$COIN - The price has broken below the Weekly Bull Market Support Band, which has been a strong reversal spot over the last couple of months, a clear sign of weakness.

That said, it’s still holding above the high-timeframe support range, which keeps the broader market structure intact for now. I believe that as long as the price stays above this range, there’s nothing to worry about from a structural standpoint.

However, if the price fails to reclaim the lost support band in the coming days, rejects, and then fails to hold above the high-timeframe support range marked in green, I would look to hedge part of my spot holdings to mitigate short-term downside risk, since that would open the door for a deeper pullback on the mid-term and confirm structural weakness on the high-timeframes.

That said, my broader outlook on this stock and company remains unchanged, as we move deeper into a risk-on environment and closer to the cycle top, rising transaction volumes and fees should act as a direct tailwind for Coinbase’s revenue and, in turn, its price.

The short-term structure may have weakened, but the fundamentals remain strong.