Bitcoin (BTC) Price Suppression Continues Despite Accumulation Signs From Institutional Investors

Bitcoin (BTC) continues to experience what appears to be price suppression, despite clear signs of accumulation by institutional investors and large trading groups.

Bitcoin price showed signs of suppression on Monday, despite evidence of institutional accumulation. The price briefly crossed the first resistance fan line but was met with resistance at $99K, leading to a lower low.

However, the 4-hour RSI painted a higher low, indicating potential underlying strength. On-Balance Volume (OBV) remained at support but continued to trend downward.

Daily Chart Reflects Strong Hands Holding BTC

The daily chart for BTC showed a market where whales appeared to be attempting to drive the price lower, yet Bitcoin continued to hold its ground. This ongoing grind downward was affecting altcoins more significantly, making them more susceptible to sell-offs during periods of stagnation.

No clear test on daily RSI had occurred yet, making it a key technical indicator to watch for any sign of a turnaround.

Ethereum Faces Resistance But Holds Key Support Levels

Ethereum price was also met with resistance on Monday, both in terms of price action and OBV. However, the 4-hour RSI suggested that ETH may be preparing for a move higher.

ETH retraced to TBO Support on the 4-hour chart, which was encouraging, although confirmation of a stronger trend was still needed. Importantly, ETH had not made a lower low on the daily time frame, reinforcing the case that it may be in the process of forming a bottom.

Market Sentiment Shaken, But Downtrend Feels Exhausted

Despite holding onto profits from earlier dip buys, the market’s continued grind lower was frustrating for traders. The extended bearish movement seemed more like forced selling than organic weakness. ETH, in particular, remained extremely oversold, now sitting 13% below its daily TBO Fast Line.

A relief rally was long overdue, but the lack of positive catalysts from Ethereum’s leadership had not helped investor confidence.

Stablecoin Dominance Shows Weakness, but BTC Dominance Continues Rising

Stablecoin dominance recently flashed a bearish divergence signal at TBO Resistance, signaling a potential reversal lower. However, daily RSI for stablecoin dominance made a new high on Sunday, suggesting that fear remained present in the market.

Meanwhile, Bitcoin dominance (BTC.D) pushed higher, with daily RSI moving up to 82.56 and weekly RSI now firmly above 70. This suggested that BTC dominance may continue to rise, limiting the chances for a strong altcoin rally in the near term.

Altcoin Dominance Struggles to Recover

Top 10 Dominance continued to decline, with daily RSI now deeply oversold at 18.49. Historically, this had been a sign of further weakness rather than an immediate reversal. The 4-hour chart had yet to provide any indication of an imminent bounce.

OTHERS dominance, representing the broader altcoin market, also remained under pressure, with daily RSI closing at 20.35. While this was slightly above the January 28th low, it still reflected significant selling pressure.

Altcoin Market Cap Still Holding Despite Declining RSI

OTHERS market cap painted a lower daily RSI reading on Monday, but support levels were still holding. The broader altcoin market remained fragile, with slow, grinding losses discouraging bullish momentum.

However, BVOL7D, a key volatility indicator, was expected to turn around soon, potentially providing a catalyst for altcoin recovery.

Traditional Finance Markets Show No Signs of Weakness

There was no clear indication from TradFi markets that would justify the ongoing crypto weakness. In fact, major stock indices had a strong day, which undercut the idea that external macroeconomic fears were responsible for Bitcoin and altcoin declines. Given the broader market strength, the continued crypto sell-off looks more like a coordinated effort by large entities than a natural market reaction.

Sticking to the Plan in a Volatile Q1

Despite the ongoing volatility, the broader outlook remained intact. BTC is still expected to reach a new all-time high around $173K in November. Altcoins will follow Bitcoin’s lead, but the path remains rocky.

The first quarter of 2025 has proven to be far more turbulent than expected, but the long-term trend remains bullish.

For traders navigating this uncertainty, the five rules from The Better Traders Journal are more important than ever: