Bitcoin Approaches $120K as Altcoins Signal Continued Strength
11/7/2025
Bitcoin (BTC) continues its march higher, breaking into new territory above $118,000, but traders are closely eyeing the $120,000 mark as a critical test for the rally’s staying power.
Bitcoin: Aiming for $120K
BTC’s recent surge is fueled by technical signals like the “negative dealer gamma buildup” and a bullish breakout in BlackRock’s IBIT ETF. Momentum indicators remain supportive, with the 14-day RSI above 70 and the MACD histogram showing higher bars above the zero line.
Yet despite this bullish backdrop, caution is warranted. Bitcoin is now in price discovery mode, making it challenging to define clear resistance levels. One clue comes from Deribit’s options market, where the $120,000 strike has emerged as the top open interest level, with $2.37 billion riding on that price point.
There are also signs of cooling demand. The Coinbase premium flipped negative earlier today, hinting at softer interest in U.S. spot markets, while cumulative open interest in offshore perpetual futures has dipped, suggesting traders are treading more carefully.
On the lower timeframes, traders are monitoring the hourly RSI for potential bearish divergence—a sign that a short-term pullback could be in store.
- AI’s view: While momentum remains bullish, BTC’s run into uncharted territory leaves room for a correction.
- Resistance: $120,000
- Support: $113,666 (23.6% Fib retracement from June low), $119,965 (May high)
Ether: Breaking Through Barriers
Ether (ETH) has finally pierced the stubborn $2,800 supply zone that capped gains in May and June. Rising spot volumes and a bullish Guppy Multiple Moving Average signal support the breakout, suggesting further upside.
ETH is firmly above the Ichimoku cloud, while momentum signals—including an RSI above 70 and a rising MACD—point to the potential for additional gains. The next key target is $3,066, representing the 61.8% Fibonacci retracement of the December–April downtrend. Any dips are likely to find support around $2,600.
- AI’s view: ETH’s breakout signals renewed bullish sentiment and potential for continued upside.
- Resistance: $3,066, $3,400, $3,525
- Support: $2,880, $2,600, $2,370
Solana: Double Breakout Fuels Rally
Solana (SOL) surged to $166, confirming an inverse head-and-shoulders pattern and punching above the Ichimoku cloud—a powerful dual breakout indicating strong momentum.
Using the measured move from the chart pattern, traders eye a potential target near $200. However, resistance could emerge between $180 and $190, an area shaped by intraday highs from May. Key support sits at $145; a drop below that level could invite further selling pressure.
- AI’s view: SOL’s dual breakout offers a compelling bullish case, though prudent risk management remains essential.
- Resistance: $180–$190 range, $200
- Support: $150 (100-day SMA), $145, $125
XRP: Momentum Hits Six-Month High
XRP has climbed to $2.58, its highest level since May 14. The 14-day RSI has crossed above 70 for the first time since January, signaling the strongest bullish momentum in half a year. The MACD histogram also suggests strengthening upside pressure.
A decisive move above the $2.65 resistance level—the May high—could open the door to targets at $3.00 and $3.39, the latter representing XRP’s yearly high. Meanwhile, XRP perpetual futures open interest has soared to a multi-month high of 833 million XRP, underscoring heightened market interest.
- AI’s view: XRP’s technicals show robust bullish momentum, suggesting further gains may be ahead.
- Resistance: $2.65, $3.00, $3.39
- Support: $2.20, $1.90, $1.60
Bottom Line: Bitcoin’s approach to $120,000 could prove pivotal for the broader crypto market. Meanwhile, altcoins like ETH, SOL, and XRP continue to show impressive strength, keeping traders focused on opportunities across the board—but mindful of potential volatility.
