Bitcoin News Today: Bitcoin Soars to $121,259 on 401(k) Inclusion and $578M Inflows

Bitcoin (BTC) continues to rally, reaching as high as $122,335 in recent trading sessions, with bulls maintaining control amid favorable technical indicators. The cryptocurrency is currently trading near $121,259, having rebounded from support at around $112,000 following a sell-off on August 2. The rally appears to be driven by strong speculative demand, particularly following the U.S. government’s announcement allowing digital assets into 401(k) retirement plans [1]. The CoinShares report noted a significant inflow of $578 million into digital investment products last week, with Ethereum-based Exchange Traded Products (ETPs) leading the way with $268 million in inflows [2].

Ethereum (ETH) also saw a key breakthrough, breaking above the four-year resistance level at $4,000 for the first time since November 2021. The asset is now consolidating gains around $4,252, with its price holding near an intraday high of $4,349. A buy signal from the Moving Average Convergence Divergence (MACD) supports the bullish technical outlook, with the green histogram bars expanding above the zero line reinforcing the upside bias. However, traders are cautioned to remain cautious given that the Relative Strength Index (RSI) is stabilizing in overbought territory, often a precursor to price corrections [3].

XRP is showing similar strength, with bulls pushing the asset toward its all-time high of $3.66. The token is currently trading near $3.26, with moving averages trending upward, including the 50-day Exponential Moving Average (EMA) at $2.88 and the 200-day EMA at $2.39. The Relative Strength Index (RSI) is approaching overbought levels, indicating increasing buying pressure and potentially signaling a closing of the gap to its record high. Additionally, institutional interest has picked up following a joint motion to drop appeals filed by Ripple and the U.S. Securities and Exchange Commission (SEC), further fueling expectations of a bullish breakout [4].

The broader market has also seen increased institutional and retail participation, with altcoins like Solana (SOL) and XRP recording inflows of $21.6 million and $18.4 million respectively. Inflows were largely driven by U.S. investors, who contributed approximately $608 million, followed by Canadian investors with $16.5 million. However, European interest remains muted, with Germany, Sweden, and Switzerland collectively experiencing outflows totaling $54.3 million [5].

Bitcoin’s technical outlook remains bullish as it approaches its previous record high of $123,218, with traders watching key support levels at $120,000. A continuation of the current uptrend would depend on the MACD line remaining above the signal line and RSI staying elevated but not signaling overbought exhaustion. The market is closely monitoring whether the current momentum can be sustained without triggering a correction [6].

Source: [1] Crypto Today: Bitcoin, XRP bulls push for record high breakout, Ethereum consolidates gains (https://www.fxstreet.com/cryptocurrencies/news/crypto-today-bitcoin-xrp-bulls-push-for-record-high-breakout-ethereum-consolidates-gains-202508111115)

[2] Ibid.

[3] Ibid.

[4] Ibid.

[5] Ibid.

[6] Ibid.