Altcoin Market Update #113

Hello and welcome back to the Rekt Capital Newsletter

In today’s edition, the following cryptocurrencies will be analysed & discussed:

• Chainlink (LINK)
• Ethereum (ETH)
• Aerodrome Finance (AERO)
• Pendle (PENDLE)
• Ethena (ENA)

But before we dive in, this Friday I’ll chart your Altcoin picks in an exclusive subscriber-only TA newsletter and will cover as many as I can

So if you’d like to have an Altcoin charted, feel free to share max. two TA requests each in the comments below.

I’ll chart the Altcoins that get mentioned and ‘Liked’ the most

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Let's dive in to today's Altcoin Market Update.

Chainlink - LINK/USDT

Right now, LINK is trying to break back into the $23.86–$34 range (purple-purple).

Historically, this level has been a key support and successful retests here have enabled rallies to the Range High around $34.

Continued stability at ~$23.86 is important, though volatility below this level can occur as part of a volatile retesting process.

A Monthly Close purple above would position LINK for continuation, but failure to reclaim this level on the higher timeframes could see price revisit $19.41.

That ~$19.41 level has often acted as a volatile retest zone in bullish cycles, serving as a base for successful reversals, most prominently in mid-2021 (orange circle).

So LINK’s path now comes down to these two levels: reclaim $23.86 for another attempt higher, or dip into $19.41 for a deeper, more volatile retest.

Ethereum - ETH/USD

Ethereum is consolidating between $3,762 support and $4,631 resistance.

A dip towards ~$3,762 remains possible, as this level has acted as a major point of rejection in the past.

Yes, price has already wicked down into this area, prominently retesting the old Downtrending resistance (green), but this Downtrend features a confluent demand zone with the Macro Range Low of $3.7k, which wasn't technically retested.

Should Ethereum revisit this Macro Range Low area again, a retest of black would still register as a Higher Low, preserving the structure.

Within this Macro Range resides the Weekly CME Gap between ~$4,092–$4,261 which has already been filled:

However, with it being still early in the week, further volatile retesting into this gap cannot be ruled out; it's difficult to measure how volatile a downside wick will be, how fervent the emotional reaction in the market will be around the CME Gap region.

Overall, Ethereum is likely to maintain this Macro Range as a Re-Accumulation structure.

Price stability around the CME Gap and even closer to the Range Low would allow the market to absorb volatility and prepare price for future trend continuation.