Bitcoin Surpasses $105K; Ethereum Aims for $3,000 Recovery Soon

Bitcoin has surged past $105,000, reaching a high of $105,980, with expectations of hitting $116,000. Ethereum rebounded to $2,550 and may target $3,000 soon. Moody’s downgrade of the US credit rating influences market sentiment. Additionally, notable altcoins like Hyperliquid, Monero, and Aave show promise for further gains.

Bitcoin, the leading cryptocurrency reached an impressive high of $105,980 over the weekend, breaking past the significant $105,000 threshold. Analysts speculate that with growing institutional demand, Bitcoin might even climb to $116,000 soon. Meanwhile, Ethereum marked a recovery, bouncing back to $2,550 after a dip earlier in the week and showing potential to approach the $3,000 mark in the upcoming days.

The crypto market seems to be buzzing with activity as Bitcoin’s leap past $105,500 on May 18th signals a renewed vigour. Traders are gradually becoming optimistic, with many anticipating that the upward trend may lead to unprecedented highs in the near future. This surge followed Moody’s notable downgrade of the US government’s credit rating from Aaa to Aa1, a move that could sway market sentiment amid concerns over rising debt and deficits.

In other news, Pavel Durov, co-founder of Telegram, spoke out against pressure from French intelligence officials demanding the censorship of conservative views related to Romania’s elections. He emphasised his commitment to free speech and pointed out the ongoing struggles against such requests in a public statement. This incident highlights the intersection of technology and political discourse, particularly in the crypto space.

In another unfortunate event, Ed Suman, a retired artist, reportedly lost over $2 million in a scam involving a fake Coinbase interface. Having stored his 17.5 Bitcoin and 225 Ether in a hardware wallet, he was tricked into providing his seed phrase to scammers during a bogus security check. This incident serves as a stark reminder of the pressing security issues that plague the cryptocurrency market.

Bitcoin’s recent surge has caught the attention of traders, breaking the barriers it struggled to overcome for days. As it hit its peak, the optimism in the market grew, with traders increasingly looking at potential upward movements. Key technical indicators suggest Bitcoin could rise significantly next week, as some analysts identified what they refer to as an ‘intraday diamond pattern breakout’, a potentially bullish trend.

Established market players remain keen on Bitcoin; a strong spot premium on Coinbase indicates sustained support from US investors. Experts expect that the increasing institutional demand could force Bitcoin prices beyond $200,000 by 2025, although others advise caution, predicting that a minor downturn may occur before a solid recovery.

Ethereum has also regained momentum, climbing over 2.5% in just 24 hours to trade around $2,536 on May 18. This rise follows a dip to $2,440, signalling resilience in the market. Technical analysts believe there is a strong case for Ethereum to breach the $3,000 mark soon, bolstered by solid trading patterns.

Liquidations among short positions in Ethereum echoed significant volatility, with $22.25 million wiped out as rapid market shifts took traders by surprise. Following a bullish setup confirmed on May 13, Ethereum’s continued support above key levels suggests further upside potential.

In terms of altcoins, several are gaining traction in today’s market. Hyperliquid (HYPE) is being monitored closely, facing resistance at $28.50 while showing robust upward trends. Monero (XMR) has also been rallying, having surged to $353 from $262 within a short span. Aave (AAVE) is testing a critical resistance point at $240, with potential for further growth if it breaks above this threshold.

The crypto landscape is shifting rapidly, seasoned traders and newcomers alike are advised to stay alert as they navigate this volatile environment. Keep an eye on market indicators and news updates, as developments evolve quickly in the digital currency realm.