eBay (EBAY: NASDAQ)

eBay (EBAY) thrives on its Gross Merchandise Volume (GMV) growth, a crucial measure of the total sales value transacted through its platform. GMV is vital for eBay’s revenue, as the company earns fees from these transactions. Innovations in payment processing and advertising have significantly driven higher transaction rates, positioning eBay strongly for the next decade.

In the latest report, eBay’s GMV increased by 1% year over year, reaching $18.6 billion. This modest growth demonstrates eBay’s ability to maintain momentum despite global market volatility. Key technological advancements, particularly in eBay Motors and sustainable fashion partnerships, highlight the company’s focus on enhancing user engagement and promoting responsible consumerism.

Susquehanna analyst Shyam Patil recently raised his price target for eBay stock by nearly 21% to $52 per share. This upgrade could reduce institutional investors’ skepticism and attract more buying flows, likely boosting eBay’s stock price.

We are bullish on EBAY above $45.00-$46.00, with an upside target of $70.00-$72.00. Investors should consider eBay’s steady GMV growth and strategic innovations as key drivers for potential long-term gains.

Signet Jewelers (SIG: NYSE)

Signet Jewelers (SIG) has been a quiet top performer on Wall Street, with shares rising nearly 300% over the past five years. This impressive growth is driven by its Inspiring Brilliance transformation strategy and strong gains during the pandemic, which the company has largely maintained.

Nearly half of Signet’s revenue comes from the bridal jewelry segment. Engagements, which had declined due to pandemic-related delays in new relationships, are beginning to rebound. CFO Joan Hilson noted, “We had predicted a trough toward the end of the third quarter, and we predicted that engagement would begin to rebound in the fourth quarter, and that is in fact what we are seeing.”

Signet has generated more than $600 million in free cash flow for the fourth consecutive year, adjusted for a one-time legal settlement. This positions the stock at less than 7 times free cash flow, suggesting it may be a generational buying opportunity for a well-positioned company with a strong moat.

Additionally, Signet is appealing to dividend investors. The company recently raised its quarterly dividend by 26% to $0.29 per share. Hilson emphasized, “One of our commitments within our capital allocation priority is to consistently be a dividend growth company.” This increase marks the company’s third consecutive hike since suspending its dividend during the pandemic.

We are bullish on SIG above $94.00-$95.00, with an upside target of $150.00-$160.00. Investors should consider Signet’s strong free cash flow and dividend growth potential as key drivers for future gains.

Bitcoin (BTCUSDT)

Bitcoin (BTC) on the daily timeframe is currently holding at a major support level, which is crucial for the broader cryptocurrency market. This situation is reflected in various altcoins that are also sitting on significant support regions. Despite this, BTC remains in a clear downtrend, indicating the potential for further downside unless there is a decisive break in the trend and a shift in market direction.

Key support levels to monitor over the next week are $66,000, $64,000 – $63,000, and $60,000. These areas are critical as they could offer a solid bounce for the market overall, potentially providing some relief for altcoin bulls. A hold at these levels might signal a stabilization period and could attract buyers looking for a reversal opportunity.

If BTC fails to hold these support levels, it could lead to further downside pressure, impacting altcoins negatively. However, a bounce from these supports would be a positive sign, possibly leading to a trend reversal and a more bullish outlook for the broader crypto market. Traders should keep a close eye on these levels and manage their risk accordingly, especially given the current downtrend in BTC.

Bitcoin Dominance (BTC.D)

On the 4-hour timeframe, BTC dominance is currently experiencing a rejection. If this trend continues, it could be favorable for altcoins, as they may hold their major support regions and potentially see a short-term bounce. This scenario is particularly advantageous for altcoins since a decrease in BTC dominance generally indicates that more market capital is flowing into altcoins, boosting their performance relative to BTC.

However, if BTC dominance breaks this trend and surpasses horizontal resistance, we ideally want this move to be accompanied by BTC strength. If BTC gains dominance without significant price strength, altcoins may struggle and could lose some key levels of support. This is because an increase in BTC dominance typically means that capital is moving out of altcoins and into BTC, which can put downward pressure on altcoin prices.

Traders should monitor BTC dominance closely, especially around key resistance levels. A decrease in BTC dominance is beneficial for altcoins, while an increase in BTC dominance is favorable for BTC. Understanding this dynamic can help in making informed trading decisions, particularly in the current market context where altcoins are sitting on significant support regions. Managing risk appropriately is crucial, given the potential for volatility and market shifts.