Bitcoin Surges Above $111K, Eyes $120K Test Amid Institutional Demand

Bitcoin has surged past $111,000, reaching new all-time highs and prompting predictions that $120,000 is within reach in the near term. This rally is driven by strong institutional demand, including billions flowing into Bitcoin ETFs from major asset managers, regulatory clarity, and macroeconomic factors like the Federal Reserve's steady interest rates and potential future cuts. Analysts and traders note that while Bitcoin leads the market, altcoins could benefit following Bitcoin's top, though some caution that not all Bitcoin profits will rotate into altcoins, urging focus on select top-performing assets. Market data shows significant Bitcoin accumulation by whales and investors preparing for potential market stress, with technical analysis indicating that $112,000 is the next resistance and $120,000 a plausible target in the coming weeks if momentum and ETF inflows continue. Additionally, the crypto market is experiencing liquidity shifts that may herald an altcoin season, supported by improving conditions such as decreases in Tether dominance and a rising ETH/BTC ratio. However, ongoing macroeconomic uncertainties and high interest rates may limit smaller altcoins' near-term gains despite optimism for larger-cap digital assets.