Crypto markets news: Bitcoin price above $1,09,000 levels today, experts eye long-term growth

Crypto markets news: The world's biggest cryptocurrency reached an all-time high of $1,10,707, up 2.2 per cent on May 22 (Asian markets open), after hitting a peak of 1,09,721 on on May 21, as per data on CoinMarketCap.

At time of writing, Bitcoin has pared some gains, to settle at $1,09,980 at 7.30 am on May 22. It is up 3.25 per cent from the previous day, with market capitalisation of $2.18 trillion, up 3.29 per cent day-on-day, and trading volumes also up 68.89 per cent at $85.13 billion.

According to the CoinSwitch Markets Desk, bullish momentum for Bitcoin has intensified. “Bitcoin futures open interest rose by 10.65 per cent from last week to $74.35 billion, led by Binance with $12.28B, signaling growing leverage in the market. Institutional demand also played a role, with US spot BTC ETFs recording net inflows of $41.7 million on May 20, marking their fifth consecutive day of inflows,” they said.

Outlook for Bitcoin: Experts Eye Long-Term Growth

According to Alankar Saxena, Co-founder and CTO of Mudrex, Bitcoin continues to build momentum, “Net volume delta on major exchanges has turned positive, reflecting growing spot demand. Historically, an increase in spot demand often led to key market tops, driven by rapid sentiment shifts. Notably, Bitcoin supply on exchanges has dropped to 7.1 per cent, the lowest since November 2018, indicating rising investor confidence and a shift toward long-term holding.”

According to Alex Kuptsikevich, market analyst at FxPro, Bitcoin is being driven upwards by a crowd of retail investors, who are also driving the US stock market. “Small players don't care that the US economy is slowing down, and the Fed is not going to cut rates. Traders are buying the S&P 500 and digital assets simply because they are rising…Traders are not particularly concerned about the fact that as Bitcoin grows, the number of fraudulent transactions increases,” he pointed out.

Bitcoin's all-time highs: Move towards $1,25,000?

Joshua Lim, global co-head of markets at FalconX told Bloomberg, “It has been a slow motion grind into new all-time highs. There’s no shortage of demand for BTC from SPAC and PIPE deals, which is manifesting in the premium on Coinbase spot prices.”

In options markets, traders built eye-catching Bitcoin positions earlier this week with the $110,000, $120,000 and $300,000 calls expiring on June 27 logging the most open interest — or number of outstanding contracts — on Deribit, the derivatives exchange.

Tony Sycamore, market analyst at IG, said in a note that the fresh record shows that Bitcoin’s steep decline from a previous high set on January 20 to below $75,000 in April was “a correction within a bull market.”

“A sustained break above $110,000 is needed to trigger the next leg higher towards $125,000,” he added.

Ethereum outperforming Bitcoin? Details

Meanwhile, the second largest token Ethereum rose 2.81 per cent over the past 24 hours to $2,586.63, at time of writing, with market cap of $312.27 billion (up 2.81 per cent) and trading volume of $33.41 billion (up 55.97 per cent), according to CoinMarketCap data.

CoinSwitch Markets Desk noted that the token is holding near the $2,500 level and trading above both its 50- and 100-day moving averages. In fact, according to Riya Sehgal, Research Analyst at Delta Exchange, it has been showing stronger relative strength, gaining nearly 60 per cent over the last month and outperforming Bitcoin.

“Ethereum is trading around the $2,500 mark, a key psychological resistance. While structural indicators like the Golden Cross and ascending trendlines suggest a bullish setup, on-chain data points to short-term overheating. Elevated trading volumes and profit-taking around $2,500 could trigger a minor pullback or consolidation. In the near term, we expect volatility to remain elevated, with ETH needing to hold above $2,200 and BTC above $105,000 to sustain bullish momentum. Broader market sentiment remains cautiously optimistic as we await further confirmation of trend continuation,” she said.

Harish Vatnani, Head of Trade at ZebPay, Ethereum has seen swings, moving from recent lows of $1,385 to $2,738 in a 97 per cent prices surge, “The asset currently faces strong resistance at $2,850. If it breaks and closes above this level with good volumes, we can expect prices to rally further to $3,000 and $3,350,” he noted.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.

(With inputs from Bloomberg)