After an incredible rally that has put Ethereum on the path to possible new all-time highs, the altcoin is now facing something that could hinder its newfound path. This comes down to a CME gap that had formed on its way up, and historically, CME gaps tend to be filled before there is a bullish continuation. In this case, the CME gap is sitting almost 15% below its current price, and could mean that ETH is in for a crash.

The CME Gap Waiting At $4,080

A crypto analyst has pointed out that the Ethereum price could be facing heavy resistance after rallying to levels not seen since 2021. There is also the formation of a CME gap that threatens to drag the price back down before the bullish rally can continue.

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The first of these is the resistance that is currently forming at around the $4,868 zone. This is the previous all-time high levels, so naturally, bears are beginning to mount pressure at this point that could ultimately lead to a price rejection. There is also a potential reversal zone skirting around the $4,680 area as well.

The CME Gap is sitting very low at the $4,185-$4,080, suggesting that the price could retrace to this level to close the gap. If this happens, then late long positions could be trapped as the correction plays out, before reversing toward its all-time high levels once more.

Interestingly, the analyst also points out the fact that the Ethereum price seems to be playing out the Elliot Wave Theory. According to the analysis, Ethereum is actually playing out a microwave 5 in the meantime. What this suggests is that the current uptrend is only the start, and that the main Wave 5 is yet to begin.

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Using the Elliot Wave Theory, Wave 5 is expected to be the final wave before the bear market. However, it is a major wave that has historically led to new all-time highs. If the bullish momentum does continue, then Ethereum could end up crossing the $5,000 level in quick succession.

There is also the possibility of a deeper correction if bulls fail to maintain control above $4,000. The analyst points out that another CME gap is left to be filled as low as $3,417-$3,461. But if the price is able to cross toward $4,800, this would be invalidated.

Featured image from Dall.E, chart from TradingView.com

Bitcoin

may find itself fighting gravity after a surge over the weekend took it to within striking distance of its $123,000 all-time high while leaving a gap in the price of CME futures between Friday’s closing price and Monday’s open.

CME bitcoin futures, cash-settled contracts that track the price of the largest cryptocurrency, settled at $117,430 on Friday, only to open on Monday at $119,000. Historically, bitcoin has shown a tendency to fill these gaps, meaning the price often retraces to cover the difference between the two levels. This can happen within days or even within hours of the gap forming.

“Most previous gaps that were created did close within the same day, but this one moved a bit further than those,” Daan Crypto Trades, a crypto trader and investor, said in a post on X.

Unlike spot markets, which trade around the clock, CME futures operate from Sunday evening through Friday evening for 23 hours a day. Any significant price movement during the one-hour daily pause or over the weekend can create what traders call a CME gap.

Daan noted that bitcoin is now close to price discovery, a market phase that begins when an asset surpasses its previous all-time high and trades in uncharted territory. In such situations, gaps can become “runaway gaps” instances where momentum is so strong that the market continues to trend in the same direction without returning to fill the gap, at least in the short term.

“I’d recommend keeping an eye on this gap,” Daan said. “If price were to close it, it could make for a decent reversal area. But I wouldn’t fully bet on it closing until price gets at least within a one to two percent proximity again, below $120,000 or so.”

Heading into Monday’s U.S. open, traders will be watching closely to see whether the gap begins to close or whether bitcoin’s bullish momentum carries it straight past $123,000 into new all-time highs, potentially leaving the gap behind at least for now.

Bitcoin (BTC) is consolidating in a thin-liquidity “air gap” between $110,000 and $116,000 as the market waits for new demand to establish a firm base.

According to an Aug. 6 report by Glassnode, BTC’s price pulled back to $113,000 after setting a new all-time high above $123,000 in mid-July. This price movement left many recent buyers underwater and created a supply cluster with a cost basis above $116,000. 

The lower bound of that cluster repeatedly supported rebounds until July 31, when BTC broke lower into the air gap. Historically, such low-liquidity ranges can morph into accumulation zones as buyers step in at a perceived discount.

The report compared entity-adjusted URPD snapshots from July 31 and Aug. 4 to gauge dip-buying. 

Following a rebound from around $112,000, investors acquired roughly 120,000 BTC and lifted spot prices back above $114,000, evidencing opportunistic demand. 

Even so, the $110,000-$116,000 band remains light in aggregate supply. Time spent accumulating here could potentially build a platform for the next move higher.

New resistance, metrics not overheated

The rally has yet to reclaim the cost basis of holders with amounts of one week and one month old, now with a decisive resistance near $116,900. A sustained break above would signal demand regaining control, while a failure raises the risk of a deeper test of the previous all-time high range around $110,000.

According to the report, price sits in a “warm” but not overheated regime and remains above the short-term holder (STH) cost basis at $106,000. This price level is a threshold that has historically divided near-term bullish and bearish phases in Bitcoin bull markets.

STH supply in profit has slipped from 100% to 70% during the drawdown, consistent with the midline of prior bull cycles. The share of STH spent volume in profit has cooled to 45%, below neutral, implying a balanced market with neither side dominant.

ETF flows and leverage

On Aug. 5, spot Bitcoin exchange-traded funds (ETFs) in the US saw a 1,500 BTC outflow, the largest bout of ETF sell-side pressure since April 2025. Historically, these episodes have been brief, but monitoring persistence is key. 

In derivatives, perpetual funding rates have slipped back below 0.1%, a neutral zone that indicates cooling speculative appetite and tempered upside conviction in the near term.

Taken together, Bitcoin appears locked in the $110,000-$116,000 corridor, accumulating supply and waiting for demand sufficient to retake $116,900 and reassert the uptrend.

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Shortly after its long-awaited debut, WCT fell sharply from $0.40 to $0.27, largely driven by a selloff from early airdrop recipients.

WalletConnect, a staple protocol in the Web3 ecosystem, has distributed over 50 million tokens as part of its decentralization plan, with 18.5% of the supply earmarked for community incentives.

The initial sell pressure seemed expected. But what came next was less predictable: a sharp rally to $0.65, more than doubling its bottom price. WCT is trading around $0.47, which is still far above its early dip.

The comeback has been catalyzed by upcoming listings on South Korea’s largest exchanges, Upbit and Bithumb.

With WCT now featured on Binance, OKX, Bybit, Kraken, Gate.io, and Bitget; Upbit announcement added a powerful layer of market momentum.

South Korean retail traders are notorious for triggering rallies in newly listed tokens; WCT was no exception. In the 24 hours following Upbit’s listing confirmation, WCT jumped 36%, brushing a new all-time high of $0.58.

WCT Price Disparities and Exchange Frenzy

As WCT’s popularity soars, noticeable price gaps have formed between centralized exchanges.

On Binance, WCT has been trading at $0.62, significantly higher than the $0.539 observed on OKX.

This divergence is likely due to liquidity variations, arbitrage opportunities, and regional demand spikes, particularly with Korean listings underway.

With Upbit and Bithumb confirming spot listings of WCT/KRW on April 16, demand is expected to increase from South Korean traders who often drive intense short-term speculation.

These listings are part of WalletConnect’s calculated push to decentralize its ecosystem and expand token utility.

The WCT token officially became transferable on April 15, 2025, meeting all previously established criteria by the WalletConnect Foundation.

These included the launch of staking pools, onboarding node operators, the WalletConnect Certified Wallet program, and the recent open-sourcing of the core code.

Completing these technical and community-focused milestones laid the groundwork for WCT’s broader distribution and exchange integration.

Notably, the volatility has not deterred investor interest, with current data showing a rebound in trader optimism.

Gate.io joined the listing frenzy with a $10,000 WCT trading competition, while Kraken, Bybit, and Bitget announced listings almost simultaneously.

Controversies, Market Makers, and Transferability Questions

However, not all the excitement around WCT has been celebratory. Critics have raised concerns about the timing of the token’s listing and the vesting schedule for insiders.

Some accused WalletConnect of “playing the Starknet crime playbook,” referring to prior cases in which token insiders allegedly benefited from shorter-than-disclosed vesting periods.

According to critics, insiders in WalletConnect’s case will effectively have their allocation unlocked five months earlier than the traditional one-year timeline, potentially allowing them to dump tokens amid peak market hype.

Adding fuel to the fire, market sleuths on crypto Twitter have identified GSR.io as the suspected market maker behind WCT.

They cite suspicious trading patterns similar to those seen in past launches such as GALA, BIGTIME, and ARKM.

One on-chain analyst claimed it cost $16,000 in gas to verify GSR’s involvement by tracking wallet addresses and that roughly 2.8 million WCT tokens were linked to their operations.

Others began offering tutorials on identifying such patterns, suggesting that professional market makers often leave behind subtle clues.

Despite the criticism, WalletConnect’s transparency on some aspects of the project, particularly around transferability criteria, has won praise.

While market makers, listing spikes, and price gaps may dominate the short-term narrative, WCT’s real test will come in its ability to drive long-term value for users, developers, and stakeholders.

The post WCT Soars 100% After Airdrop Dump — Price Gap Widens Ahead of Korean Exchange Listings appeared first on Cryptonews.

Bitcoin (BTC) is steadily approaching the highly anticipated Chicago Mercantile Exchange (CME) gap close, with price action aligning with analyst’s expectations of a move toward $83,000. As Bitcoin corrects from recent highs, a crypto analyst expects a rebound to come next. However, if key support fails, the possibility of further downside remains. 

Bitcoin To Drop To CME Gap Close

Bitcoin has been on a rollercoaster this year, skyrocketing to new ATHs and experiencing major price breakdowns that pushed it to new lows. Recently the cryptocurrency saw a surge toward $89,000 but faced a rejection. Now the top crypto is pulling back again, with crypto analyst Astronomer on X (formerly Twitter) pinpointing the $83,000 – $84,000 low range as its next critical support level. 

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This crucial support zone in the price chart aligns with the CME gap close, a common phenomenon in the BTC Futures market. BTC revisits price gaps left when the CME price closes over the weekend and opens on Sundays.  

Astronomer has outlined his long-term trading plan for Bitcoin, expecting the cryptocurrency to consolidate around the support level before bouncing. He believes that the CME gap close is a significant technical development that could determine Bitcoin’s price movements. 

Supporting the expectations of a short-term pullback, historically, a bearish close on Friday often leads to red Mondays or Tuesdays for Bitcoin. Moreover, the analyst highlights that the market is still in the pre-New York Open (NYO) phase, leaving room for an intraday reversal. 

However, he anticipates a late-night drop during the NYO trading session due to the lack of liquidations and untested support levels. He also mentions that combined with these factors, Bitcoin’s recent pullback from $89,000 is a strong indication that its price may not be bullish locally. 

Based on his Bitcoin price chart, Astronomer considers the $81,400 – $82,400 range the worst-case support zone. Bitcoin is expected to revisit this target zone before any attempt at a potential reversal. 

Can Bitcoin Rebound? Take Profit Levels To Watch 

While Bitcoin’s short-term price action appears bearish, its macro trend remains somewhat stable, according to Astronomer’s analysis. The analyst has marked a “long entry” zone in the chart, suggesting that the $83,000 – $84,000 zone was a potential buying opportunity if Bitcoin finds support there. 

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The analyst predicts that if Bitcoin can successfully hold the CME gap close, a bounce toward the weekly open price at $86,000 could be its first step toward a much-anticipated recovery. Beyond this, the analyst has pinpointed key take profit levels marked from TP1 – TP4 on the price chart. These levels suggest that Bitcoin could surge higher to reach a target of $87,000 – $88,000. 

However, a break below the worst-case support zone could trigger a bearish shift in sentiment, potentially leading to a deeper price correction for Bitcoin. 

Featured image from Gemini Imagen, chart from TradingView

Newly elected Canadian Prime Minister Mark Carney, who recently won a leadership contest of the Liberal Party to replace Justin Trudeau, has dramatically increased his odds of winning the next federal election in the eyes of Polymarket bettors.

Carney now has a 49% chance of winning the next Canadian election, compared to 26% a month ago. Conservative opposition leader Pierre Poilievre’s chances are at 51%, down from 72% in February.

The next Canadian federal election is scheduled to occur on October 20, 2025.

However, under Canada’s Westminster system, if the opposition Conservatives and NDP jointly vote against the minority Liberal government on a confidence motion after Parliament resumes from prorogation on March 24, requested by Trudeau on Jan. 6, as he announced his resignation plans pending a new Liberal leader, the government would fall, triggering an election.

Carney closing the gap against Poilievre on Polymarket – despite a lag between prediction markets and the polls – echoes what the polls are showing.

The Conservatives are just one percentage point ahead of the Liberals, according to Canadian pollster Nanos Research, down from nearly a 16-point lead a month ago according to a polling average.

Observers credit this dramatic shift to trade threats from the U.S., with pollsters indicating Canadians prefer Carney’s business sense and central bank experience over his opponent.

This is all a bit of a contrast to last year’s U.S. election, where prediction markets consistently showed that then-Republican candidate Donald Trump had a lead over his Democratic opponents.

The election result, as CoinDesk wrote in an editorial at the time, was only a surprise to those who get their information from CNN.

Crypto on the Canadian campaign trail?

Crypto doesn’t seem to be a major plank of a hypothetical Canadian election. While Poilievre holds a Canadian-issued BTC ETF, according to disclosures, and has previously made pro-blockchain and crypto comments, most of the campaign rhetoric appears to be about the trade war.

Likewise, Carney, who has made mixed if not skeptical comments on crypto in his role as Bank of England governor hasn’t yet spoken about the topic in his new role as Liberal leader.

After a period of heightened volatility, Bitcoin, the flagship crypto asset, appears to have found its footing, undergoing a surge back to the $94,000 price mark. BTC’s renewed upward movement has allowed it to close key price gaps, reflecting a bullish outlook for the asset.

CME Gap Finally Closes Following Bitcoin’s Price Recovery

Bitcoin’s current price upswing has recovered key resistance areas that previously halted its uptrend. Delving into BTC’s price action, Rekt Capital, a market expert and trader, highlighted that the asset has closed the price gap recently formed by its sharp decline last week.

The closing of this gap, a crucial technical event that traders keenly monitor, raises the possibility that BTC may have bottomed out and is preparing for further rise. According to the analyst, the flagship asset has officially closed its CME price gap between $92,800 and $94,000, signaling a potential shift in market sentiment.

While the CME gap has been closed, Rekt Capital noted that the development would not be displayed until later today. However, Bitcoin was able to narrow the CME gap between $78,000 and $80,700 as well as the 92,800 and $94,000 price range.

This gap closure is considered to be BTC’s largest one in its history. With this development, Bitcoin is at a crossroads as it may maintain this newfound upward momentum or enter into a consolidation phase.

It is important to note that even though BTC has closed the recent CME gap, it has formed another massive new gap. This gap is located between the $84,650 and $94,000 level. As the prices show growing momentum, the market awaits what comes next for the flagship asset.

BTC Drawdowns Offer A Good Buying Opportunity For Investors

BTC’s previous descent may have triggered uncertainty and fear within the community. However, on-chain metric data shared by crypto expert and investor Miles Deutscher shows that the decline presents a buying opportunity for investors and traders.

Analyzing Bitcoin’s recent drop, the crypto expert claims it is one of the largest in this current market cycle. He discovered his results after assessing the asset’s many pullbacks in this market cycle.

Recently, BTC witnessed a drawdown of about 28.5% from its peak to trough. Nonetheless, drawdowns between 20% and 30% have often presented great times to buy, even if only for a rebound.

With bullish developments like US President Donald Trump reiterating a Bitcoin Reserve in the country, optimism has returned to the market once again with investors buying more BTC. Bitcoin’s rebound is believed to be triggered by the spur caused by Trump’s declaration of an impending strategic BTC reserve. When the strategic reserve becomes a reality, many crypto analysts remain confident that BTC’s price will skyrocket to new highs.

Featured image from Adobe Stock, chart from Tradingview.com