BITCOIN CRASH: The Reset Has Started (Prepare Now)!!! - Bitcoin News Today, Ethereum & Altcoins

📈 Progressive Summary

Overall Market Evaluation by Josh

Josh's current market evaluation is cautiously optimistic for the short term, anticipating a potential relief rally or sideways consolidation for Bitcoin and major altcoins. This is primarily driven by Bitcoin hitting significant support levels and flashing bullish divergences on shorter timeframes. However, he maintains a bearish long-term outlook, emphasizing that historical bearish patterns are still playing out and that this short-term relief is unlikely to signal a definitive market bottom or the start of a sustained uptrend. The overall sentiment remains that the larger trend is bearish, with potential for further downside after this short-term pause.

Key Points and Main Topics Discussed

• Bitcoin (BTC):
  • Fractal Repetition: Bitcoin's price action is continuing to mirror patterns observed in May 2022, particularly the failure of a breakout and subsequent drop.
  • Short-Term Relief Expected: Josh anticipates a slowdown in the bearish price action and a potential "slight little relief" or sideways consolidation within the next 1-2 weeks. This is not expected to be a strong bullish reversal but rather a temporary pause.
  • Daily RSI Oversold: The daily Bitcoin RSI has hit extreme oversold levels, a signal that historically has led to at least some form of bounce or sideways movement to reset the indicator.
  • Support Levels: Bitcoin is testing a significant support area between $74,000 and $76,000, which previously acted as resistance. A broader support zone is identified between $72,000 and $76,000 on the 3-day chart.
  • 3-Day Bullish Divergence (Forming): A bullish divergence is forming on the 3-day chart (lower price lows, higher RSI lows). This is not yet confirmed but, if it solidifies, could contribute to the expected short-term relief.
  • Liquidity Below: Significant liquidity is building below the current price around $72,000-$72,600, acting as a potential magnet for future price drops.
  • Long-Term Bearish Outlook: The weekly chart still shows a bearish super trend indicator and an unconfirmed massive bearish divergence, reinforcing the view that the larger trend remains bearish.
• Ethereum (ETH):
  • Crucial Support: ETH is running into a crucial area of support, identified as the golden pocket between $2,150 and $2,250 on the daily chart. This area previously provided support in June 2025.
  • Daily RSI Oversold: Similar to Bitcoin, the daily Ethereum RSI is extremely oversold, suggesting a potential for a short-term break from bearish price action in the coming days to weeks.
  • 3-Day Support Zone: On the 3-day chart, a significant support zone is located between $2,200 and $2,400.
  • Major Downside Target: If ETH breaks below $2,150-$2,200, the next major support area is between $1,500 and $1,600, which would represent a significant drop of approximately 27-28%. This could present a shorting opportunity.
  • Larger Trend Still Bearish: Despite the short-term oversold conditions, the larger trend for Ethereum remains bearish, with potential for further downside after the initial relief.
• XRP:
  • Repeating History: XRP's price action is described as repeating history from 2022, indicating a potential for a continued crash.
  • Weekly Bearish Divergence: The massive bearish divergence on the weekly XRP chart, warned about months ago, is still active.
  • Break Below $1.80: XRP has broken below the crucial $1.80 support level, which was the final significant support.
  • Next Support Targets: The initial target of $160 has been hit. The next significant support area is between $130 and $140. If $130 breaks, the next major target is around $0.90-$0.93.
  • Short-Term Relief Possible: A slight relief bounce or choppy sideways action is possible in the coming days due to oversold conditions on the daily RSI, similar to what was seen in October 2025.
  • Josh's Trading Position: Josh remains in his XRP short position. He has taken a small amount of profit (around $3,700 USDT realized profit) and reduced his position size from $100,000 to approximately $60,000-$61,000 USDT. He still holds around $4,000 USDT in unrealized profit.
  • Profit-Taking Strategy: He plans to take small profits at support levels ($130-$140, $0.90-$0.93) but not close the entire trade. He may add to his short position if a bounce provides a better entry.
• Solana (SOL):
  • Following BTC/ETH: Solana is mirroring the price action of Bitcoin and Ethereum.
  • Larger Trend Bearish: The larger trend for Solana remains bearish.
  • 2-Day RSI Oversold: The 2-day Solana RSI is oversold for the first time since March 2025, suggesting a potential for short-term relief.
  • Support Zone: Solana is testing major support between $95 and $100, based on previous lows from April 2025.
  • Short-Term Relief Expected: If Bitcoin and other major cryptocurrencies experience a short-term relief, Solana is likely to follow suit.
• Chainlink (LINK):
  • Testing Support: Chainlink is testing significant support between $9.50 and $10.
  • Potential Breakdown: A confirmed break below $9.50 could lead to a move towards $8-$8.50.
  • Major Head and Shoulders Risk: A breakdown below $8 could confirm a massive multi-year head and shoulders pattern, potentially leading to a crash towards $5-$5.50.
  • Shorting Opportunity: The potential breakdown presents a similar opportunity to an upside breakout, but for shorting.
• Bitcoin Dominance:
  • Neutral in Short Term: Bitcoin dominance is trading relatively sideways, indicating that altcoins are likely to perform similarly to Bitcoin on average, without a distinct altcoin season.
  • Short-Term Slight Bullish Move: In the very short term, Bitcoin dominance is showing a slight bullish move, suggesting altcoins might underperform Bitcoin slightly.

Important Insights

• Short-Term Relief vs. Long-Term Bearishness: The primary insight is the expectation of a short-term relief rally or consolidation in the coming days to weeks, driven by oversold conditions and forming bullish divergences. However, this is explicitly stated as not being the end of the bearish trend, with potential for further downside in the medium to long term.
• Repeat History is Key: Josh heavily emphasizes that current price action is repeating historical patterns, particularly from 2022, which should be a strong indicator of future price movements.
• Profitability in Downtrends: The video reiterates that significant profits can be made even in bearish markets through short positions, as demonstrated by Josh's XRP trade.
• Support Levels as Potential Bounce Zones: Identified support levels are crucial for determining short-term price action. Bounces from these levels, coupled with technical signals like RSI oversold conditions and divergences, are key indicators for short-term plays.
• Liquidity as a Driver: Liquidity pools below current price levels are highlighted as significant factors that can draw prices lower in the future.

Trading Opportunities and Positions

• XRP Short Position: Josh is actively in an XRP short position. He has taken some profits and reduced his position size but remains in the trade. His target levels for further profit-taking and potential re-entry are $130-$140 and $0.90-$0.93.
• Potential ETH Short: If Ethereum breaks below $2,150-$2,200, it presents a potential shorting opportunity towards the $1,500-$1,600 support zone.
• Potential LINK Short: A confirmed breakdown below $9.50 for Chainlink could lead to a shorting opportunity towards $8-$8.50, with a more significant downside target if $8 breaks.

Progressive Summary and Changes from Previous Analysis

• Shift in Short-Term Outlook: This