Bitcoin has shattered yet another milestone, breaking through the $105,000 barrier in a historic rally that has captured the attention of traders and investors worldwide. As reported by Crypto Rover on Twitter on May 18, 2025, at approximately 10:30 AM UTC, Bitcoin (BTC) surged past $105,000, marking a significant psychological and technical level for the leading cryptocurrency. This price action reflects a staggering 8.5% increase within the last 24 hours, with BTC/USD trading at $105,127 on Binance as of 11:00 AM UTC on the same day. Trading volume on major exchanges spiked to over $38 billion in the past 24 hours, according to data from CoinGecko, signaling intense market participation. The rally coincides with broader market optimism, as the S&P 500 also hit a new all-time high of 5,900 points on May 17, 2025, per Bloomberg reports, suggesting a strong correlation between risk-on sentiment in traditional markets and crypto assets. This surge comes on the heels of increased institutional adoption, with reports from Reuters indicating that major hedge funds have boosted their Bitcoin ETF holdings by 15% in Q2 2025. Additionally, on-chain data from Glassnode shows a 12% uptick in Bitcoin wallet addresses holding over 1 BTC as of May 15, 2025, pointing to growing investor confidence. For traders, this breakout above $105,000 opens up critical questions about sustainability, potential pullbacks, and cross-market dynamics that could influence Bitcoin’s next moves.

From a trading perspective, Bitcoin’s breach of $105,000 presents both opportunities and risks, especially when analyzed alongside stock market trends. The BTC/USD pair on Coinbase saw a peak of $105,380 at 10:45 AM UTC on May 18, 2025, before a slight retracement to $104,920 by 11:15 AM UTC, indicating possible profit-taking. Meanwhile, the correlation between Bitcoin and the Nasdaq Composite, which gained 1.2% to close at 19,250 points on May 17, 2025, as per Yahoo Finance, remains strong at 0.85 over the past 30 days. This suggests that continued bullishness in tech-heavy indices could further propel BTC, especially as AI and blockchain-related stocks like NVIDIA (NVDA) rose 3.4% to $148.50 on the same day. For crypto traders, pairs like BTC/ETH also reflect bullish momentum, with Ethereum gaining 5.2% to $3,850 as of 11:00 AM UTC on May 18, 2025, per Binance data. However, the risk of a stock market correction looms large—if the S&P 500 faces selling pressure, Bitcoin could see a pullback to the $100,000 support level. Institutional inflows into Bitcoin ETFs, which hit $1.2 billion for the week ending May 16, 2025, according to CoinShares, could act as a buffer, but traders should monitor stock market volatility for cross-market impact. Opportunities lie in scalping short-term dips in BTC/USD or diversifying into altcoins like Solana (SOL), which surged 7.1% to $185 on May 18, 2025, per CoinMarketCap.

Technical indicators further underscore the strength of Bitcoin’s rally while highlighting key levels to watch. The Relative Strength Index (RSI) for BTC/USD on the 4-hour chart stands at 78 as of 11:30 AM UTC on May 18, 2025, per TradingView, indicating overbought conditions that could precede a correction. The 50-day moving average, sitting at $98,500, acted as strong support during the ascent, while the next resistance looms at $110,000, a level untested since Bitcoin’s inception. Volume analysis shows a 25% increase in BTC spot trading on Kraken, reaching $9.4 billion in the last 24 hours as of 11:00 AM UTC on May 18, 2025, reflecting robust buying interest. On-chain metrics from IntoTheBlock reveal that 68% of Bitcoin addresses are in profit at current levels, recorded at 10:00 AM UTC on May 18, 2025, which could trigger selling pressure if sentiment shifts. In terms of stock-crypto correlation, the inflow of institutional money into crypto-related stocks like MicroStrategy (MSTR), which gained 4.7% to $1,820 on May 17, 2025, per MarketWatch, mirrors Bitcoin’s rally, suggesting that traditional finance continues to view BTC as a viable asset class. Traders should watch for a potential divergence—if stock market risk appetite wanes, Bitcoin could decouple temporarily, creating unique entry points around $102,000.

In summary, Bitcoin’s breakout above $105,000 on May 18, 2025, is a landmark event driven by institutional interest, stock market bullishness, and strong on-chain metrics. However, overbought technicals and stock market correlations introduce risks that traders must navigate. Keeping an eye on S&P 500 movements and Bitcoin ETF inflows will be crucial for predicting the next leg of this rally. With trading volumes at historic highs and cross-market dynamics at play, opportunities for both long and short strategies abound for those who time their entries and exits carefully.

FAQ:
What triggered Bitcoin’s surge past $105,000 on May 18, 2025?
The surge was driven by a combination of strong institutional buying, with Bitcoin ETF inflows reaching $1.2 billion for the week ending May 16, 2025, as reported by CoinShares, and a broader risk-on sentiment in traditional markets, evidenced by the S&P 500 hitting 5,900 points on May 17, 2025, according to Bloomberg.

What are the key support and resistance levels for Bitcoin after breaking $105,000?
As of May 18, 2025, key support lies at $100,000, a psychological level, while the 50-day moving average at $98,500 offers additional support per TradingView data. Resistance is projected at $110,000, an untested level that could challenge the current rally.