Bitcoin has smashed through a new milestone, crossing a $2.18 trillion market capitalization for the first time. This record signals strong bullish momentum in the cryptocurrency market and highlights growing confidence in the digital asset.
At the time, Bitcoin was valued at around $104,000 and it was traded on Binance and Coinbase for a total of over $55 billion each day. As a result, Bitcoin has become more influential and more institutions are getting involved which has increased liquidity in the whole market.
Still, experts advise people to be careful. Bitcoin’s RSI is at 72 and the MACD is in the bullish zone, but these signs suggest that the market may be overbought. A small drop in prices may happen after the rally.
According to Glassnode, the number of wallets containing more than 1 BTC rose by 15% from May 10 to May 18, indicating investors are buying more Bitcoin. The ProShares Bitcoin Strategy ETF (BITO) has climbed 5% to reach $28.50.
Stocks in the cryptocurrency industry rose as well. On May 17, Strategy (MSTR) climbed 3.2%, Coinbase (COIN) moved up 2.8% and the S&P 500 rose by 0.5%, indicating a stronger link between traditional stocks and cryptocurrencies.
While the market was rising, Crypto Rover alerted users about a possible “Sunday Scam Pump.” A number of low-cap altcoins jumped by more than 20% to 50% which made traders worry.
Investors should keep an eye on interest rates and the stock market, as they could influence crypto’s future.
Also Read: Bitcoin Price will Hit $250K by 2025: Robert Kiyosaki
