Why is the crypto market rising today?

The total crypto market capitalization (TOTAL) has increased by 104 billion dollars, and Bitcoin also bounced back by reclaiming the $109,000 mark in the past 24 hours. On the altcoin side, Bonk (BONK) surged 22%, reaching the highest trading level in 3 weeks.

Today's highlights:

– A bankruptcy court in the US has allowed Celsius's lawsuit against Tether to proceed, accusing Tether of breaching a contract related to 4 billion dollars worth of Bitcoin. However, the outcome of the lawsuit remains unclear, as Celsius has repaid most of the creditors, so it cannot be determined how this money would be used if they win the case.

– The U.S. Securities and Exchange Commission (SEC) has approved Grayscale's new ETF fund, which includes 5 digital assets, but has issued an indefinite suspension order, not yet allowing the fund to launch in the market. Analysts have put forward several hypotheses regarding this delay, but until the SEC provides a clear explanation, nothing is certain.

The crypto market bounces back strongly

The total cryptocurrency market capitalization has increased significantly — an additional 104 billion dollars in just 24 hours, bringing the total market capitalization to 3.31 trillion dollars and establishing this area as strong support. This indicates strong confidence from investors and the overall stability of the market, while a clear upward trend is forming.

In the near future, the next important target for the total market capitalization of crypto is $3.43 trillion. Having already reached a three-week high, this milestone is completely within reach if the positive momentum continues to be maintained. Sustainable bullish signals will play a key role in helping the market break through the next resistance area and maintain an upward trend.

Total market capitalization of crypto | Source: TradingViewHowever, unexpected selling pressure could disrupt the current upward trend. If market sentiment changes, TOTAL could lose the support level of 3.31 trillion dollars and drop to 3.26 trillion dollars or lower. Sliding significantly below this level would signal a shift to a bearish trend and could lead to further losses.

Bitcoin breaks the resistance level

Bitcoin has bounced back after nearly falling to the $105,000 mark on Wednesday and is currently trading around $109,221. At present, this coin is striving to hold the $108,000 mark as support. Maintaining above this level is crucial for Bitcoin's next move in the coming days.

To continue its upward momentum, Bitcoin needs to overcome the barrier at $109,476. If successful, BTC could aim for $110,000 and even higher. Sustainable growth will be the key factor in determining whether the king of cryptocurrencies can break through this resistance zone and maintain an upward trend.

Bitcoin Price Analysis | Source: TradingViewHowever, if selling pressure from investors increases, Bitcoin may lose the support level of 108,000 dollars. In that case, BTC is likely to test the support level of 105,585 dollars, which will signal a bearish reversal. Any significant drop below this support level will further dampen the Bitcoin price outlook.

BONK continues the bounce back process

BONK has risen to become the best-performing altcoin of the day, increasing by over 22% and currently trading at $0.0000173. This is the highest level in 3 weeks for this memecoin, thanks to strong buying activity. The upward momentum is clearly evident as BONK continues to attract attention in the market.

The next important resistance level for BONK is $0.00001779, with potential for further increase if the current momentum is maintained. To sustain the upward trend, it is crucial to maintain the support level of $0.00001618. If this level is held, the price could easily aim for the next resistance target.

BONK Price Analysis | Source: TradingViewHowever, there is still a risk for investors to take profits. If selling pressure increases, BONK will drop below the support level of $0.00001618 and continue to plummet to $0.00001548. This will invalidate the bullish forecast and lead to deeper declines.

Minh Anh