Ethereum and Bitcoin are on the brink of setting new all-time highs, with both assets showing exceptional strength in the latest market rally.
Ethereum is trading at $4,689.99, just shy of its $4,867 record set in November 2021, after a staggering 29.49% gain over the past week. Bitcoin, meanwhile, is changing hands at $120,629.99, within striking distance of its $122,980 peak, following a solid 5.52% weekly advance.
Ethereum Breaks Key Technical Barrier
Analysts are pointing to a combination of factors fueling the rally – from strong institutional inflows to a sharp rotation out of Bitcoin dominance into Ethereum and other altcoins.
EGRAG Crypto’s analysis highlights a decisive breakout in the ETH/BTC pair, with Ethereum now closing above the key 0.5 Fibonacci retracement level at 0.3934.
This technical milestone could pave the way for accelerated gains, with traders eyeing higher targets in the weeks ahead.
Bitcoin Holds Ground and Eyes New High
On the Bitcoin side, Michaël van de Poppe notes that the market has avoided a breakdown, instead reclaiming critical resistance zones.
This resilience, combined with the prospect of testing the $116,500 area as a potential support, is keeping bullish sentiment alive.
Some analysts are even speculating about the possibility of simultaneous all-time highs for BTC and ETH – a rare and potentially explosive market event.
Bitcoin Dominance Drops as Altcoins Rally
Bitcoin dominance has also taken a hit, confirming a breakdown from its long-term trend channel. This shift could signal a broader altcoin rally, with Ethereum positioned as the primary beneficiary given its strong technical structure and investor momentum.
A Rare Scenario Taking Shape
If current trends persist, the crypto market could be entering a historic phase where both leading digital assets surpass their previous records almost in unison – a scenario that traders believe could unleash a fresh wave of capital inflows.
If Ethereum manages to decisively break above its all-time high with strong volume, traders see potential for a rapid push toward the $5,500 – $6,000 range before any significant cooling off. Bitcoin could similarly extend its run toward the $135,000 – $140,000 zone, especially if ETF inflows maintain their current momentum and institutional buyers keep adding to their holdings. Historical cycles suggest that when ETH/BTC strength aligns with a steady Bitcoin uptrend, both assets tend to post outsized gains.
Some analysts believe this bullish phase could carry through to late Q4 2025, supported by increasing institutional participation, a weakening U.S. dollar, and sustained retail enthusiasm. However, they caution that any abrupt macroeconomic shifts or profit-taking waves could spark temporary pullbacks. For now, sentiment remains firmly optimistic, with technical setups pointing toward fresh highs in the weeks ahead.
The information provided in this article is for informational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.
Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.
Source: https://coindoo.com/market/ethereum-and-bitcoin-on-the-verge-of-historic-dual-all-time-highs/