Since both Bitcoin and Ethereum are on the verge of hitting new all-time highs—the former above $123,000, the latter beyond $4,890—they have taken center stage in the market’s conversation.

Bullish trends in the worldwide market have been the main source of the current hype, especially as the barrier to entry for traditional investors into the cryptocurrency space continues to disappear.

The market has been significantly impacted by events such as Trump’s recent executive order permitting 401(k) plans to include cryptocurrencies as an asset class and the recent surge in cryptocurrency reserves spearheaded by conventional institutions.

In any case, is it still possible for both assets to soar above their previous peaks? To ascertain where the assets are probably headed next, FinanceFeed examines the state of the market and its tendencies.

Key Takeaways

• Both Bitcoin and Ethereum are near record highs, with strong market interest driving momentum.
• Institutional activity is a major factor, including large ETH purchases by Ark Invest, Fundamental Global, and BitMine.
• Bitcoin shows short-term weakness, with potential pullback levels at $115,007, $116,293, and $117,801.
• Ethereum’s fundamentals remain strong, boosted by inflows, network growth, and upcoming upgrades.
• Market sentiment can shift quickly, meaning bullish projections for both assets are subject to rapid change.

Bitcoin May See a Decline Despite the Existence of Bulls

A one-day chart analysis of Bitcoin’s price behavior indicates that a decline in the asset’s value is likely.

At the time of writing, the asset’s price peaked at $122,000 in the early hours of August 11 and had formed a tombstone doji. Curiously, the price was compelled to drop when this also happened at the resistance level of $119,767.

According to price statistics, this pattern is comparable to the one that preceded Bitcoin’s decline after it hit a new all-time high of $123,140 on July 14.

Given that a breakthrough is still anticipated, an analysis of institutional and retail investor activity reveals a difference in strategy for the asset.

The data shows that while institutional investors have slowed down and have not made any significant progress, retail investors have continued to amass the asset.

This is shown as a red bubble that forms at the top of Bitcoin’s price. However, if the green bubble takes control, it indicates that this group has started to sell.

This measure, which has traditionally preceded the market dips in late 2024 and 2025, is based on the average executed order size of Bitcoin in the futures market, according to CryptoQuant.

As the Bull Score Index indicates that Bitcoin is currently in a cooldown phase, which supports the price chart pattern, it is expected that the price will cool down for the time being.

This suggests that Bitcoin will probably see a decline before reaching a new market high and then a new all-time high.

Three crucial levels seen on the chart—$167,999, $176,899, and $195,430—could serve as possible support prior to a significant rebound if the pullback materializes.

Ethereum Remains Bullish Despite Shortterm Weakness

At its core, Ethereum has benefited greatly from capital influx and market investment. The steady movement of money from conventional institutions into the Ethereum strategic reserve and Ethereum spot exchange netflow, which at the time of writing had a value of over $20 billion, has been one of the recent boosts.

If the asset doesn’t break through the multi-year resistance level it traded to at $4,353, it still faces the risk of a possible slide on the chart.

The asset initially broke through the $3,981 resistance mark on the chart, but momentum is still strong. There is potential for a significant rally if the positive trend persists.

Because Ethereum’s Estimated Leverage Ratio (ELR) is at 0.68, a level linked to steep price drops, on-chain analysis indicates that there is a likely short-term retreat.

Interestingly, network activity indicates that the asset has a bright future. To put things in perspective, Ethereum’s transaction volume hit a record high.

Furthermore, ETH, the home of DeFi, has gained increased interest as a result of the Securities and Exchange Commission’s recent clarification that liquid staking is not regarded as a security. As a result, the total value locked on Ethereum has reached $61.708 billion.

In the upcoming days, Ethereum is also anticipated to experience two significant network upgrades called Pectra and Fusaka, which should enhance network performance in general.

There is still a lot of institutional interest. BitMine bought $2 billion worth of ETH, making it the largest holder of ETH exchange reserves with 1.15 million ETH, Fundamental Global put $200 million worth of ETH into its treasury, and Ark Invest bought 30,755 ETH for $108.57 million.

Ethereum has great potential for a long-term rise, even though the short-term prognosis is negative. The asset wants to break its 2021 record and set a new market high.

Conclusion

Several factors, especially technical and fundamental ones, will determine if Bitcoin and Ethereum can reach new market highs. While fundamentals show external conditions that could change investor mood, technical factors offer insight into price behavior.

For the time being, Ethereum seems more likely than Bitcoin to reach a new all-time high. While the latter lacks backing on both fronts, the former offers both technical and fundamental advantages.

spell Bitcoin might stagnate for a spell, trading between $116,000 and $120,000, Ethereum might surpass $5,000. However, it would indicate that Ethereum is gaining supremacy if it keeps rising while Bitcoin keeps falling, and that pattern might continue.
These measurements are subject to change at any time, which could result in abrupt adjustments.

 

 

 

 

 

 

 

 

 

 

 

 

 

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