Bitcoin liquidations hit key support: what’s next for BTC, Ethereum, XRP, Solana and Chainlink?

Bitcoin has just flushed a major batch of downside liquidity, triggering fresh liquidations and pushing price back toward a crucial support zone. With U.S. stocks also cooling off after the recent SpaceX IPO hype, crypto is showing renewed short-term weakness. Here’s how that setup looks for Bitcoin, Ethereum, XRP, Solana and Chainlink over the coming days and weeks.

Macro backdrop: stock market cool-off weighs on crypto

Over the last few trading sessions, the U.S. stock market has started to cool after a strong run-up driven in part by SpaceX IPO excitement. That hype-driven push is now fading, and equities are showing short-term weakness.

Because crypto remains closely correlated with risk assets, this stock market pullback is likely to keep pressure on Bitcoin and altcoins in the near term. For more context on how this specific catalyst could matter, see how the SpaceX IPO could shake up Bitcoin, Ethereum, and altcoins.

Bitcoin: liquidity wiped out, key support ahead

Bitcoin has just broken back below a short-term support area and cleared a cluster of long liquidations that had built up underneath the price. This move was visible in the Bitcoin liquidation heat map, which showed heavy liquidity sitting just below recent price action.

Long-term structure: bullish divergence still building

On the weekly chart, Bitcoin is still printing a large bullish divergence: price has been making lower lows while the RSI has been making higher lows. This kind of signal last appeared near the end of the 2022 bear market and took weeks to confirm and months to fully play out.

That means the divergence is a longer-term bullish sign, but it does not prevent further short-term volatility or downside. Confirmation could come later this year or into next year if price stabilizes and momentum continues to improve.

Medium-term levels: $60k–$61k is critical

On the 3-day chart, Bitcoin recently bounced from oversold conditions and has been trying to stabilize above a major support zone around $60,000. The local low near $59,000, set roughly one to two weeks ago, is acting as an important reference point.

Current expectations are for choppy, sideways trading or mild relief as long as BTC holds above roughly $59,000 in the near term. The key support area to watch is:

• Support: $60,000–$61,000 (major confluence zone)
• Local low: around $59,000

If Bitcoin eventually breaks and confirms below $60,000–$59,000 and sets new lower lows, the next major downside target sits in the mid-$50,000s, with strong interest around $54,000.

Short-term price action: resistance and liquidation zones

On the 12-hour and 4-hour charts, the breakdown below $65,500–$66,000 flipped the short-term bias bearish. That zone had been a key line in the sand; once it failed, a further drop became likely.

Recent price action also saw BTC lose the breakout level of a previous W (double-bottom) pattern around $63,800. That invalidation opened the door to a move toward the next support cluster near $61,000.

Key short-term levels now are:

• Immediate support: $60,000–$61,000 (technical support + large liquidity)
• Short-term resistance: around $63,800 on any bounce

The liquidation heat map shows that the recent drop was driven by a large pocket of long liquidations around $63,300–$63,500. With that liquidity now cleared, the next notable cluster sits again below price, around $60,500, right inside the broader $60,000–$61,000 support zone.

That confluence of technical support and liquidity suggests BTC could drift toward $61,000 in the coming days, potentially tag that area, and then see at least a short-term bounce—especially if lower time frame RSI reaches oversold.

For a deeper dive into how these liquidation pockets and funding dynamics can drive price, check out how bitcoin liquidations and funding rates could shape the next move for BTC and altcoins.

Bitcoin dominance: neutral, altcoins tracking BTC

Bitcoin dominance on the 3-day chart has been relatively flat over the past one to two weeks, with minor up and down moves largely canceling each other out. That neutral dominance trend means, on average, altcoins are likely to move in a similar direction and magnitude to Bitcoin in the short term.

Unless dominance breaks decisively higher or lower, traders should expect most large-cap altcoins to broadly follow BTC’s lead.

Ethereum: oversold relief, but resistance overhead

Ethereum’s 3-day chart looks similar to Bitcoin’s, with price bouncing from a major support zone and the RSI recovering from oversold conditions. ETH is still relatively close to oversold on this timeframe, suggesting there is room for further relief or sideways consolidation as the market digests the recent sell-off.

Key ETH levels to watch

On higher time frames, the main zones are:

• Major support: $1,500–$1,600
• Major resistance: around $1,800 (previous support turned resistance)

In the short term (4-hour chart), ETH is struggling around the $1,700 area. Price briefly dipped below this level and is now retesting it:

• If ETH can reclaim and hold above roughly $1,720–$1,730, the prior dip may prove to be a fakeout.
• If ETH fails around $1,720–$1,730 and turns lower, a move back toward $1,620–$1,600 becomes a likely scenario.

Given Bitcoin’s current weakness, Ethereum is also biased to the downside in the very short term unless BTC stabilizes and starts to bounce.

XRP: hanging on to crucial weekly support

XRP is at a make-or-break level on the weekly chart. Price is currently testing a key Fibonacci retracement support around $1.13, which has held for the last one to two weeks.

The broader trend remains bearish, and XRP has not yet confirmed a clear reversal. That leaves the token “hanging by a thread” at this support.

Critical XRP zones

• Major weekly support: $1.13
• Short-term support below: $1.08–$1.10 (recent lows on lower time frames)
• Next major downside target: $0.90–$1.00 if $1.13 and then $1.08–$1.10 fail

If XRP confirms a break below $1.13 and cannot reclaim it, the path opens toward the $0.90–$1.00 region over the coming weeks. As with most altcoins, XRP’s short-term direction is likely to mirror Bitcoin’s overall trend.

Solana: bullish divergence vs. heavy resistance

Solana’s 3-day chart shows a large bullish divergence, similar to Chainlink. Momentum is improving even as price has been under pressure, which often precedes a period of sideways consolidation or a relief rally.

However, SOL is facing a major resistance band overhead that is capping the upside.

Solana’s major levels

• Major resistance: $75–$80 (old support turned strong resistance)
• Immediate support: $67–$68 (recent breakout level now acting as support)
• Next strong support below: $61–$63 if $67–$68 breaks

So far, price has been rejected from the $75–$80 zone and is struggling to push higher. With the bullish divergence still active but resistance overhead, a likely scenario is choppy sideways movement: attempts to push up, followed by rejections from the $75–$80 area.

If SOL loses $67–$68, attention shifts to the $61–$63 support band, which lines up with prior lows.

Chainlink: similar setup to Solana

Chainlink’s 3-day chart closely resembles Solana’s. There is a clear bullish divergence in momentum, but price is pinned under a strong resistance zone.

Key Chainlink zones

• Major resistance: $8.00–$8.50 (previous support turned resistance)
• Bias: sideways or mildly bullish while the divergence plays out, but capped by resistance

The most probable path over the coming days or weeks is a grind higher into the $8.00–$8.50 area, followed by repeated struggles to break through. Until LINK can reclaim and hold above that band, upside is likely to be limited and choppy.

What this means for traders and investors

Across the board, the market is in a phase of short-term weakness but longer-term potential stabilization:

• Bitcoin has just cleared a key pocket of downside liquidity and is heading toward a major support and liquidity cluster at $60,000–$61,000.
• Weekly bullish divergences on BTC (and on some altcoins like SOL and LINK) suggest that while the immediate outlook is shaky, the medium to long term could improve once the current downtrend exhausts.
• Altcoins are largely following Bitcoin, with many sitting at or near important support or resistance zones.

For short-term traders, the focus is on how BTC behaves around $60,000–$61,000 and whether altcoins respect their nearby supports. For longer-term participants, the developing bullish divergences and the approach to major support areas may offer opportunities once price action stabilizes and confirms a bottoming structure.