Bitcoin Nears All-Time High Amidst Massive Inflows, While Altcoins Underperform

Bitcoin is on the verge of breaking its all-time high, fueled by billions in Wall Street ETF inflows, with strong bullish market indicators supporting continued upward momentum. Simultaneously, altcoins are expected to underperform Bitcoin due to a bullish divergence in Bitcoin dominance, leading to potential short-term pullbacks across the altcoin market.

Key Points Summary

• Bitcoin Price Action

  Bitcoin is nearing a new all-time record high breakout, with market indicators strongly pointing towards continued bullish momentum. The weekly Bitcoin price chart shows a super trend indicator in the green, signaling a larger bull market, and the next weekly candle close is poised to invalidate a previous bearish divergence by confirming above historical highs around $119,500. A bullish crossover in the 3-day Bitcoin MACD further indicates increased bullish momentum, departing from previously flat momentum observed over the past few weeks. An all-time high breakout is extremely likely in the coming days or within one to two weeks, with the current all-time high on the chart around $124,500 offering minimal resistance to further ascent. Additionally, a hidden bullish divergence is playing out, providing another bullish signal, and a double bottom or W pattern points to a technical price target of approximately $126,000 to $127,000. Short-term cool-offs, as seen on the 4-hour timeframe, are considered healthy for the bullish trend, resetting the RSI from overbought conditions and allowing for more sustainable upward movement.

• Institutional Inflows (Spot Bitcoin ETFs)

  Wall Street's spot Bitcoin ETFs experienced a massive week of net inflows, accumulating multiple billions of dollars into Bitcoin. Net inflows included over $500 million on Monday, approximately $430 million on Tuesday, $675 million on Wednesday, $627 million on Thursday, and almost $1 billion on Friday (around $985 million), marking one of the highest single-day inflows on record. These significant institutional investments are causing huge buying pressure, which is actively helping to push up Bitcoin's price.

• Bitcoin Dominance

  The 3-day Bitcoin dominance chart is currently playing out a short-term bullish divergence, which implies an expected increase in Bitcoin's relative market share. This trend is forecasted to continue for at least the next few days, possibly longer, suggesting that a significant portion of the altcoin market will likely underperform Bitcoin. While altcoins might still see some bullish action if Bitcoin pumps, they are expected to gain less, and during Bitcoin cool-offs, altcoins could experience more pronounced pullbacks.

• Altcoin Market Performance

  The broader altcoin market is expected to underperform Bitcoin due to the ongoing bullish relief in Bitcoin dominance. This means many altcoins will see "a little bit worse" performance than Bitcoin; for example, if Bitcoin experiences a major bullish move, altcoins will likely also rise but with less intensity. Conversely, if Bitcoin undergoes a cool-off, many altcoins could see a more significant pullback. Understanding Bitcoin's price movements and Bitcoin dominance is crucial for anticipating altcoin performance.

• Ethereum (ETH) Analysis

  Ethereum's price is currently trading within a defined sideways range, with support between $3,900 and $4,100, and resistance between $4,800 and $4,900. In the shorter term, ETH is struggling to hold above an area of support between $4,470 and $4,500. A confirmed 8-hour or daily candle close below $4,460 could signal a breakdown in the bullish structure, potentially leading to a pullback towards the next price target of $4,250 to $4,280. Ethereum's trajectory is highly influenced by Bitcoin's price action and Bitcoin dominance, meaning a Bitcoin cool-off combined with strong Bitcoin dominance could lead to a short-term breakdown, while a Bitcoin all-time high breakout would likely still see Ethereum underperform Bitcoin.

• Solana (SOL) Analysis

  Solana's price is encountering resistance at approximately $230, which previously acted as support, indicating short-term weakness. Further resistance is observed between $250 and $260. Key support levels are identified around $215 to $216, with substantial support ranging from $190 to $200. Similar to Bitcoin and Ethereum, Solana is currently cooling off from overbought conditions on the 4-hour RSI, suggesting a potential short-term cool-off over the next one to two days. This expected cool-off is further exacerbated by Bitcoin's short-term price action and the bullish Bitcoin dominance.

• XRP Analysis

  XRP's weekly chart continues to display a massive bearish divergence that has played out since July, leading to a larger cool-off. On the daily chart, XRP is perfectly rejecting from the resistance area between $3.10 and $3.15. This rejection is consistent with historical price action at this strong resistance level. Potential retests of support include $2.93 to $2.94, and if that level breaks, a more significant support area between $2.70 and $2.80, where major bounces have occurred, could be retested. A short-term pullback for XRP is likely if Bitcoin cools off and Bitcoin dominance remains strong, though the asset is generally trading within a sideways range.

• Chainlink (LINK) Analysis

  Chainlink's price is currently breaking below its support level around $22.30. It is crucial for Chainlink to hold above $22; a daily candle close below this level significantly increases the probability of a pullback towards the next major support area between $19 and $20. Resistance to watch out for is at approximately $23, with the next significant resistance at around $25. Like other altcoins, Chainlink's price action is highly correlated with Bitcoin's performance and Bitcoin dominance, suggesting a cool-off is probable in the short term if Bitcoin experiences a slight cool-off and Bitcoin dominance continues its bullish relief.

• Trading Strategy and Personal Position

  The speaker maintains a personal Bitcoin long position, initiated at $110,000, betting on continued bullish price action. The strategy involves taking partial profits along the way and moving the stop-loss into profit to secure gains while leaving upside potential open. This approach allows for continued profitability from bullish moves and protection against sudden crashes. The current long position has realized approximately $6,000 in profits and unrealized profits of nearly $7,000, all within less than a week, demonstrating quick profits in the crypto market. This is presented as a personal trading action and not as financial advice.

• Recommended Crypto Exchanges

  The speaker recommends two no-KYC crypto exchanges for trading: BTEX and Two BIT. Both exchanges offer significant trading and deposit bonuses exclusively through provided referral links. BTEX offers up to 120,000 USDT in trading bonuses and various deposit bonuses (e.g., $20 for a $100 deposit, $200 for a $1,000 deposit). Two BIT provides up to 10,000 USDT in trial fund bonuses, 8,000 USDT in withdrawable stable coins for deposits and trading, and a 30 USDT signup bonus with a one-month free VIP3 upgrade just by creating an account. These bonuses are highlighted as opportunities for traders to maximize their capital and reduce fees.

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