Bitcoin Surges 10% Above $100,000 on BlackRock ETF Inflows

Bitcoin (BTC) has made a significant move above the $100,000 mark, indicating a strong bullish trend. This rally has been supported by substantial inflows into the BlackRock spot Bitcoin exchange-traded fund (IBIT), which has seen 19 consecutive days of inflows, with the latest week attracting $1.03 billion. This influx of capital suggests a robust demand for Bitcoin, further bolstering its price trajectory.

The rally in Bitcoin has not been an isolated event. Several altcoins, including Ethereum (ETH), Dogecoin (DOGE), Pepe (PEPE), and Cosmos (ATOM), have also shown strength, breaking out of their large basing patterns. This has led some analysts to declare the start of an altseason, predicting sharp rallies in these altcoins over the coming months. However, not all analysts agree, noting that the gains in altcoins have been modest compared to their previous all-time highs.

Bitcoin's price has been gradually approaching its all-time high of $109,588, suggesting that bulls are not in a hurry to take profits. The relative strength index (RSI) has entered the overbought zone, indicating a potential correction or consolidation in the near term. Support levels are expected between $100,000 and the 20-day exponential moving average ($96,626). If the price rebounds from this support zone, it could increase the likelihood of a break above $109,588, potentially pushing the BTC/USDT pair toward $130,000. Conversely, if bears manage to pull the price below the 20-day EMA, it could lead to a decline to the 50-day simple moving average ($88,962).

Ethereum (ETH) has also seen a significant rally, surging from $1,808 on May 8 to $2,600 on May 10. This aggressive buying has pushed the RSI into overbought territory, suggesting a minor pullback or consolidation is possible. Support levels are identified at $2,320 and $2,111. If the price rebounds from these levels, the ETH/USDT pair could extend its rally to $2,850 and potentially reach $3,000. However, if the price breaks below $2,111, it could result in a range formation between $1,754 and $2,600.

Dogecoin (DOGE) has surged above the $0.21 resistance level, indicating a change in the short-term trend. The rally is facing selling pressure at $0.26, which could lead to a retest of the breakout level at $0.21. If the price rebounds from $0.21 with strength, it suggests a shift in sentiment from selling on rallies to buying on dips, increasing the likelihood of a rally to $0.31. Conversely, if sellers pull the price below the 20-day EMA ($0.19), the DOGE/USDT pair could swing within a large range between $0.26 and $0.14.

Pepe (PEPE) has rallied sharply from the 50-day SMA ($0.000008) and broken above the $0.000011 resistance level. The rally has pushed the RSI into the overbought zone, signaling a potential pullback. Support levels are at $0.000011 and the 20-day EMA ($0.000009). If the price rebounds from these levels, it could improve the prospects for a rally to $0.000017 and $0.000020. However, if the price breaks below the 20-day EMA, it could negate the optimistic view.

Cosmos (ATOM) has broken out of a large base, closing above $5.15 on May 10, signaling a potential trend change. The rally has pushed the RSI into the overbought zone on the 4-hour chart, suggesting a short-term correction or consolidation. If buyers sustain the price above $5.15, the ATOM/USDT pair could rally to $6.50 and potentially reach $7.50. However, if sellers pull the price below $5.15, it could lead to a decline to the 20-EMA and potentially to $4.70.

In summary, the recent rally in Bitcoin and several altcoins indicates a strong bullish trend in the cryptocurrency market. While there are potential support and resistance levels to watch, the overall sentiment remains positive, with analysts predicting further gains in the near term. However, investors should conduct their own research and be aware of the risks involved in cryptocurrency trading.

Ask Aime: Is Bitcoin's surge above $100K signaling an altcoin rally?