Weekly Crypto Roundup: Bitcoin Surges Beyond $109K, Ethereum Gains Traction, TON Aims For U.S. Growth

In Brief

Bitcoin experienced an impressive rise, breaking through the $109,000 mark before settling at approximately $107,600 amid increasing interest from institutional investors and economic uncertainty. Ethereum maintained a solid position around $3,366, buoyed by a wave of corporate adoption, while TON set its sights on expanding into the U.S. market, leveraging the integration of blockchain technology into Telegram's platform.

Bitcoin (BTC)

BTC briefly flirted with new all-time highs exceeding $109,000.

In a remarkable turn of events, Bitcoin once again made headlines this week by surpassing the $109,000 threshold before cooling off and stabilizing around $107,600. The rally had its fair share of excitement, driven by optimistic predictions and a wave of institutional interest sparking fear of missing out (FOMO).

The uptick of Bitcoin to $109,000 saw a surge in bullish sentiment, although some patterns indicated the possibility of retreating to $90,000 in the near future.

BTC/USD 4H Chart, Coinbase. Source: TradingView

Currently, the 50-period simple moving average (SMA) is providing robust support near $99,500, while the Relative Strength Index (RSI) sits at 64, indicating that bullish momentum may still be strong. Should Bitcoin succeed in breaking through the $110K resistance level, it could easily pave the way to $120K. However, traders should remain cautious, as a pullback towards the $100K mark is also a possibility.

What’s Driving It?

Much of this market activity can be traced back to the excitement surrounding the upcoming Trump administration. Traders are buzzing about the prospect of a U.S. Bitcoin reserve, with some platforms indicating the likelihood at a staggering 60%. When combined with state-level initiatives promoting Bitcoin adoption, this has catalyzed considerable bullish enthusiasm.

The prospect of U.S. Bitcoin reserves under Trump's administration has generated positive buzz in the market, even as inflation fears loom large.

Source: Polymarket

Nevertheless, reality soon set in as inflation figures brought everyone back to earth, reminding players that macroeconomic risks are still very much present. This led to a market pullback.

MicroStrategy’s Bitcoin portfolio has now topped 450,000 coins, with institutional investments driving exchange reserves to levels not seen in seven years.

Source: Michael Saylor

While this was happening, institutional investors were still very active. MicroStrategy continued to make waves by acquiring more Bitcoin, increasing its holdings beyond the 450K mark. Hedge funds also jumped into the fray, which sent reserves on exchanges plummeting to seven-year lows. Historically, such low reserves signal fewer coins available for trading, hinting at a possible supply crunch on the horizon.

BTC/USD daily chart. Source: Cointelegraph/ TradingView

Traders have dubbed Bitcoin's impressive 10% surge to $109K as a 'god candle,' reigniting conversations around the $130K mark in the near term. Bulls are eagerly watching for a definitive break above $100K to confirm the next upward movement. However, some analysts remain skeptical, as bearish formations, such as a potential head-and-shoulders pattern, raise alarms of a potential dip to $90K (or even lower) before any significant breakout occurs.

Ethereum (ETH)

ETH remained stable around the mid-$3,000s, reflecting a modest 5% increase this week, although lacking the excitement seen with Bitcoin.

In contrast to Bitcoin’s dramatic activity, Ethereum's week seemed more like a steady build-up rather than a major spectacle. Remaining stable within the mid-$3,000s and climbing roughly 5%, ETH didn't attract too much attention but also didn't fade from view, mostly fluctuating between $3,200 and $3,500.

ETH/USD 4H Chart, Coinbase. Source: TradingView

After a rocky start, Ethereum managed to stabilize at around $3,366 by the end of the week, with the 50-period SMA at $3,286 providing a solid foundation, while the RSI stood at 53, suggesting market sentiment is still in a consolidation phase.

Why’s ETH Staying Steady?

One of the standout headlines stemmed from Trump’s World Liberty Financial, which made waves by purchasing $48 million in Ether.

World Liberty Financial’s significant purchase of Ether for $48 million underscores a rising institutional interest in Ethereum.

Source: Eric Trump

This acquisition, reportedly part of the firm's ambitions in the crypto space, offered ETH a slight advantage in its performance against Bitcoin throughout the week.

Vitalik Buterin's recent strategic changes at the Ethereum Foundation aim to reinforce its focus on decentralization and enhance the growth of its technical ecosystem.

Source: Vitalik Buterin

In a notable shift, Vitalik Buterin has announced changes in leadership at the Ethereum Foundation, intending to sharpen its technical vision and strengthen collaborations with developers. This endeavor seeks to keep the foundation focused on decentralization, privacy, and ecosystem development, while steering clear of political lobbying and excessive centralization. This change marks a significant reset after a challenging year, with the foundation looking to address previous critiques.

The decision by the Swiss state-owned PostFinance to enable ETH staking represents another significant endorsement for Ethereum’s proof-of-stake approach.

Source: PostFinance

At the same time, Swiss state-owned bank PostFinance announced plans to initiate ETH staking, signaling institutional support for Ethereum's proof-of-stake model.

All eyes remain on Ethereum as it attempts to break free from its current consolidation state. If it manages to push beyond its resistance, the $3,700 mark could be the next target. Yet, if it fails to maintain support at $3,200, a more significant dip may be on the horizon.

TON (The Open Network)

TON traded in a narrow range around $5.15, with modest 0.5% to 1% fluctuations that lack notable volatility.

TON/USD 4H Chart. Source: TradingView

Toncoin faced challenges this week as it fluctuated between $4.90 and $5.70, ultimately closing closer to $5.10. Although it didn’t garner the same attention as Bitcoin or Ethereum, its underlying developments are certainly noteworthy.

What’s the Story?

TON gained traction this week when CoinMarketCap reported a staggering increase in its user base from 100,000 to an unbelievable 17.4 million in 2024. That’s not a small feat!

The explosive growth of TON’s user base, jumping from 100,000 to 17.4 million in 2024, is largely attributable to its seamless connection with Telegram's expansive audience.

Source: CoinMarketCap

The impressive jump into eighth place in market capitalization isn't merely a sign of hype; it clearly indicates that TON’s appeal is significant and grounded in real utility.

Amidst the week’s developments, TON announced its intentions to penetrate the U.S. market. With a new administration that appears to be more favorable towards cryptocurrencies, TON is hoping for a smoother transition as it seeks to expand stateside. The TON Foundation, under the new leadership of Manuel Stotz, is strategically aiming for global market expansion.

Source: The TON Blog

To solidify this move, they’ve brought in an industry heavyweight: Manuel Stotz from Kingsway Capital Partners has stepped in as the new president of the TON Foundation. Stotz taking over from Steve Yun (who remains on the board) suggests a shift towards a more finance-oriented strategy — precisely the leadership needed for a successful U.S. market entry.

On the technological frontier, Telegram is experimenting with NFT gifting utilizing TON’s blockchain. Minting is set to launch soon, with Fragment acting as the primary trading platform. Moreover, for those who prefer simplicity (and wish to avoid KYC processes), Tonnel’s Relayer Bot is ready to assist with NFT transactions.

Telegram's initiative to test NFT gifting along with the upcoming minting operations on TON’s blockchain showcases the ecosystem's growing functionality.

Source: Tronscan

Considering these recent developments, the $5.70 level stands out as a crucial line for bullish traders. Surpassing this threshold could reignite upward momentum. Conversely, if the $4.90 support level cracks, it could lead to some turbulent times ahead. Still, there’s a quiet undercurrent of hope and potential stirring beneath the seemingly calm surface.

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