Bitcoin Faces Resistance Near $117,500 Amid Strong Institutional Demand
Bitcoin (BTC) encountered significant resistance at the $117,500 level on Monday, triggering profit-taking among short-term traders and pulling the price below $115,000. Despite this, bulls retain control as long as the price remains above the 20-day exponential moving average (EMA) at approximately $113,400.
Keith Alan, co-founder of Material Indicators, noted on X that Bitcoin has not reached a peak at $124,500 due to sustained institutional interest. Supporting this, SoSoValue data shows spot BTC exchange-traded funds (ETFs) recorded $642.35 million in inflows on Friday, bringing the weekly total to $2.34 billion. Ether (ETH) ETFs also attracted $637.68 million last week, indicating broad institutional appetite.
However, some market participants remain cautious. Lookonchain reported that a long-term BTC whale recently transferred 1,176 BTC (valued at over $136 million) to the Hyperliquid (HYPE) platform and has begun liquidating holdings, suggesting potential near-term selling pressure.
S&P 500 Index Eyes Resistance at 6,700 to 7,000
The S&P 500 Index (SPX) continues its upward trajectory, with buyers targeting the 6,700 resistance zone where bears are anticipated to mount significant defense. Maintaining levels above the 20-day EMA (6,491) is critical for bulls to extend the rally toward 7,000.
On the downside, bears need to push the index below the 50-day simple moving average (SMA) at 6,391 to gather momentum. A decline to the breakout support at 6,147 could attract buyers and stabilize the index.
US Dollar Index Encounters Selling Pressure Below 97.10
The US Dollar Index (DXY) has repeatedly failed to break above key moving averages, facing resistance from sellers. A drop below the 97.10 support level could lead to further declines toward the strong support at 96.37 and potentially 95.00.
Conversely, a decisive break above the moving averages would signal easing selling pressure and could propel the index toward 99.00 and 100.50.
Altcoins Show Mixed Signals with Potential for Short-Term Corrections
Ethereum (ETH) retreated from the $4,788 to $4,956 resistance zone, indicating active selling at higher levels. The 20-day EMA at $4,438 is a critical support; a rebound here could enable bulls to resume upward momentum toward $5,500. Failure to hold this level may result in a decline to $4,060.
XRP declined from $3.18 and is currently testing the breakout level from its descending triangle pattern. A successful rebound off the downtrend line would support further gains toward $3.40 and $3.66. However, a breakdown below this line might signal a bull trap, risking a drop to $2.69.
Solana (SOL) faced resistance near $260 after retreating from $250. The 20-day EMA at $217 is a key support that may attract buyers. A bounce could lead to a retest of $260 and possibly the all-time high at $295. A break below the EMA could trigger a correction toward the 50-day SMA at $195.
Binance Coin (BNB) remains in a strong uptrend, supported by rising moving averages and positive RSI readings. Bulls aim to reach $1,000, with the 20-day EMA at $884 serving as initial support. A sustained rebound here could push prices toward $1,100, but a fall below the 50-day SMA at $841 may indicate a short-term top.
Dogecoin (DOGE) briefly surpassed the $0.29 resistance but failed to hold gains, with bears attempting to drive the price toward the 20-day EMA at $0.24. A strong bounce from this level could facilitate advances to $0.31, $0.35, and $0.44. Conversely, a drop below the EMA may lead to a slide toward the 50-day SMA at $0.22.
Cardano (ADA) is consolidating within a symmetrical triangle pattern, reflecting market indecision. A breakout above resistance could propel ADA toward $1.02, with further targets at $1.17 and $1.25. Failure to hold support may result in a decline to $0.78 or lower to $0.68.
Hyperliquid (HYPE) pulled back modestly after reaching $57.44 but remains in an uptrend supported by a rising 20-day EMA at $50.11 and positive RSI. Bulls aim to surpass $57.44 to target $64.25, while support levels at $49.88 and the 50-day SMA at $45.28 are critical. A close below the 50-day SMA might indicate a short-term peak.
This analysis does not constitute investment advice. Market participants should conduct their own research and consider risks before making trading decisions.
FinOracleAI — Market View
The current market environment shows a cautiously optimistic outlook. Bitcoin’s resistance near $117,500 amid strong institutional inflows suggests sustained underlying demand, though whale activity introduces short-term volatility risks. The S&P 500’s steady advance and the US Dollar Index’s pressure below key supports point to continued risk-on sentiment but with potential pullbacks. Altcoins exhibit mixed signals, with several poised for corrections but likely to attract buyers at lower levels.
Investors should monitor Bitcoin’s ability to breach $117,500 and the S&P 500’s behavior around 6,700 for clues on broader market direction. Additionally, watch for key support tests in the US Dollar Index and altcoins like ETH and SOL to assess risk appetite. Volatility may increase if large holders accelerate selling or if macroeconomic data impacts risk sentiment.
Impact: Neutral
