As a new week unfolds, Bitcoin has once again made history. The world’s leading cryptocurrency surged past $123,000, locking in yet another all-time high and sending traders and market analysts into a flurry of bullish speculation. With macroeconomic tremors shaking the global financial system, Bitcoin’s performance is garnering a lot of attention as it climbs with unprecedented velocity.
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Bitcoin Breaks Records with Explosive Rally
Bitcoin began the third week of July with a triumphant leap above $120,000. It has taken years, forty-four months to be exact for this rally to unfold from the formation of a textbook Cup and Handle pattern. And now, as the digital asset eyes its next target, traders are recalibrating their expectations for what this cycle might ultimately deliver.
Trading expert Keith Alan pointed to this historic pattern as a key driver, suggesting that despite the recent surge, Bitcoin likely has more room to run. He is not alone. Prominent figures in the trading community, such as BitQuant and Cas Abbe, are forecasting even loftier highs, citing $135,000 and $145,000 as realistic targets for the months ahead.
The numbers are impressive. Just last week, Bitcoin closed above $107,000 and added $10,000 more in a matter of days. The gains are staggering in dollar terms, but when viewed through the lens of percentage growth, July’s performance—currently a 14% increase—is surprisingly average.
July Delivers Familiar Gains
Though this price action feels monumental, a step back reveals a rhythm Bitcoin has followed before. Historically, July often delivers strong gains, but those gains tend to cluster in the first half of the month. According to data from CoinGlass and observations by Carson Group strategist Ryan Detrick, this behavior is not unique to Bitcoin. Equities like the S&P 500 (SPY) often experience similar patterns, with early-month momentum fading into consolidation.
So far, July 2025 is living up to that historical norm. But if the trend continues, we may soon see a cooling-off period, or at least a moment of breath-catching, before the next leg upward.
Inflation Data Looms as Powell Faces Resignation Calls
Amid the market euphoria, economic tension is mounting in Washington. This week’s release of June’s Consumer Price Index and Producer Price Index data comes at a delicate moment for the Federal Reserve. With interest rates already under intense scrutiny, these numbers could further complicate the Fed’s path forward.
Adding fuel to the fire, Federal Reserve Chair Jerome Powell finds himself under attack from none other than President Donald Trump. Trump has made no secret of his discontent with Powell’s handling of monetary policy, accusing him of acting too slowly and calling for his resignation.
The political tension, combined with market expectations that rates will hold steady until at least September, creates a combustible backdrop. As inflation concerns fester, investors are looking for assets that can act as safe havens. And Bitcoin, it seems, is stepping forward.
Bitcoin Enters ‘Crisis Mode’ amid Soaring U.S. Debt
Underpinning this surge is something more ominous: a swelling sense that the traditional financial system is unraveling. The U.S. deficit continues to balloon, hitting $316 billion in May alone, the third-highest monthly shortfall in history. The national debt is soaring, and investors are beginning to treat Bitcoin not just as a speculative asset but as a legitimate hedge against systemic failure.
According to The Kobeissi Letter, the recent rally is not just strong—it is unnaturally strong. The crypto market has added over one trillion dollars in value in just three months, while the U.S. dollar has lost more than 11% over the same period. This, Kobeissi argues, is a sign that Bitcoin has entered what can only be described as “crisis mode.”
The correlation is becoming harder to ignore. As U.S. yields rise and the dollar weakens, both Bitcoin and gold are surging. These concurrent moves suggest that investors are preparing for stormy waters ahead.
Altcoins Begin to Challenge Bitcoin’s Market Grip
While Bitcoin has captured the most attention, the broader crypto market is also beginning to stir. After reaching a peak dominance of 66% in late June, Bitcoin’s share of the total crypto market cap has slipped, dipping below 65% in recent days. The shift is subtle but significant, as it often signals the start of what enthusiasts call “altseason.”
Traders like Benjamin Cowen believe Bitcoin’s dominance will climb again later in the year, but for now, altcoins are enjoying a resurgence. Ethereum, the second-largest cryptocurrency, has led the charge, gaining nearly 20% in the past week and reclaiming a price point above $3,000 for the first time since February.
Market commentators, including Rekt Capital and Matthew Hyland, note that even minor dips in Bitcoin dominance can unlock major moves across the altcoin landscape. If a deeper drop in dominance occurs, altcoins may finally see the breakout they have been waiting for.
Investors can track the price of Bitcoin and major altcoins on the TipRanks Cryptocurrency Center, where they can also access technical analysis tools to support smarter trading decisions.
