BTC Nears Record Highs as Total Market Cap Peaks at $4.21T

Key takeaways: 

• Bitcoin rallied 14% in every week, eyeing $124,000 amid a US authorities shutdown.

• Onchain information confirmed a $1.6 billion surge in shopping for and a Coinbase premium hole of $92, signaling US-led demand.

• Analysts see resistance close to $130,000, with worth discovery potential subsequent week.

Bitcoin (BTC) has staged a fierce rally over the previous week, climbing 14% to commerce a couple of {dollars} away from $124,000 from a variety low close to $108,600 final Friday. This surge might nudge Bitcoin into recent price-discovery territory above $125,500, as the whole crypto market cap pushed above $4.21 trillion, a mark that underscored the broad power of this rally.

One stunning catalyst behind this worth rise is the US authorities shutdown and the way markets look like ignoring it. As federal businesses furlough employees and financial information releases face delays, investor uncertainty is rising.

In these circumstances, Bitcoin has instantly benefited, rising 8% because the shutdown, with merchants positioning across the lack of clear coverage path. The federal government halt additionally sophisticated the Federal Reserve’s selections since inflation and jobs information could possibly be postponed, heightening speculative flows into crypto.

In feedback to Cointelegraph, Bitfinex analysts stated,

”Bitcoin’s motion towards a brand new all-time excessive seems genuinely natural. We suspect that Trump’s announcement of probably contemplating a stimulus cheque for each citizen, funded by tariffs, might additionally contribute to an additional rise in Bitcoin’s worth. This might mirror what we witnessed following the Covid stimulus cheques. In the meantime, regular ETF inflows present a transparent tailwind.”

Referencing macroeconomic circumstances within the US, the analysts defined that “macro circumstances stay supportive, with inflation easing and the Federal Reserve adopting a extra dovish stance, which boosts urge for food for danger belongings. […] If inflows stay constant and macro information doesn’t ship any upside surprises, the trail towards extra new all-time highs in This fall seems nicely supported.”

Onchain BTC shopping for strain mounts

Onchain information confirmed the surge is pushed by sturdy demand. Analyst Maartunn noted a taker purchase quantity spike of over $1.6 billion in a single hour throughout all exchanges.

In the meantime, the Coinbase Premium Gap, which measures worth variations between Coinbase and Binance, rose to $91.86. Analyst Burak Kesmeci explained that US traders are paying practically $92 extra per Bitcoin on Coinbase, signaling sturdy US-led demand. 

Nonetheless, that is the very best premium since mid-August, a degree the place bullish momentum has traditionally cooled in 2025. 

Related: Bitcoin due for squeeze as record $88B open interest sparks ‘flush’ worries

Worth discovery outlook for subsequent week

With Bitcoin urgent close to document highs, analysts anticipated worth discovery within the coming week. Crypto dealer Jelle noted,

“$120,000 being was help in the present day. Maintain it over the weekend, and I anticipate worth discovery to renew as early as subsequent week.”

Dealer Rekt Capital described this stage as “Section 3 Worth Discovery” of the present cycle, the breakout part, the place new highs get established.

Analyst Skew pointed out that whereas demand is strong, heavy promote orders cluster round $130,000, making that the subsequent key resistance. The analyst additionally highlighted the sturdy US inflows by way of Coinbase and enormous “risk-on” positioning on Binance, stressing that the upcoming day by day closes will likely be crucial in confirming whether or not BTC can maintain momentum. 

Related: Stablecoins break $300B market cap, post 47% growth year-to-date

This text doesn’t comprise funding recommendation or suggestions. Each funding and buying and selling transfer entails danger, and readers ought to conduct their very own analysis when making a choice.