Bitcoin Hits $100K Again: Is This the Moment of Truth? 💰🚀

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Ah, last week! The crypto market didn’t merely cling to bitcoin’s coattails—it galloped alongside it like a caffeinated horse! As bitcoin once again shattered the $100,000 ceiling (yawn, right?), ethereum, solana, and a parade of altcoins decided to join the party. 🎉

This editorial hails from last week’s edition of the Week in Review newsletter. Subscribe, if you dare, to receive the editorial the moment it’s birthed into existence.

Last Week The Market Turned Green: Bitcoin Blasted Past $100K

For the first time in what feels like eons, the entire crypto market—not just our beloved bitcoin—had a week that didn’t resemble a funeral. Naturally, bitcoin took the lead, breaking through the $100,000 barrier with the grace of a ballet dancer. Each week, it seems, more delightful bitcoin news emerges, and this week was no exception. For the first time ever, not one, but two U.S. states—New Hampshire and Arizona—decided to establish strategic bitcoin reserves. They did this within a mere 48 hours of each other. Metaplanet added 555 BTC to its treasury, bringing its total to 5,555, with grandiose plans to reach 21,000 by next year. Those inflows, combined with positive spot-ETF flows, propelled BTC above $100K. Who knew numbers could be so exciting? 📈

It marked bitcoin’s eighth intraday jaunt above six figures, and the eighth consecutive time ETH’s price at the moment bitcoin hit $100K was lower than before—how delightfully depressing! This was pointed out here and illustrated by the following graph.

But even the oft-cursed coin known as ethereum basked in the glow of positive sentiment this week, soaring more than 20% in the past seven days. Quite the achievement when compared to bitcoin’s modest 3.3% over the same period. Ethereum even managed to outshine solana’s 14.5%. Spot ether ETF flows look half-decent, according to Bloomberg’s James Seyffart, who posted on X that “Everyone loves to pile onto Ether, but the ETFs are doing decently well as far as flows go. The problem is that assets are lower now than when they launched.” For a sprinkle of ethereum hopium, Raoul Pal, founder of Real Vision, stated that “BTC dominance topped today.” If that’s true, surely ETH/BTC has finally hit rock bottom! 🎢

Personally, I don’t believe this is the bottom of the ETH/BTC chart. Graham and I had a delightful back-and-forth about this topic on this week’s episode of Token Narratives. The chances that we are on the brink of a bitcoin breakout grow higher as we approach a new bitcoin all-time high. With so many tailwinds for bitcoin right now—like a stream of positive news stories (institutions are buying, companies are buying, governments are buying) and strong narratives (it’s a hedge against fiat debasement, it’s a hedge against geopolitical conflict, everyone is buying)—a bitcoin rally seems more likely than not. 🏇

Historically, when bitcoin goes on a tear, bitcoin dominance surges too. Bitcoin gobbles up the liquidity and attention from everything else. The BTC.D (Bitcoin dominance) chart looks like it could easily reach the low 70s before it peaks, much like in 2019 and 2021. It’s at 64% now. We could see it rise another 10% before bitcoin finally cools off. At that point, it makes sense for profit-taking, some of which would be rolled over into the rest of crypto. A bona fide alt season could be on the horizon. One can dream! 🌈

For now, I’m content to sit on my hands, but I’m starting to take notes on intriguing projects. My interview with Jordi Alexander left quite the impression on me, especially his comments about A.I. While he’s excited about the A.I. x crypto sector, he’s only thrilled about agentic A.I. projects. I’ve heard this sentiment echoed by many across various conferences. 🤖

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2025-05-21 11:06