Bitcoin News Today: Bitcoin consolidates at $118K as altcoins gain traction with strong institutional inflows

Bitcoin has maintained a hold around the $118,000 level following its failed attempt to breach the all-time high of $123,218 earlier in the week, signaling potential resistance in the $120,000 to $123,218 zone [1]. Analysts, including those from ZAYK Charts, have suggested that the price rejection may indicate the start of a distribution phase, with the possibility of a drop toward $95,000 if confirmed [1]. Despite this, the 20-day simple moving average remains relatively flat at around $116,779, with the RSI showing positive momentum, suggesting buyers could attempt another push toward $123,218 [1].

Meanwhile, the altcoin market shows resilience, with Ether (ETH) leading the rally. On Monday, spot Ether ETFs recorded their highest-ever net inflows of $1.01 billion, according to Farside Investors, indicating strong institutional demand and a bullish outlook for the broader market [1]. Ether has pushed above the $4,366 level, supported by bullish technical indicators including upsloping moving averages and an overbought RSI, suggesting further gains to $4,868 may be on the horizon [1]. Critical support is now seen at $4,094, with a breakdown potentially signaling a deeper pullback toward $3,833.

BNB (BNB), another major altcoin, has been trading in a tight range between $792 and $827 over the past three days, reflecting indecision between bulls and bears. A break above $827 could push the price toward $861, while a drop below the 20-day SMA at $787 might trigger a correction to $761 or even $732 [1]. The 4-hour chart shows signs of a bearish divergence in the RSI, indicating caution for short-term traders.

Chainlink (LINK) has shown renewed strength after breaking above the $18 resistance level, with a subsequent push to $22.70, followed by a test of $27. If the bears fail to defend this level, the price could extend higher toward $30. However, a sharp decline below $20.83 could signal a short-term reversal and bring the price down to $20 or $18 [1].

Uniswap (UNI) has bounced off the 50-day SMA at $9.05, supported by strong buying at lower levels. The price faces immediate resistance at $12, with a successful breakout potentially pushing it toward $15. However, a breakdown below the 20-day SMA at $10.19 could signal a deeper pullback toward $9.50 or even a consolidation between $8.50 and $12 [1].

Collectively, these developments highlight a market where Bitcoin remains in a consolidation phase, while several altcoins exhibit strong upward momentum. Investors are closely watching whether Bitcoin can break through key resistance levels to reignite a broader bull trend, or whether it will enter a prolonged correctionary phase. For now, Ether and select altcoins continue to attract significant institutional interest, potentially extending the altcoin rally in the near term.

Source: [1] Bitcoin holds $118K while ETH, BNB, LINK, UNI aim to extend the altcoin rally (https://cointelegraph.com/news/bitcoin-holds-dollar118k-while-eth-bnb-link-uni-aim-to-extend-the-altcoin-rally?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound)