Bitcoin is struggling to build upward momentum, with price action suggesting the formation of another lower high, while ether remains rangebound despite continued strength in U.S. equity futures.

The leading cryptocurrency was trading around $76,600 on Tuesday, down 0.8% since midnight UTC, after failing to sustain a brief move to $77,800 a day earlier. The pullback keeps intact a bearish structure that has persisted since October, with bitcoin shedding roughly 7% over the past two weeks.

This weakness stands in contrast to traditional financial markets. Futures linked to the S&P 500 and Nasdaq 100 have both gained more than 0.5%, indicating that crypto’s underperformance is likely driven by internal market dynamics rather than broader macroeconomic or geopolitical pressures.

Ether continues to lag behind. At approximately $2,098, ETH has declined more than 10% over the past two weeks and remains stuck within a consolidation range established between February and April, with little sign of a breakout.

The altcoin market presents a mixed picture. AI-related tokens are leading gains, while earlier outperformers such as zcash have come under pressure, with ZEC falling about 7% since midnight.

Activity in derivatives markets has slowed. Total crypto futures volume has dropped 10% to $130 billion over the past 24 hours, while open interest remains largely unchanged at around $126 billion. Liquidations have declined 21% to $126 million, pointing to a quieter market environment following the extended U.S. holiday weekend.

Positioning across altcoins appears selective rather than broad-based. Tokens such as SHIB, LINK, HBAR, NEAR and TRX have recorded increases in open interest, while ZEC, XLM and HYPE have seen declines, signaling a rotation of capital within the market.

NEAR continues to stand out as a top performer. The token rallied 58% in the week ending May 24 and has since added another 14%, reaching $2.82 — its highest level since November. The move appears to be driven by a series of protocol upgrades focused on scalability, privacy, and quantum resistance, along with rising participation in derivatives markets. Open interest has surged to a record 309 million tokens, up from 182 million a week earlier.

Strong buying activity is also evident in NEAR’s positive cumulative volume delta, indicating that buyers are actively driving price action. Funding rates remain only modestly positive, suggesting the rally has not yet reached overheated conditions.

Chainlink is also seeing increased interest, with futures open interest rising to 42.96 million tokens, the highest level since early February. Funding rates near 8% annualized indicate that futures are trading at a premium to spot prices, a typically bullish signal.

Meanwhile, bitcoin futures activity has cooled, with open interest declining to 711,000 BTC from 793,000 earlier this month. Ether open interest remains elevated, hovering just below record highs near 15 million ETH. Implied volatility for both assets continues to trend lower, signaling ongoing volatility selling and a lack of strong demand for options.

Despite subdued conditions, some traders are positioning for downside risk. On Deribit, bitcoin put options with strike prices between $70,000 and $76,000 are among the most actively traded, reflecting demand for protection against potential price declines.

In sector performance, AI-linked assets are leading gains. CoinDesk’s Computing Select Index, which tracks AI tokens and Chainlink, has risen 1.9% since midnight UTC and 2.7% over the past 24 hours, with tokens such as FET and RENDER posting notable advances.

The DeFi Select Index has also outperformed major cryptocurrencies, rising 1.3%, suggesting that investors are rotating into higher-risk segments while awaiting clearer direction from bitcoin and ether.

Privacy-focused tokens have weakened across the board, with monero and dash each declining around 1.5%, following losses in zcash.

CoinMarketCap’s Altcoin Season Index has edged higher to 35 out of 100 from last week’s 31, though it remains below the recent peak of 50, indicating that a sustained altcoin-driven rally has yet to take hold.