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Feb 05, 2026
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WATCH
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Ethereum is underperforming Bitcoin (lower beta in risk-off). The long-term secular trendline connects to ~$1,527, which is significantly below current prices. ETH is currently in "no man's land." It hasn't hit deep long-term support like the 2019 trendline, but it is oversold. It requires Bitcoin to stabilize first. WATCH. Monitor for a bottoming formation, but prioritize Bitcoin for safety or Solana for beta until ETH hits major structural support. A drop to the $1,527 trendline would represent a further ~25% decline from current levels. |
Unchained (Chopping Block)
Bitcoin Is Deeply Oversold. Does That Mean th...
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Feb 05, 2026
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WATCH
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Altcoins like Solana are trading in lockstep with Bitcoin but with higher beta. They have no independent price history to form long-term support levels like stocks. When Bitcoin signals a tactical bottom, Altcoins will likely outperform on the percentage gain (the "rubber band" effect). The trade is to use Bitcoin as the signal generator but execute the trade via Alts for alpha. WATCH. Prepare to buy high-quality Alts (SOL) the moment Bitcoin confirms a daily momentum reversal. If Bitcoin fails to hold $66k-$70k, Alts will suffer disproportionate losses due to thinner liquidity. |
Unchained (Chopping Block)
Bitcoin Is Deeply Oversold. Does That Mean th...
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Feb 05, 2026
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NEUTRAL
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Gold has triggered a monthly sell signal per DeMark indicators after a parabolic move. It is showing "upside exhaustion." Assets that go parabolic often face a long period of digestion (sideways or gradual correction) rather than an immediate crash. The "safe haven" narrative is currently failing as Gold correlates with risk assets. NEUTRAL. The easy money has been made; expect a trading range rather than a new trend. A deepening liquidity crisis could force the sale of winners (Gold) to cover margin calls in other assets. |
Unchained (Chopping Block)
Bitcoin Is Deeply Oversold. Does That Mean th...
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Feb 05, 2026
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WATCH
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Software stocks are crashing due to the "AI is eating software" narrative. Clients are asking for counter-trend setups. The sector is washing out. The upcoming "oversold bounce" will be an information event: stocks that bounce hardest and hold gains are the new leaders; those that lag are "dead money." WATCH. Use the inevitable relief rally to grade the sector's relative strength, but do not buy blindly yet. The structural displacement by AI may be a secular headwinds that technical bounces cannot overcome long-term. |
Unchained (Chopping Block)
Bitcoin Is Deeply Oversold. Does That Mean th...
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Feb 05, 2026
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WATCH
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Bitcoin broke the Ichimoku cloud support at $89k and the monthly MACD has flipped to a sell signal. However, the weekly stochastic oscillator is now "deeply oversold." While the primary trend is now bearish (lower highs/lows), the extreme bearish sentiment and oversold conditions usually force a violent "snap-back" rally. The lack of overhead resistance (due to the previous parabolic rise) means the bounce could be sharp (5-6%+). WATCH. Do not "catch the falling knife" yet. Wait for a short-term momentum shift (1-2 weeks away) to trigger a tactical long entry. The "air pocket" below current levels could lead to a flush down to the $50k-$60k range before the bounce occurs. |
Unchained (Chopping Block)
Bitcoin Is Deeply Oversold. Does That Mean th...
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