Why Is the Crypto Market Up Today?

The total crypto market cap (TOTAL) is in green today as the broader market cues improved. Bitcoin (BTC) is inching closer to its all-time high as the crypto king crossed a crucial resistance level today. OFFICIAL TRUMP (TRUMP) emerged as the best-performing altcoin, rising by 10% in the last 24 hours.

In the news today:-

• The SEC delayed 21Shares’ XRP ETF filing and at least three other altcoin ETF applications despite growing optimism. Analysts remain confident the SEC will eventually approve these products, though delays are typical for government institutions.
• SB 21, a Texas bill to create a state-level Bitcoin Reserve, passed its second House reading with strong support. If approved, it will allow altcoins with a \$500 billion market cap for two years to join the Reserve.

The Crypto Market Gains

The total crypto market cap recently increased by $31 billion, reaching $3.32 trillion. This rise provides a solid foundation, with $3.28 trillion now acting as a key support level. The market’s growth trend indicates a positive momentum, positioning TOTAL for potential gains as long as it holds above this floor.

If the upward trend continues, TOTAL could target the $3.40 trillion mark. The Parabolic SAR indicator, currently positioned below the candlesticks, supports this bullish outlook. The ongoing positive sentiment suggests that, barring major disruptions, the crypto market will likely continue climbing, strengthening investor confidence in the near term.

Total Crypto Market Cap Analysis. Source: TradingView

However, crypto market sentiment remains volatile. Should investors decide to sell their holdings in large volumes, it could trigger a sharp downturn. A significant sell-off could cause the crypto market cap to dip below $3.28 trillion, potentially bringing the total down to $3.16 trillion.

Bitcoin Nears Its All-Time High

Bitcoin’s price has reached $106,877, breaking through the last resistance before its all-time high of $109,588. This move is keeping investors confident, as the upward momentum reduces the likelihood of a sell-off. The current price level signals that BTC is edging closer to a potential new high in the near future.

Securing $106,265 as a solid support level would give Bitcoin the boost it needs to test the ATH and possibly surpass $109,588. If this support holds, BTC could climb above $110,000, triggering further bullish activity. This development would mark a significant milestone, solidifying Bitcoin’s position in the market.

Bitcoin Price Analysis. Source: TradingView

On the other hand, Bitcoin’s Relative Strength Index (RSI) has entered the overbought zone, crossing above the 70.0 threshold. As a result, investors may choose to sell, triggering a price pullback. A drop below $105,000 could invalidate the bullish scenario, reversing the current uptrend and potentially signaling a short-term decline for Bitcoin.

OFFICIAL TRUMP Takes The Top Spot

TRUMP has emerged as the best-performing altcoin of the day, rising 10.2% in the last 24 hours. Trading at $14.19, this strong upward momentum suggests that TRUMP could continue its positive trajectory in the coming days. The coin’s performance is attracting significant investor attention, indicating sustained growth potential.

The 50-day Exponential Moving Average (EMA) is currently acting as a strong support level for TRUMP. With the May 22 TRUMP dinner hosted by the US President approaching, the meme coin could break past the $14.53 resistance. This event could trigger further buying pressure, potentially pushing TRUMP towards $15.62.

TRUMP Price Analysis. Source: TradingView

However, if investors decide to take profits and sell their holdings, TRUMP’s price could experience a sharp decline. A sell-off would likely lead to a drop below $13.36, invalidating the bullish outlook. In such a scenario, the price could fall further, potentially reaching $12.18.