Bitcoin's (BTC) price broke above its key resistance level after facing multiple rejections around it the previous week.

Bitcoin's price has recently breached its key resistance level of $87,000, indicating a potential upward trend as it looks to approach the psychological barrier of $90,000. This breakout is significant as it follows a series of rejections at its 200-day Exponential Moving Average (EMA) at around $85,000 since mid-April. The bullish momentum is reflected in the Relative Strength Index (RSI) readings, which have moved above neutral levels, suggesting traders may see further gains if the upward trend continues. Meanwhile, Ethereum (ETH) and Ripple (XRP) are also approaching their respective resistance levels, with a breakout in these assets potentially signaling a broader market rally. Ethereum trades close to $1,700, while XRP is testing levels near $2.23. Analysts note that if these prices are maintained and push through these barriers, we could witness fresh buying interest across the crypto landscape. In the backdrop of these movements, there is increased institutional interest observed with nearly $16 million inflows into Bitcoin spot Exchange Traded Funds, which could be pushing prices higher as more institutional players allocate funds into Bitcoin amidst global market uncertainties driven by ongoing geopolitical tensions, notably between the US and China. This context adds an additional layer of complexity to market dynamics, as external economic factors are also in play. That said, while there is optimism, caution is still advised. Market volatility, as highlighted by Bitcoin's recent price swings, could mean sudden downturns. The advice to investors remains to perform thorough research and exercise caution when engaging with cryptocurrency investments, given the risks involved. Understanding market signals and trends will be critical in this evolving scenario for both short-term traders and long-term investors alike.