16 Oct 2025
This analysis provides an update on Bitcoin's market signals, Ethereum's support levels, and the overall short-term outlook for altcoins like Solana, XRP, and Chainlink. Additionally, it details a successful funding rate arbitrage trading strategy that yielded significant profits over a few days.
The weekly Bitcoin Super Trend indicator remains green, signaling a larger bull market, but a new bearish divergence has been reconfirmed with the latest weekly candle close, indicating a loss of bullish momentum without yet confirming a bear market.
Bitcoin's daily price chart exhibits fractal price action, similar to early this year, featuring a bearish divergence, a decent pullback, a double bottom (W pattern) breakout, an all-time high rejection, a major dump, and subsequent sideways consolidation.
In the immediate short term, Bitcoin is expected to consolidate sideways for the next one or two weeks, with significant support holding around the 107K to 109K range, but without necessarily playing out a massive bullish recovery.
Liquidity is accumulating around 109K to 112K and more significantly at approximately 116K; a confirmed breakout above 116K could activate a bullish price target just above 121K, representing a 4-5% upside.
The Bitcoin dominance chart shows a slight short-term bounce, with a major rejection from the 60.5% to 61% resistance area, which typically helps altcoins, but an active bullish divergence means a bullish relief could still occur, despite strong resistance.
Ethereum maintains a crucial support area between 3.9K and 4.1K on the 3-day chart, and an active bullish divergence on the daily RSI confirms a higher low in place, suggesting a likely bullish relief over the coming days or weeks, rather than a massive surge.
Immediate resistance for Ethereum is around 4250-4280, with further resistance at 4450-4.5K and major resistance at 4680-4720; given the bullish divergence, Ethereum is likely to break above some of these resistance areas during a potential bullish relief.
Solana has confirmed a 2-day candle close above the important 190-200 area, which is now retesting as support, following a bounce from 170, indicating a short-term bullish outlook.
Short-term resistance levels for Solana are anticipated at roughly 210, 217-218, and a significant level at 230, which the price may encounter during its bullish relief.
XRP continues to play out a massive weekly bearish divergence, similar to late 2020, forming lower highs and lower lows, indicating an overall bearish trend despite occasional short-term bounces from support around 230-240.
XRP recently rejected from a crucial resistance level around 263, with further resistance expected at 274, 288, and major resistance at 310, as it struggles to break above important points.
Chainlink remains in a larger bearish trend, forming lower highs and lower lows, with support around 1730-1750 and 1520-1560. It recently rejected from resistance between 19-20, with 22 being the next major resistance if that level is breached.
A delta-neutral trading strategy on Solana futures contracts successfully arbitraged funding rates between Bybit (negative rates) and Bitex (positive rates), resulting in a 10K USD profit in 2-3 days by earning funding fees on both long and short positions irrespective of price movement.
Promotional offers are available on Bitex and 2bit exchanges, providing trading and deposit bonuses, including up to 120,000 USDT on Bitex and up to 10,000 USD in trial funds on 2bit, with both being no-KYC exchanges accessible worldwide.
One can generate profits in the crypto market even during bearish periods by utilizing short positions and employing strategies like arbitrage funding rates, which make money regardless of price direction.
| Asset/Strategy | Key Indicator | Outlook | Key Levels |
|---|---|---|---|
| Bitcoin (Weekly) | Bearish Divergence (Reconfirmed) | Losing bullish momentum; not yet bear market | Support ~108K, Resistance/Liquidation ~116K |
| Bitcoin (Short-Term) | Fractal Price Action/Consolidation | Choppy sideways consolidation expected | Support 107K-109K, Potential target >121K (if 116K breaks) |
| Ethereum (Daily) | Bullish Divergence (Confirmed) | Likely bullish relief or sideways consolidation | Support 3.9K-4.1K, Resistance 4250-4280, 4450-4.5K |
| Solana (2-Day/Short-Term) | Breakout Above Key Area (190-200) | Short-term bullish relief expected | Support 190-200, Resistance 210, 217-218, 230 |
| XRP (Weekly) | Massive Bearish Divergence | Overall bearish trend (lower highs/lows) | Support 230-240, Resistance 263, 274, 288, 310 |
| Chainlink (Daily) | Larger Bearish Trend | Overall bearish trend with short-term reliefs | Support 17.30-17.50, 15.20-15.60, Resistance 19-20, 22 |
| Funding Rate Arbitrage | Delta-neutral strategy (Bybit vs. Bitex) | Profitable regardless of price direction | 10K USD profit in 2-3 days; small opportunities remain |
