Bitcoin Bounces Off Support—But Why Can’t It Smash Through Resistance?
Bitcoin's latest rebound has traders buzzing—yet again. The crypto king found footing at a key support level, but the rally hit a wall at resistance. No surprise there.
The Struggle is Real
Market sentiment? Mixed. Bulls point to the bounce as proof of resilience. Bears yawn and mutter about 'lack of catalysts.' Meanwhile, institutional whales are probably sipping margaritas while retail traders sweat over charts.
The Elephant in the Room
No volume, no breakout. Simple as that. Until Bitcoin finds a reason to charge past resistance—whether it’s a macro tailwind or another Elon tweet—we’re stuck in this range. Classic crypto: all drama, no delivery.
Cynical Finance Jab
Wall Street still thinks Bitcoin’s a sideshow. Then again, they also thought subprime mortgages were 'contained.'
Market picture
The crypto market capitalisation rose 0.5% during the day to $3.90T, following the reversal of the stock markets and Bitcoin at the end of the day on Wednesday, after falling to $3.79T immediately after the Fed's announcement on the key rate. The influence of macroeconomic factors on cryptocurrencies continues to grow, even in the absence of major industry developments — a trend that can also be seen as part of the market’s maturation.
Bitcoin bulls once again defended the lower boundary of the range, which has been holding for almost three weeks, preventing the price from settling below $116K on Wednesday evening. A powerful buying momentum brought the price back to the $118.6K area. But the market still needs drivers to storm $120K. The US White House report on the development of digital assets did not contain any details that could inspire new buyers, making the crypto market follow the trends of macroeconomics and traditional finance.
News background
According to Glassnode, for the first time since April 2023, ethereum has reached 40% open interest in the derivatives market, while Bitcoin's dominance is showing a decline.
Bernstein believes that large companies are increasingly choosing Ethereum over the first cryptocurrency as an investment vehicle, as ETH offers an income-generating tool such as staking.
The US SEC has begun reviewing an application from BlackRock, the world's largest investment company, to stake Ethereum held in its ETH ETF.
Asian countries are tightening crypto regulations. The Bank of South Korea (BoK) has created a new division to monitor the crypto market. Indonesia has announced tax increases on cryptocurrency transactions, and Hong Kong has finalised rules for stablecoins.
Algeria has banned all cryptocurrency transactions, including exchange, storage, and mining. Violators of the new rules face fines and imprisonment.
Crypto lender Abra has suddenly suspended withdrawals for international customers. The crypto community fears that the platform may repeat the fate of the bankrupt Celsius and BlockFi.
