Bitcoin, ETH, Nasdaq Selloff Aligns With $38K BTC Setup

TLDR:

• BTC lost 67K support and confirmed a bear flag continuation with $49K as the first clean downside target.
• Stablecoin dominance breakout above 75.67 could strengthen the path toward the projected $38K BTC zone.
• ETH dropped 9.32% in two days as downside technical structure opened a potential move toward $1,000.
• Nasdaq, VIX, DXY, and crypto all flashed aligned breakdown signals across correlated risk markets.

Bitcoin slipped below the closely watched $67,000 pivot low before rebounding from $65,618, reviving a bearish chart structure that now points to deeper downside. 

The move coincided with renewed weakness across Ethereum, altcoins, and major equity futures, tightening correlations between crypto and traditional risk assets. 

Stablecoin dominance and volatility indicators also strengthened, reinforcing defensive positioning across the market. The latest technical breakdown now places $49,000 and $38,555 as the next major Bitcoin price levels in focus.

Bitcoin Price Bear Flag Breakdown Revives $38K Target

The latest market update shared by Aaron Dishner, known online as MooninPapa, outlined a clean bear flag continuation after BTC lost the 67K pivot.

According to the posted chart levels, Bitcoin’s first downside objective now sits at $49,000. The larger measured move extends to $38,555.

The move mirrors the same 38.73% decline structure tracked from the March 17 local high. Momentum indicators continue to align with that bearish setup.

Relative strength index data printed a lower local low, which kept downside momentum intact rather than signaling reversal conditions.

On-balance volume also crossed below its moving average, adding another layer of confirmation to the BTC price weakness.

Ethereum tracked the broader decline and fell 9.32% over the past two days, based on the same market breakdown. The reported structure now places $1,000 as a possible support zone.

Stablecoin dominance, combining USDT.D and USDC.D, broke above its bull flag formation in the same dataset. The February 24 high at 75.67 now acts as a critical trigger level.

If stablecoin dominance clears that level, the signal historically aligns with deeper crypto capitulation, placing the $38,000 Bitcoin zone in focus.

Crypto Market Selloff Spreads to Altcoins, Stocks, and Commodities

The broader crypto market structure also weakened as TOTALES, TOTALE50, and TOTALE100 all broke key support zones.

Those indices failed to produce any TBO reset, while RSI continued making lower lows across the tracked timeframes.

Among large-cap altcoins, XRP showed weakness near TBO support, with the referenced fair value gap beginning near $0.50.

Solana also rejected from a bear flag pattern, keeping the $30 target active in the shared technical map.

Several tokens, including AAVE, NEAR, VET, ETHFi, TWT, and EIGEN, printed TBO breakdown clusters in the same update.

Outside crypto, the U.S. dollar index broke short-term resistance in a bull flag structure on Friday, extending pressure on risk markets.

That move pushed USDJPY to 160.247, its highest level in two years, according to the provided macro data.

The VIX closed at 31.04, above Monday’s high, while S&P futures and Nasdaq both printed fresh TBO breakdowns.

Gold and silver diverged from the broader weakness, with both metals holding support after confirmed RSI resets in the same market snapshot.

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