After long days of consolidation, bitcoin shows signs of life again: it rises, regains color. Several drivers have kicked in: institutional inflows, favorable technical signals, a slightly more lenient macro context. The crypto market seems to regain energy, even though some indicators advise caution. The question becomes: is this momentum enough to shape a new bullish wave or is it preparing a beneficial pause? The crypto scene is entering a pivotal phase.
In brief
- •Just yesterday, Bitcoin climbed to $119,500 — its highest level in two months — before dipping to $118,000 and then rising again to around $120,000.
- •Bitcoin ETFs attract $1.6 billion in three days, IBIT becomes a major player.
- •RSI reaches 90, signaling a technical overheating according to crypto market traders.
- •The US shutdown suspends economic data, supporting appetite for non-state crypto assets.
Bitcoin flirts with excess: RSI warns of an imminent pause
Yesterday, the bitcoin price crossed the $119,500 mark, but technical signals make analysts uneasy. The 4-hour RSI flirts with 90/100, a level classically associated with “overbought” zones. This technical threshold is concerning because it often signals consolidation.
On X, Roman warns: “Everything is overbought, but no sign of initial weakness. Simple break and retest“.
This message reflects a tense but optimistic climate. Despite overheating, no clear reversal is visible. The MACD indicator remains bullish, and volumes support the momentum. A return to $116,000–117,000 would be healthy before targeting $124,000, as envisaged by the same analyst.
The crypto market thus evolves in a tension between pure technicals and bullish ambitions. A technical pullback could strengthen the base for the next upsurge, rather than signal a peak.
Bitcoin ETFs: billions reshaping the market map
Meanwhile, flows to spot Bitcoin ETFs are massive. In three days, these funds attracted over $1.6 billion, according to Farside Investors. On October 1 alone, $676 million entered, including $405 million for BlackRock’s IBIT fund. The latter has now joined the global top 20 ETFs. This influx marks a new era.
Eric Balchunas, an analyst at Bloomberg Intelligence, comments:
Someone asked me when it would enter the Top 10. It’s $50B away. If it repeats the last 12 months, it shouldn’t take long.
These words reveal the scale of the institutional momentum. The arrival of massive capital in a still young crypto market changes the balance: it makes BTC more liquid, more “mainstream,” but also more sensitive to macroeconomic expectations.
ETFs anchor Bitcoin in diversified long‑term portfolios, bringing it closer to traditional assets. This is a strategic step for its legitimacy.
Macro, shutdown, rates: what the context tells the crypto market
Bitcoin’s rebound is not explained only by internal dynamics. The macroeconomic climate has clearly played a role. The US shutdown was an indirect trigger: markets anticipate a slowdown in economic data release, which potentially delays Fed decisions.
Less data = fewer short‑term rate hikes. For an asset like bitcoin, this acts as a tailwind.
At the same time, some analysts note that gold, a classic safe haven, has also surged. This flight to non‑state assets fuels interest in bitcoin, seen as an alternative both technological and monetary. And the famous seasonal effect plays a role too: October is statistically one of the best months for cryptos.
Key facts to remember now
- •$1.6B injected into Bitcoin ETFs in just three days;
- •4h RSI at 90/100, signaling a technical overbought zone;
- •Global top 20: IBIT establishes itself as an institutional heavyweight;
- •BTC at the highest in 2 months, with bullish ambitions up to $124,000;
- •US shutdown = potential brake on rate hikes, favorable environment for cryptos.
Early this morning, bitcoin touched $121,000 before falling back to $120,050 at writing time.
Bitcoin is back, and the momentum is clear. Technical signals argue for short‑term breathing space. But several experts believe that if flows continue and the context remains stable, the year‑end could be historic for the king of cryptos.