Bitcoin surged past $122,000 on Monday, marking a new all-time high and setting off a ripple effect across the crypto market. This bullish momentum, driven by ETF inflows and policy optimism from Washington, has fueled a broad rally, with Ether breaking through $3,000 and XRP trading near $2.95—a 30% increase in just a week.
The Ripple Effect of Bitcoin’s Surge
As Bitcoin soared, it wasn’t just a solo performance. Ether followed suit, buoyed by $383 million in ETF inflows just last Friday. The enthusiasm spilled over to other major tokens: Solana’s SOL reclaimed the $167 mark, and Dogecoin jumped over 20%, riding the wave of retail rotations and memecoin buzz. It’s a familiar dance in the crypto world—Bitcoin’s rise often unlocks liquidity for the broader market. As traders put it, if macroeconomic conditions hold steady and Bitcoin stabilizes above $120,000, we might see large-cap altcoins continue their upward trajectory in the coming months. This aligns with recent trends noted in Bitcoin, Ether, Solana, XRP ETFs See Record AUM as Traders Warn of ‘Summer Lull’.
The timing is fortuitous, coinciding with the U.S. kicking off “Crypto Week” in Congress, a series of hearings aimed at propelling America to the forefront of the crypto space. Legislative tailwinds could further fuel the bullish sentiment coursing through the market.
Expert Insights and Market Sentiment
“Crypto prices benefited from the major melt-up fervor,” said Augustine Fan, Head of Insights at SignalPlus, in a Telegram message. Bitcoin trading up to the high $118K area resulted in over $1 billion in shorts being liquidated. Fan noted the market’s frothy sentiment is likely to persist through the summer, with the main risk being a potential collapse in tariff negotiations. “The ball is sitting with the President on how aggressive he wants to push his current hand,” Fan added.
On-chain support around $109,000 and cross-asset flows from equities into digital assets are shoring up confidence among bulls. Eugene Cheung, CCO at OSL, offered a bullish outlook: “The trend remains bullish. We could see Bitcoin test $130K–$150K by year-end if macro winds cooperate.” This sentiment echoes earlier observations in Bitcoin Tops $111K, on Brink of Breaking Record High; Ether’s 6% Jump Leads Major Cryptos.
Broader Economic Context and Future Implications
Global markets, however, are not without their tensions. Equity-index futures in the U.S. and Europe stumbled early Monday, reacting to former President Trump’s announcement of a 30% tariff on goods from the European Union and Mexico. This escalation in trade tensions has already disrupted markets in Brazil, Algeria, and Canada. S&P 500 contracts slid 0.4%, while Europe’s Stoxx 600 futures dipped 0.6% during Asian morning hours. Meanwhile, silver has surged to levels not seen since 2011, indicating a broader interest in hard assets amid the uncertainty.
As we move deeper into 2025, the crypto market stands at a crossroads. The current rally may well be bolstered by favorable legislative changes or further macroeconomic shifts. Yet, the specter of geopolitical tensions and economic policy changes looms large—raising questions about whether this upward trend can sustain itself.
In the coming months, all eyes will be on how these dynamics play out. Will Bitcoin continue its ascent, pulling the altcoin market along with it? Or will external pressures and policy shifts dampen the euphoria? Whatever unfolds, this moment marks a critical juncture for both seasoned investors and newcomers alike, as the cryptocurrency landscape continues to evolve in unpredictable ways.
Source
This article is based on: As Bitcoin Rushes Past $122K, What’s Next for Ether, XRP, Dogecoin?
Further Reading
Deepen your understanding with these related articles:
- Bitcoin soars to new all-time high above $112K as traders liquidate shorts
- Bitcoin data points to rally to $120K after pro BTC traders abandon their bearish bets
- Ethereum Is Already Outperforming Bitcoin In July, Is Altcoin Season Here?
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
