Exploring the Surge in Today’s Crypto Market : What’s Driving the Growth ?

The Comeback of the Crypto Market

After several weeks of stagnation, even decline, the crypto market is finally experiencing a rebound. The total market capitalization has increased by nearly $46 billion within 24 hours, allowing Bitcoin to approach the symbolic threshold of $110,000. But that’s not all, as certain altcoins like Floki (FLOKI) are even displaying double-digit gains.

Several factors are at play behind this surge. First, Elon Musk’s announcements regarding the creation of a new political party called the “America Party” have sparked enthusiasm among investors. Indeed, the Tesla CEO has assured that this formation would defend the interests of Bitcoin, thus boosting trader confidence.

Additionally, M2 money supply has reached a new ATH. Given that BTC and altcoins closely follow this liquidity, a bullish sentiment for the coming months is being reborn.

Bitcoin on Track to Break Its ATH

At the heart of this recovery, Bitcoin holds a central position. Currently priced at $108,939, BTC is dangerously approaching its previous all-time high of $111,980. To cross this symbolic threshold, the leading cryptocurrency must now overcome the key resistance at $109,976.

Analysts are rather optimistic about Bitcoin’s prospects. Indeed, Bitcoin has managed to maintain itself above its support at $107,000, indicating that buying pressure is still very much present.

Nevertheless, the path remains fraught with obstacles. If Bitcoin faces selling pressure, it could struggle to break through the $109,476 mark and fall back to $107,500 or even lower. Furthermore, BTC formed a CME gap at $107,500 this weekend, adding confluence to this bearish short-term scenario.

Bitcoin’s medium-term fate could therefore be decided as early as today, as it stands between two crucial zones.

Altcoin Floki Surges by 20%

Among today’s big winners, we unsurprisingly find the altcoin Floki (FLOKI), which has jumped more than 16% in 24 hours. This memecoin is fully benefiting from investors’ renewed appetite for risk, attracted by its speculative potential.

Currently trading at $0.00008463, FLOKI faces technical resistance at $0.00009006. But with a Parabolic SAR indicator pointing upward, the altcoin seems well-positioned to break through this threshold and continue its ascent.

Of course, failure to conquer this resistance zone could lead to a retreat of FLOKI towards its support at $0.00008172, or even below. Such a correction would then call into question the current bullish dynamic.

A breakout of resistance at $0.000097 (also its 200-day MA) would push the token toward the crucial test of its POC and major resistance at $0.00013.

In conclusion, the crypto market is clearly moving forward again, pulled by the comeback of Bitcoin and the meteoric rise of certain altcoins like Floki. This bullish trend seems set to continue, provided that the major cryptocurrencies successfully overcome the next resistance thresholds.

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