Crypto Technical Analysis: Weakness returns to the market, led by Bitcoin

As we approach the final days of March, the cryptocurrency market has struggled to maintain consistent confidence, and recent price action has once again shown sustained weakness in the short term. A renewed bearish bias is beginning to dominate major cryptocurrencies, as assets like BTC move away from key levels such as the 70k psychological zone, reflecting a return of weak sentiment and selling pressure. This dynamic has led to consistent downside pressure across major charts, which could remain relevant in the coming sessions.

Performance of major cryptocurrencies

Source: Data - StoneX, Tradingview

• By the end of the week, all major cryptocurrencies have posted notable declines. Ethereum stands out, with a drop of -7.54%, making it the most affected asset in the short term. Meanwhile, Litecoin has shown relatively more stability, with a smaller decline of -3.68%, which is noteworthy considering it had been one of the weakest assets in previous weeks. Overall, the weekly performance reflects a challenging environment for the crypto market, with weakness taking the lead.
   

• Looking at the past ten weeks, the market continues to trade well below the levels seen at the end of 2025, maintaining a dominant bearish bias in the medium term. During this period, Solana remains the most affected cryptocurrency, with a decline of -43.06%, while Litecoin, although relatively more stable, still shows a significant drop of -28.42%.
   

• A similar pattern is observed year-to-date, with all major cryptocurrencies trading below their opening prices. Ethereum stands out again, with a decline of -33.76%, while Dogecoin shows relatively better resilience at -23.90%. Despite this, the year continues to show a broad bearish bias, with no clear signs of a sustained recovery.
   

• Bitcoin, as the market benchmark, has shown increased volatility compared to previous weeks, with a weekly move of around $4,300. However, this volatility has not been positive, as the price has fallen below the 70k level and is now approaching 65k, levels not seen since early March, effectively invalidating recent recovery attempts.
   

• Overall, the week has been particularly difficult for the crypto market, with growing weakness erasing previous demand and reinforcing a broad bearish bias.

Colors from red to green – red for negative correlations and green for positive correlations

Source: Data - StoneX, Tradingview

From a correlation standpoint, cryptocurrencies have once again shown strong alignment with Bitcoin, with correlation coefficients above 0.8, indicating a high positive correlation over the past 20 sessions. This reflects that the broader market continues to closely follow BTC’s movements. It is important to note that correlation can change over time.

However, this correlation does not reflect a structured recovery, but rather a shared weakness across the market, where Bitcoin has lost demand appeal and the rest of the market continues to follow its downward trend.

Overall, the market appears to be aligned around this weakness, with no cryptocurrency standing out in a meaningful way. This suggests that the lack of interest is not isolated but rather a broad market condition, which could continue to support ongoing selling pressure in the short term.

 

Bitcoin returns to its bearish trend

Source: StoneX, Tradingview

Bitcoin, as the market’s main reference, has once again begun to show notable short-term weakness, maintaining a consistent bearish bias and respecting the long-term downward trendline that has been in place for several months. As long as selling pressure persists, this technical structure is likely to continue dominating price behavior, especially as the market approaches key support levels.

Indicators:

• At present, both the RSI and the MACD show downward movements below their neutral levels (50 for RSI and 0 for MACD), indicating a dominance of selling pressure. If this dynamic continues, downside pressure is likely to remain relevant in the short term.

Key levels:

• 79,200 USD – Key resistance: Level aligned with the long-term downward trendline. A move toward this zone could challenge the bearish structure and open the door to a bullish shift.
   
• 70,000 USD – Near-term barrier: A key psychological level aligned with the 50-period moving average. Price action near this level could reinforce a phase of indecision and the formation of a sideways range.
   
• 60,800 USD – Key support: A level not seen since October 2024. A sustained break below could reinforce the bearish bias and extend the current downtrend.

 

Cardano faces key support

Source: StoneX, Tradingview

Cardano has been one of the most affected cryptocurrencies this week and continues to show a consistent bearish bias in the short term. Currently, price action is moving within a sideways range, once again testing a key support level. If selling pressure persists, it could lead to a more structured bearish move in the coming sessions.

Indicators:

• Both the RSI and the MACD remain below their neutral levels, indicating that weakness in both price momentum and moving average strength remains relevant. If this trend continues, it could further reinforce a dominant bearish pressure.

Key levels:

• 30.06 – Key resistance: A previous high aligned with the 50-period moving average. A move toward this level could reduce selling pressure and open the door to a bullish shift.
   
• 27.17 – Near-term barrier: A key neutrality zone aligned with the 50-period moving average. Price action near this level could reinforce the current sideways range.
   
• 24.92 – Key support: A major support level that has been tested multiple times. A break below could lead to a continuation of the broader bearish trend observed in recent weeks.

 

Written by Julian Pineda, CFA, CMT – Market Analyst

Follow him on: @julianpineda25