Bitcoin versus Ethereum: The time for a balance of power has come

In this new weekend analysis, we will update our previous crypto weekend update, which will allow us to identify the technical thresholds to watch over the next few weeks on cryptocurrencies. Once a month of July has started, will the market stop moving in a range to resume a precise direction? Without further ado, let’s head straight to TradingView to start this weekend’s crypto spot!

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Market cap needs to break through resistance to push higher

The price of the total market capitalization of cryptocurrencies on the 1D unit of time (Bitcoin, Ethereum and altcoins).

Since last week, a small update of the charts has been made with more precise levels, as the weekly scale only allows to have a global vision on the tracks. Here it is clear the price of cryptocurrencies has developed for several weeks below a technical threshold at 1.16 trillion dollars.

As long as this level acts as resistance, it will be difficult for the cryptocurrency market to continue its upward momentum that began in June. Currently in a range phase, a clear rejection to the current level with a move below $1.063 billion would be a negative sign, leading us to consider a return of the capitalization to the June low of $974 billion. .

Altcoins are still dominated by sellers

Graph representing on a daily unit of time the situation of the price of cryptocurrencies, more precisely altcoins, in terms of capitalization.
The price of the total market capitalization of cryptocurrencies on the 1D unit of time (Bitcoin and Ethereum excluded).

For several months we have noticed it altcoins are developing in a technical range between 290 and 400 billion dollars. After missing the $337 billion range pivot in late May, leading to a sharp drop-off support, altcoins had a chance to bounce back, but are now trading below the pivot that acts as a resistance.

THAT altcoin prices being below this technical threshold, this shows buyers’ lack of interest in this asset class at the moment. However, if caps break above this pivot, it will be quite a bullish sign that will see more altcoins register nice gains.

In this context, a return to $400 billion is possible. However, we are not there, which we will see by looking at the ETH/BTC pair. Around bitcoin dominanceSince the situation is identical to the week, it is not really relevant to talk about it again, since the goals and theses that were stated last week have not developed.

Ethereum under resistance against bitcoin, a bad sign for cryptocurrencies

Graph which, on a daily unit of time, represents the situation of ethereum in relation to bitcoin, which makes it possible to determine the relationship between the two largest assets on the market.
Ethereum price against Bitcoin over the unit of time 1W

Since last week, Ethereum continued to maintain the bearish momentum in which it has developed for several weeks. Currently below a technical level of $0.062, Ethereum is underperforming the king of cryptocurrencies. Having built a resistance (red zone) over the past few days, ETH will need to overcome it as soon as possible if it wants to limit the downward momentum.

When ETH is in trouble against the king of cryptocurrencies, this quite generally results in a period of price lateralization (which is currently the case). As a result, altcoins do not have a bullish “narrative” in the sense that when Ethereum performs better, it temporarily takes bitcoin’s place to lead the market with good periods of increases. For now, until the red zone is crossed on the upside, it will be difficult to imagine a rebound of altcoins at higher levels.

DeFI cryptocurrencies are still below a significant technical zone

The graph represents the capitalization of all cryptocurrencies from decentralized finance on a daily time scale.
Decentralized finance cryptocurrency capitalization rate over time unit 1D

For capitalization of Challenge, it is clear that the situation is identical to altcoins, as the price is below a major resistance zone (horizontal and oblique resistance). For bullish momentum to really be triggered, in addition to the need for ETH to be in a situation of outperformance, altcoins will need to break free from their pivot point, which will allow the capitalization of DeFI to break up into the zone . current resistance.

Here we are at the end of this weekend’s crypto spot. It is clear that since last week, ETH continues its underperformance, the dominance of bitcoin is still in a situation of strength, and altcoins are under a pivot. The market is clearly waiting, the perfect example of the momentum we expected from the summer months earlier. For things to progress, in addition to maintaining bitcoin on its supports, ethereum must perform well, which would allow the rest of the market to rise.

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