Bitcoin Tested $125,000, Altcoins Remain Dormant

In recent days, while the price of Bitcoin has been testing the 125,000 dollar threshold, analysts are evaluating the dynamics behind this rise. With rising ETF inflows and increasing stablecoin supply, it is thought that Bitcoin's upward trend may continue.

Over the weekend, the price of Bitcoin (BTC), which surpassed the 125,000 dollar level, indicates that investors are acting on expectations of looser monetary policies on a global scale. While the total value of the crypto market has exceeded 4.07 trillion dollars, the "Fear and Greed Index," which measures market sentiment, has reached a level of 64. This situation signals that there remains a cautiously optimistic sentiment in the market.

Analysts note that the short-term profit-taking seen in Bitcoin's price is a normal "bull market breath." According to CoinDesk data, the recent weekend's rise was not due to leveraged trading but was primarily driven by increased spot demand from ETFs. The mere 65 million dollars worth of liquidation transactions that occurred supports this view.

On the other hand, profit-taking has also been observed in altcoins, while BNB is showing a remarkable performance. The price of Binance Coin has reached 1,184 dollars with an increase of over %17 in the last 7 days. However, slight declines have been recorded in other major altcoins such as Dogecoin, Ripple, and Cardano. This indicates that capital rotations in the market are still ongoing.

Comments from analysts emphasize that the 125,000 dollar level is a critical point. FxPro analyst Alex Kuptsikevich noted that Bitcoin has technically experienced a strong breakout, but long-term investors have been selling at these levels since July. Kuptsikevich stated, "New peaks may be tested, but selling pressure may increase again at these levels."

LVRG analyst Nick Ruck linked the recent price movements to inflation concerns and institutional investors' hedge positions. According to experts, the increase in stablecoin supply valued at 45 billion dollars in the last quarter represents new liquidity in the market and may provide fuel for Bitcoin to permanently surpass the 125,000 dollar level.