Potential Reversal Signals for Bitcoin, Ethereum, and Solana: Strong High-Time-Frame Structures

In the dynamic world of cryptocurrency, Bitcoin, Ethereum, and Solana are starting to show signs that suggest a possible high-time-frame reversal. After enduring several weeks of price compression and market volatility, these leading cryptocurrencies are beginning to stabilize at critical structural support levels. Notably, they are all exhibiting similar recovery patterns concurrently.

Key Takeaways

Bitcoin, Ethereum, and Solana show signs of a possible high-time-frame reversal.
The formation of bullish engulfing candles indicates a potential shift in market sentiment.
A key whale trader is significantly impacting positions across major cryptocurrencies.
Chainflip Labs reports strong volume demand and continued growth in partnerships.

Bitcoin

Recently, investor and trader MacroCRG noted that all three cryptocurrencies printed a bullish engulfing candle yesterday—an indicator that buyers are returning to the market with intent.

Major Cryptocurrencies Indicate a Market Shift

When observing the weekly charts, we can see that these assets are entering the early phases of an inside-week breakout, paired with a false breakdown. MacroCRG mentioned that this pattern previously appeared on the S&P 500 futures chart back in April, where a breakdown of the inside-week structure ultimately led to a breakout from which the market did not look back after the bulls secured a weekly close.

For this proposed breakout to materialize, it is crucial that these assets close the week above the key levels indicated on the charts. However, there is still significant work required before the weekly closing confirms any breakout, and the bulls must maintain their momentum to dispel any uncertainty.

ProMint, the founder of the ProMintClub investment community, has observed a notable whale trader making substantial long positions across the cryptocurrency market. This trader is currently atop the Lighter leaderboard, boasting over $64 million in profit and loss, with an 83% long bias. Their Lighter account alone has generated a profit and loss of over $8 million, which are impressive figures compared to other accounts on the leaderboard.

Bitcoin

Source: Chart from ProMint on X

Data indicates that this trader has contributed approximately $6 million in capital through five deposits into their Lighter account. Their positions cover BTC, ETH, SOL, AAVE, and smaller tokens like PAXG and PUMP, consistently entering the market at optimal moments and capitalizing on upward momentum.

Despite funding costs shifting heavily into negative territory, this trader remains undeterred. At this moment, their account stands as the most successful on Lighter, supported by a significant capital commitment and strategic conviction.

Growth of Partnerships Fuels Ongoing Volume Demand

According to Chainflip Labs, November produced one of the best performance months in the protocol's history, achieving over $583 million in swap volume, marking it as the second-best month ever for the network.

The demand for swaps involving BTC, ETH, and SOL has remained strong, and an increasing number of partners are routing transactions through the network. This trend suggests that Chainflip will continue to expand its reach and capabilities.

Bitcoin
BTC trading at $92,987 on the 1D chart | Source: BTCUSDT on Tradingview.com