Market Decline Driven by Whale Selling Indicates Short-Term Support Tests for Bitcoin and Ethereum

The cryptocurrency market is currently experiencing a short-term decline, driven by active selling from large holders, known as whales, which has intensified volatility for Bitcoin and Ethereum. Despite this downward trend, Ethereum (ETH) shows signs of trying to stay within an upward trading channel, even as it tests critical support levels.

Over the next 1 to 3 days, I anticipate that Bitcoin (BTC) will face moderate downward pressure, potentially hovering around the $115,000 level, although short-term rebounds could occur. Similarly, Ethereum (ETH) is expected to test support around $3,400, with a possible recovery towards $3,800 to $4,000 if market accumulation volumes remain steady. This suggests cautious optimism in the market, emphasizing the importance of support levels and market sentiment analysis for trading decisions.

Market sentiment, characterized by a Fear & Greed index at 65, indicates a moderately bullish sentiment despite recent declines. The top-performing cryptocurrencies like LEO, BSC-USD, and USDTB have seen marginal gains, whereas traditional indices and other tokens like SPX, ENA, and CRV have experienced significant drops, highlighting the ongoing market turbulence.