Attention is turning to major tokens as bitcoin (BTC) set fresh highs earlier this week, with observers noting that institutional demand and a clearer regulatory environment may pave the way for significant movements among the top cryptocurrencies.
As of Friday, Bitcoin was trading just under $111,000 during the Asian morning hours, experiencing a slight pullback due to profit-taking—a typical occurrence following substantial upward shifts. Notably, altcoins such as Cardano’s ADA, Dogecoin (DOGE), and Solana’s SOL increased by as much as 4%, whilst Ether (ETH), XRP, and BNB Chain’s BNB saw more modest upticks of under 1.5%.
The broader CoinDesk 20 (CD20) index, designed to track the most liquid cryptocurrencies by market cap, rose by 1.2% in the past 24 hours, illustrating a general positive shift in market sentiment.
Ryan Lee, Chief Analyst at Bitget Research, highlighted the potential for a dip in Bitcoin dominance to initiate a broader altcoin season, suggesting that high-profile tokens like XRP and Solana are well-positioned for gains. Lee emphasized XRP’s improving regulatory clarity and its recent technical breakout patterns, making a strong case for a potential price target between $3 and $8 in the medium term.
Recently, XRP formed a golden cross against BTC on its weekly chart—a historically bullish indicator suggesting a potential long-term trend reversal is on the horizon. This latest development is particularly notable, as the BTC/XRP ratio has remained relatively stagnant since late 2020, although recent decisions from the SEC regarding Ripple may change that outlook.
In addition to XRP, Solana could potentially approach the $220–$300 range fueled by ETF speculation, while Cardano shows promise for a breakout trajectory between $1 and $3, according to Lee.
QCP Capital, based in Singapore, remarked in a Thursday commentary that Bitcoin’s latest rally appears to be buoyed by improved structural fundamentals and lower volatility. The firm noted, “This rally feels more structurally sound than the last, with less frothy momentum chasing and stronger fundamental underpinnings.” They highlighted that the brief pullback following Bitcoin’s record high was met with swift buying, indicating robust market confidence.
However, broader macroeconomic challenges still loom, including renewed tariff concerns, increasing U.S. yields, and a stronger dollar—all factors that could introduce volatility into the cryptocurrency market, especially for altcoins. Traders are advised to exercise caution, concentrating on assets that exhibit strong fundamentals and clear regulatory trajectories.
On the sentiment front, Alex Kuptsikevich from FxPro indicated that Bitcoin’s sentiment index is currently hovering just below the ‘extreme greed’ threshold, suggesting that the rally could have further room to run in the upcoming days.
