Since mid-April, Bitcoin has been making waves by surging from below the $85,000 mark to peaks as high as $104,700. This significant price movement reflects an overall positive shift in investor sentiment, fueled in part by fresh capital entering through BTC exchange-traded funds (ETFs).

Positive Investor Sentiment and ETF Influence

The inflow of capital via cryptocurrency ETFs has been a major driver of Bitcoin’s recent gains. Investors are increasingly eyeing these regulated instruments as a gateway into the crypto market, reinforcing the overall market sentiment and boosting the bullish momentum – at least on paper.

Underlying Signs of Fatigue in Bitcoin’s Price Action

Despite the surge, Bitcoin's momentum appears to be showing signs of fatigue. The cryptocurrency has struggled to break the $102,000 – $105,000 consolidation range over the past week. The daily Relative Strength Index (RSI) indicates only mild bullish signals, which calls into question the sustainability of the recent bull run.

Global Crypto Trends and Market Implications

The current state of Bitcoin not only holds significance for individual traders but also for the global crypto market. While the bullish streak has infused a sense of optimism among crypto enthusiasts, the emerging technical signals and consolidation patterns suggest that caution may be needed. This is particularly important for those trading in the broader DeFi and Web3 sectors, where market trends could have cascading effects.

Actionable Trading Advice for Crypto Enthusiasts

For traders and investors, the key takeaway is to balance optimism with cautious analysis. Monitor key technical indicators like the daily RSI and pay attention to consolidation ranges that may signal potential reversals. Diversifying portfolios and staying updated with reliable crypto news sources are essential strategies to navigate this volatile market.