As an altcoin rally is sparked by Trump’s 401(k) directive, Bitcoin soars past $117,000.
As Bitcoin (BTC) jumped back above the $117,000 barrier, the cryptocurrency market is displaying newfound resilience. This led to notable rallies in key altcoins, including Ethereum (ETH), Ripple (XRP), and Solana (SOL), which saw gains of up to 11%.
Following US President Donald Trump’s executive order to increase 401(k) (employer-sponsored retirement savings plan) access to alternative assets to increase returns and diversification, there has been a surge in optimism.
The directive is set to open up the
enormous $8.9 trillion retirement savings market to cryptocurrencies by instructing regulators to make investing requirements clearer. Analysts say this is igniting new hope and institutional interest in the cryptocurrency field.
Bitcoin price today
Despite briefly pushing Bitcoin above $117,600, profit booking at higher levels has caused the flagship currency to fall below $117,000 since then. According to CoinMarketCap, Bitcoin was up 1.82 percent at $116,659.59 at the time of the latest check, with a 24-hour trading volume of $66.45 billion.
Over the past day, Bitcoin has moved between $114,545.02 and $117,689.20. As of right now, Bitcoin is down 5.2% from its peak of $123,091 on July 14 of this year.
Analysts weigh in
According to Edul Patel, co-founder and CEO of Mudrex, Trump’s directive for 401(k) plans to diversify into digital assets was a major factor in the recent purchases. “This opens the $8.9 trillion market to crypto, bringing in significant inflows and supporting ongoing institutional adoption.”
Giottus CEO Vikram Subburaj echoed these sentiments, stating that Trump’s directive to incorporate cryptocurrency into US 401(k) retirement plans gives the asset class more credibility and increases its long-term purchasing power. “Along with improving odds of an interest rate cut next month, this should ensure bullishness for the next couple of weeks,” Subburaj stated.
Technically speaking, Patel thinks that Bitcoin’s support has risen over $115,000, opening the door for possible upside, while its immediate resistance is at $118,500. However, Subburaj thinks that in order for altcoins to outperform, Bitcoin needs to stay above $116,000, with $120,000 being the next crucial mark for a strong trend continuation.
Ethereum outperforms
The cryptocurrencies showed more signs of bullishness, with Ethereum trading close to the critical $4,000 resistance level. With $222.3 million for ETH, ETF inflows are still strong, indicating ongoing institutional interest.
According to CoinMarketCap, it was trading at about $3,917.34, up 6.19 percent, with a 24-hour trading volume of $17.47 billion at the time of the previous check.
In the meantime, Bitcoin dominance has dropped to 60%, while Ethereum dominance has surpassed 12% for the first time since early 2025. This suggests that capital is shifting into ETH and a few other cryptocurrencies, such as XRP, LINK, and SUI, according to Riya Sehgal, Research Analyst at Delta Exchange.
With the possibility of a wider consolidation, this change in market structure indicates that altcoin strength may continue in the near future. In addition, some well-known cryptocurrencies saw increases of 11.14 percent for Ripple (XRP), 6.9% for Hyperliquid (HYPE), 7.59% for Cardano (ADA), 3.3% for Solana (SOL), and 2.42 percent for Binance Coin (BNB).
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