Daily Crypto Signals: Bitcoin Soars Past $112K, XRP Eyes New Highs Amid Growing Institutional Adoption
Bitcoin reached a new all-time high above $112,000 driven by safe-haven demand and massive short liquidations, while XRP broke above key
Quick overview
- Bitcoin reached a new all-time high above $112,000, driven by safe-haven demand and significant short liquidations.
- XRP broke above key resistance levels ahead of Ripple's participation in a US Senate Web3 summit, indicating bullish momentum.
- The cryptocurrency market's total capitalization recaptured $3.47 trillion despite facing security challenges, including a $40 million exploit at GMX.
- Hyperliquid has seen rapid growth in trading volume, positioning itself as a major player in decentralized derivatives trading.
Bitcoin BTC/USD reached a new all-time high above $112,000 driven by safe-haven demand and massive short liquidations, while XRP XRP/USD broke above key resistance levels ahead of Ripple’s participation in a US Senate Web3 summit. The crypto market recaptured $3.47 trillion in total capitalization despite facing security challenges including a $40 million GMX exploit.
Crypto Market Developments
Today, the cryptocurrency market was very volatile. Bitcoin’s rise to new record highs was overshadowed by a huge security vulnerability at GMX protocol. Hackers took advantage of a weakness in the design of a liquidity pool on GMX V1, emptying more than $40 million in money. The decentralized exchange stopped trading on GMX V1. The vulnerability hit a liquidity provider pool with Bitcoin, Ether, and stablecoins. This made GMX stop minting and redeeming GLP tokens on both the Arbitrum and Avalanche networks for a short time.
In the meanwhile, Bybit released specifics of the highly anticipated Pump.fun token sale, which will begin on Saturday and offer 150 billion PUMP tokens for $0.004 USDT each. But users in the European Union won’t be able to take part since they have to follow MiCA rules. The US Treasury also sanctioned a group of North Korean IT workers who were said to have hacked into American crypto companies. This shows that there are still worries about cybersecurity in the digital asset space.
Bitcoin Tests New ATH Near $112,000
Bitcoin’s price rose to a new all-time high of nearly $112,000 on Wednesday. This is a 5.95% increase over the past week. Growing global investor interest in risk assets and a huge $200 million liquidation of BTC shorts at important overhead resistance levels drove the rise. This price increase helped the total value of all cryptocurrencies rise back to $3.47 trillion, although it is still below the all-time high of $3.73 trillion set in December 2024.
Bitcoin’s rise happened just days after President Trump announced new tariffs of up to 40% on Malaysia, Kazakhstan, South Africa, Myanmar, and Laos. Japan’s tariff rate went up to 25%. Bitfinex analysts said that Bitcoin’s rise was due to a reset of “over-leveraged participants,” which made the market healthier for the rally to continue. They stressed that the surge was based on genuine capital movements and not on speculative leverage. They said that spot buyer dominance needs to stay strong in order for the positive outlook for the next few weeks to stay strong.
Since Trump’s Liberation Day declaration on April 2, Bitcoin’s price has been going up because more and more people see it as a safe place to put their money. Katalin Tischhauser, who is in charge of research at Sygnum Bank, said that Bitcoin has been “outperforming as well as increasingly decoupling on days when the S&P 500 corrected.” The fact that Bitcoin is becoming more popular as a safe place to store money against fiat debasement has helped this trend. This was seen when the first US state signed a Bitcoin reserve bill into law after the federal Bitcoin reserve was set up by Executive Order.
Exchange reserves have been going down continuously since late April, which shows that Bitcoin investors have faith in the long future. According to Glassnode data, Bitcoin reserves on all exchanges fell to 2.99 million BTC on May 21, down from more than 3.11 million BTC on March 13. This drop in exchange reserves could lead to rallies fueled by supply shocks as investors shift their assets to long-term storage.
XRP to Set New ATH Amid US Senate’s Web3 Summit?
XRP broke over the important $2.34 overhead resistance level, which means that bulls are trying to take over the market. The 20-day exponential moving average is starting to go up, and the relative strength index has moved into positive territory. This means that the easiest way to go is up. XRP might go up to $2.48 and then $2.65 if buyers can keep the price above $2.34. At $2.65, sellers are expected to put up a strong fight.
XRP’s breakout happened at the same time that Ripple CEO Brad Garlinghouse was testifying before the US Senate Banking Committee on “From Wall Street to Web3: Building Tomorrow’s Digital Asset Markets.” Ripple’s increasing involvement in policy talks in Washington, D.C. could help XRP’s price go up even more. The four-hour chart’s close above $2.34 finished a bullish inverse head-and-shoulders pattern, which might lead to a pattern target of $2.76.
Technical analysts, on the other hand, say that the moving averages are still important near-term support levels to keep an eye on. If the price drops significantly and goes below the moving averages, it could mean that the break over $2.34 was a bull trap, which could push the pair down under $2. If the price goes below the 50-day simple moving average, the bullish perspective would be wrong, and the price might drop to $2.15.
Hyperliquid (HYPE) Looking to Break $45?
According to CoinGlass’ semi-annual crypto derivatives outlook, Hyperliquid has grown at an amazing rate over the past year. The typical trading volume has gone from less than $100 million to $3–5 billion. The platform now has more than 80% of the market share for DeFi permanent contracts, making it the most important player in decentralized derivatives trading.
On Tuesday, HYPE rallied off the 50-day simple moving average at $37.08, which shows that there is a lot of demand at lower levels. The 20-day exponential moving average at $38.43, which is slowly rising, and the relative strength index, which is just above the midpoint, suggest that the bulls have a small advantage. HYPE might go up to $41.23, which is a key overhead resistance level, if the momentum keeps up. If it breaks over this level, it could go up to $44 and maybe even $45.80.
The token has been trading between $36.82 and $41.23 on the four-hour chart. The moving averages are mostly flat, and the RSI is close to the middle, so there isn’t a clear advantage for either bulls or bears. The 50-day SMA is a key support level, and if the price goes below this level, the pair might drop to $35.33 and then to $30.69. Hyperliquid’s strong growth and growing user base could keep investors interested in HYPE. If the platform stays on top in the DeFi perpetual contracts industry, the price could rise above $45.
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