Bitcoin Surges 5% to $105,980 on Institutional Demand

Bitcoin's price surged above $105,000, marking a significant milestone in its recent bullish trajectory. The cryptocurrency's rally, which began on May 18, saw it reach a peak of $105,980, driven by increasing institutional demand and bullish market sentiment. This surge has reignited optimism among traders, who are now speculating about potential new all-time highs. The momentum indicators signal strength, with Bitcoin breaking above its key resistance level at $105,000. This breakout has led to predictions of further gains, with some analysts suggesting that Bitcoin could reach $116,000 early next week. The bullish sentiment is further supported by the fact that Bitcoin recorded its highest daily candle close on record, ending above $105,000. This development has led some analysts to opine that Bitcoin may never trade below $47,000 again, indicating a strong floor for the cryptocurrency.

The surge above $105,000 has also led to a shift in focus among some market participants, who are now looking at altcoins as potential beneficiaries of the bullish momentum. While Bitcoin remains strong, select analysts are shifting their focus to altcoins as they believe an altcoin season could be around the corner. This shift in focus is driven by the belief that altcoins, excluding Ether (ETH), could deliver one of their most powerful runs since 2017. The bullish sentiment is further supported by the fact that Bitcoin has been stuck in a narrow range for the past few days, but the rally above $105,500 on May 18 increases the possibility of an upside breakout. The bulls are trying to overcome the overhead resistance at $105,820, and a break and close above this level increases the likelihood of a retest of the $109,588 level. If the bulls prevail, the BTC/USDT pair could skyrocket to $130,000. However, a sharp drop below $100,000 signals that the bears have seized control, which may tempt several short-term bulls to book profits, pulling the pair toward the 50-day simple moving average. The pair has broken out of the symmetrical triangle pattern on the 4-hour chart, indicating that buyers are in control. There is resistance at $105,820, but it is likely to be crossed. If that happens, the pair could march toward the all-time high of $109,588 and thereafter to the pattern target of $110,922. Sellers are likely to have other plans. They will try to pull the price back into the triangle. If that happens, the aggressive bulls may get trapped, pulling the pair to $100,000. If this level also cracks, the drop could extend to the target objective of $95,616. The upsloping moving averages and the RSI in the overbought zone indicate that the buyers are in command. A break and close above $28.50 could catapult the HYPE/USDT pair toward $35.73. If the price turns down sharply from $28.50, it signals that the bears are aggressively defending the level. The pair could then slide to the 20-day EMA, which is likely to attract buyers. If the price rebounds off the 20-day EMA, the bulls will strive to clear the overhead resistance. The pair is finding support at the 50-SMA on the 4-hour chart, indicating buying on dips. The bulls will try to strengthen their position by pushing the price above the $28.50 level. If they do that, the pair could rally to $31.33. Instead, if the price turns down and breaks below the 50-SMA, it implies that the bulls are booking profits in a hurry. That could sink the pair to $24 and later to the solid support at $23. The shallow pullback of the past few days shows that the bulls are hanging onto their positions as they anticipate another leg higher. If the price continues higher and breaks above $353, the XMR/USDT pair could skyrocket to $391 and then to the target objective of $422. The immediate support on the downside is at $331. A break and close below $331 could pull the pair down to the 20-day EMA. If the price rebounds off the 20-day EMA, the bulls will again try to resume the uptrend. The pair is finding support at the 50-SMA, but the bulls are struggling to push the price above the overhead resistance at $353. If the price turns down and breaks below the 50-SMA, the pair could start a deeper correction to $317 and then to $300. On the contrary, a break and close above $353 signals the resumption of the uptrend. The pair could march toward $391, where the bears are expected to step in. Aave (AAVE) is facing resistance at the $240 level, but a positive sign is that the bulls have not allowed the price to dip to the 20-day EMA. That suggests buying on every minor dip. If the price closes above $240, the AAVE/USDT pair could start the next leg of the up move. The pair could rise to $280, which may act as a resistance, but if the bulls persist, the next stop could be $300. Sellers will have to drag the price below the 20-day EMA to prevent the upside. If they can pull it off, the pair could tumble to the crucial support at $196. Buyers are expected to vigorously defend the $196 level. The pair has been consolidating between $217 and $240 for some time. The 20-EMA has started to turn up, and the RSI has risen into the positive zone, signaling an advantage to buyers. A break and close above $240 could drive the pair to $267. On the other hand, if the price turns down from $240, it suggests that the bears are fiercely defending the level. That could keep the pair stuck between $240 and $217 for some time. Sellers will have to tug the price below $217 to signal a comeback.