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. BTC took out the 67K pivot low and bounced at $65,618 – exactly what a bear flag continuation looks like. The damage is done. Expect a weekend bounce back up to test broken support around 67K as resistance, then lower. First clean target is 49K. The main target, using the same… pic.twitter.com/aYESedOOlF — Aaron Dishner (@MooninPapa) March 28, 2026 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...