The S&P 500 and Nasdaq futures both hit new highs, signaling investor optimism driven by receding geopolitical tensions and expectations of a Federal Reserve rate cut this summer.
The S&P 500 has surged more than 20% since April, brushing off recent market shocks. Nasdaq futures climbed alongside it, buoyed by signs of easing trade disputes and a lull in Middle East conflict. This resurgence in equities is fueling speculation that Bitcoin may be the next to benefit from improving risk sentiment.
Bitcoin, meanwhile, has hovered just below $108,000 for most of the week, repeatedly testing resistance without a breakout. Some analysts believe a rate cut could tip the balance. According to LVRG Research, if equities maintain their upward trajectory and capital continues flowing into crypto, BTC could surpass $109,000 and enter price discovery mode.
Others point to the broader macro environment. BTSE’s Jeff Mei says geopolitical calm and growing regulatory clarity—particularly in the U.S. stablecoin space—are key ingredients for a potential breakout. Arthur Hayes, former BitMEX CEO, echoed that view, suggesting on social media that Bitcoin’s next all-time high may not be far off.
Still, technical barriers remain. BTC’s latest rally attempts have stalled, with traders citing options positioning and lack of volatility as limiting factors. Covered call strategies, in particular, are dampening upward movement.
Despite the stall at resistance, sentiment remains bullish. If traditional markets stay strong and the Fed delivers a rate cut, many believe it’s only a matter of time before Bitcoin reclaims its place in price discovery.
Alexander Stefanov
Reporter at Coindoo
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over 8 years of experience covering the crypto, blockchain and fintech industries, he deeply understands the complex and constantly 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 passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics.
Source: https://coindoo.com/bitcoin-awaits-breakout-as-wall-street-charges-ahead/