor Mondays: Bitcoin’s best buy day remains Monday. Keep an eye on price levels around $69k for potential entry points or further stagnation.

šŸ’¹ Watch Basis Trade: Be aware of hedge funds’ basis trade (buying ETFs, shorting futures). This can mislead apparent inflows and affect market dynamics.

šŸ” Track Rate Changes: Stay alert to rate cuts and macroeconomic shifts, especially in the US and Europe, as they can impact Bitcoin’s price and investor sentiment.

šŸš€ Prepare for Breakouts: Watch for significant inflows or buyers. A price move above $72k could trigger short-covering and a rapid upward spike.

šŸŒ Altcoin Focus: Ethereum ETF news hasn’t spiked prices. Solana’s strong DEX volume could signal growth; consider opportunities in Solana over Ethereum for meme coin and DEX activities.

[30:48] Market Mavericks with Gareth Soloway, Scott Melker, and Mike McGlone

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TL;DW Takeaways:

šŸ“‰ Prepare for Deflation: Expect a deflationary trend similar to 1929; be cautious with long positions and consider hedging against downturns.

šŸ”„ Watch for FED Interventions: Stay alert for FED actions to counter deflation; anticipate potential liquidity injections that could stabilize or boost markets.

šŸ“Š Monitor Market Signals: Pay attention to historical cycles, commodity prices, and unemployment trends as indicators of market corrections.

šŸ’± Crypto Caution: Despite ETF inflows, Bitcoin is showing weakness; be wary of volatility and potential drops aligned with broader market corrections.

šŸ“ˆ Tech Stock Alert: The surge in tech stocks might be a bubble; evaluate fundamentals and be ready for a pullback if market exuberance wanes.

šŸ‘€ Dates To Watch

  • 14 June – $73m worth of $STRK is unlocking, roughly 5% of the total supply
  • 17 June – $CHZ Chiliz Dragon8 hard fork
  • 19 June – US Retail Sales m/m released, UK CPI y/y
  • 25 June – Stader will burn 20% of $SD supply, valued at $30 million

š• Crypto Twitter

Source

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šŸ˜ Crypto Memes

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ā Investment Quote

“Knowing what you don’t know is more useful than being brilliant.”

ā€” Charlie Munger

āš ļø Disclaimer

This is not financial advice, and the author, Caelan Huntress, is not a financial advisor, he’s just a dude on the internet. Do your own research, wipe your own nose, and read this newsletter for education and entertainment purposes only.

šŸ‘‹ Until Next Week

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  • Caelan Huntress