Bitcoin $BTC consolidating around $118,000 after hitting a new all-time high of $123,218 earlier this month. Technical indicators suggest a bullish sentiment, with Bitcoin trading above key moving averages (10, 20, 50, 100, and 200-day EMAs) and a weekly RSI of 63.48, indicating neutral-to-bullish momentum. However, the 14-day RSI at 75.94 signals overbought conditions, hinting at a potential short-term pullback to $113,000-$115,000 if selling pressure increases. Ethereum $ETH is also showing strength, surging toward $4,000 with a 20% weekly gain, driven by institutional interest and ETF inflows. Altcoins like Solana $SOL , Hedera $HBAR , and Ripple $XRP are posting double-digit gains, fueled by broader market optimism and regulatory developments, such as the U.S. Senate’s GENIUS Act and potential 401(k) crypto integration. The total crypto market cap has risen to $3.93 trillion, up 5.09% week-over-week, with a Fear & Greed Index of 72 indicating greed-driven sentiment.
Despite the bullish outlook, risks loom on the horizon. Geopolitical tensions, such as the Israel-Iran conflict, and potential U.S. Federal Reserve hawkishness due to tariff-related inflation concerns could trigger volatility. Bitcoin’s Inter-Exchange Flow Pulse (IFP) recently turned bearish, suggesting reduced risk appetite, which may lead to a correction toward $90,000 if support at $94,000 fails. Traders are advised to monitor key resistance levels for BTC at $120,899 and ETH at $4,000, with support zones at $111,909 and $2,947, respectively. On-chain data shows record ETF inflows ($1.18 billion for BTC ETFs) and a stablecoin market cap surpassing $250 billion, signaling strong institutional backing. However, overbought signals and macro uncertainties warrant caution, with a focus on fundamental drivers like regulatory clarity and adoption trends for sustained growth.
