Bitcoin Holds Below $109,588 Amid Institutional Investment Surge

Bitcoin has been holding steady below the $109,588 level over the weekend, but analysts remain optimistic about its long-term prospects. Material Indicators co-founder Keith Alan noted that as long as Bitcoin trades above the yearly open level of approximately $93,500, the outlook remains positive. The demand for Bitcoin is expected to stay robust due to investments from sovereign wealth funds, exchange-traded funds, publicly listed companies, and select nations. According to a report by Bitwise, institutional funds could inject roughly $120 billion into Bitcoin by 2025 and about $300 billion by 2026.

Despite the promising long-term outlook, traders are advised to exercise caution in the near term. The failure to quickly push the price back above $109,588 could attract profit-booking by short-term traders, potentially leading to a pullback in several altcoins. Bitcoin dropped below the breakout level of $109,588 on May 23, and bears thwarted attempts by bulls to push the price back above the overhead resistance on May 24. The bulls will again attempt to drive the price above the $109,588 to $111,980 overhead resistance zone. If successful, the BTC/USDT pair could rally to the target objective of $130,000. The 20-day exponential moving average ($104,199) is a critical level to watch in the near term. If this support cracks, the pair could plummet to $100,000 and later to the 50-day simple moving average ($94,916).

Hyperliquid (HYPE) has broken above the $35.73 resistance, indicating that the bulls have maintained pressure. If the price sustains above $35.73, the HYPE/USDT pair could pick up momentum and surge to $42.25. Sellers will try to halt the up move at $42.25, but if the bulls prevail, the pair could skyrocket to $50. Conversely, sellers are likely to attempt to pull the price back below the breakout level of $35.73. If they succeed, the pair could drop to the $32.15 support, where buyers are expected to step in.

Monero (XMR) soared above the $391 resistance on May 21, indicating that the bulls remain in control. The sharp rally of the past few days has kept the RSI in the overbought zone, suggesting that the bulls remain in command. If buyers maintain the price above $412, the XMR/USDT pair could resume its uptrend toward $456. Sellers will have to yank the price below the $375 level to weaken the bullish momentum, which could attract selling by short-term buyers, pulling the pair to the 20-day EMA ($347). A break and close below the 20-day EMA suggests a short-term trend change.

Aave (AAVE) successfully held the retest of the breakout level of $240 on May 23, indicating demand at lower levels. The rising 20-day EMA ($231) and the RSI in the overbought zone show that the bulls have the edge. The AAVE/USDT pair could rally to the $285 level, which is expected to behave as a strong resistance. If buyers overcome the barrier at $285, the up move could extend to $300 and later to $350. Any pullback is expected to witness solid buying at the 20-day EMA. If the price rebounds off the 20-day EMA, the bulls will again try to pierce the overhead resistance. The bears will be back in the game on a break below the 20-day EMA.

Worldcoin’s (WLD) recovery is facing selling at $1.65, but a minor positive is that the bulls have not allowed the price to dip below the 20-day EMA ($1.20). The upsloping moving averages and the RSI in the positive territory indicate an advantage to buyers. If the price turns up from the current level or the 20-day EMA, the bulls will again attempt to shove the price above the $1.65 resistance. If they can pull it off, the WLD/USDT pair could rally to $2.50. There is resistance at $1.89, but it is likely to be crossed. This positive view will be invalidated if the price turns down and breaks below the 20-day EMA. The pair could then decline to the 50-day SMA ($0.99).