Bitcoin has achieved an unprecedented milestone with its highest-ever weekly close, signaling a surge of optimism in the crypto market. As of May 18, the leading cryptocurrency closed the week just shy of $106,500, marking its sixth consecutive week of gains. This momentum draws the digital currency within striking distance of its all-time high, reflecting a renewed vigor in investor sentiment.
Bitcoin’s Stellar Ascent
Since the beginning of May, Bitcoin has seen a remarkable increase, climbing from $94,000 to over $106,000 before slightly retracting to around $105,400. This upward trend mirrors its impressive performance last November, where it added $30,000 in some of its largest weekly gains to date. The latest figures put Bitcoin less than 3% away from its all-time peak of $109,358, achieved back in January. This follows a pattern of institutional adoption and market optimism, which we detailed in Bitcoin Surges Past $94,000 as Institutional Interest and Market Optimism Grow.
Analyst Scott Melker highlighted the significance of Bitcoin’s recent daily close, which soared above $105,000, as a potential precursor to a new higher high. “Bitcoin just had its highest daily candle close… ever,” Melker noted on social media, pointing to the cryptocurrency’s robust performance.
Market Dynamics and Speculations
The recent price action has not only captivated traders but also sparked discussions about underlying market dynamics. Arete Capital’s partner, known as “McKenna,” observed a curious phenomenon with the Coinbase premium making a comeback. This premium, which gauges U.S. market sentiment by comparing Bitcoin’s price on Coinbase to Binance, suggests heightened buying interest. “The strength of this bid on a Sunday night feels strange,” McKenna commented, hinting that insiders might be privy to pivotal news expected soon. For more insights into market perceptions, see Bitcoin Surpasses $95K Amid Resilient U.S. Stocks, Analysts Voice Concerns Over Market Perception.
While Bitcoin’s trajectory remains bullish, some analysts urge caution. Willy Woo, a well-respected figure in the crypto analytics realm, shared insights into Bitcoin’s compound annual growth rate (CAGR). Woo noted a downward trend as Bitcoin matures as a macro asset, suggesting that while Bitcoin continues to absorb capital, its explosive growth might moderate over time. “BTC is now traded as the newest macro asset in 150 years, it’ll continue to absorb capital until it reaches its equilibrium,” Woo elaborated, projecting an eventual steady growth rate of around 8% in the next two decades.
Future Implications and Market Sentiment
The current bullish sentiment has led some traders to speculate about Bitcoin reaching new heights in the near future, with predictions of an all-time high in early June 2025 being floated. However, this optimism is tempered by the reality that Bitcoin’s growth, while impressive, is subject to market fluctuations and external factors.
Investors and market watchers will be keenly observing the unfolding developments, particularly in light of potential macroeconomic influences and regulatory changes. The cryptocurrency realm, notorious for its volatility, provides both opportunities and challenges as it continues to evolve.
As Bitcoin edges closer to its historic high, questions linger about the sustainability of its growth and whether current market conditions support a continued upward trajectory. The coming weeks promise to be crucial in shaping the narrative for Bitcoin’s future, as stakeholders across the spectrum navigate these dynamic waters.
Source
This article is based on: Bitcoin notches record weekly close after highest-ever daily close candle
Further Reading
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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.
