Bitcoin Bull Run Likely Still Intact as Market Eyes $125K Resistance

Bitcoin’s recent pullback from its record highs has sparked debate, but analysts suggest the bull run is far from over. After surging past $125,000 over the weekend, Bitcoin (BTC) reflected optimism around easier monetary and fiscal policies amid the ongoing U.S. government shutdown. Traders appear to be pricing in global easing expectations, including Japan’s potential return to Abenomics-style stimulus under its new prime minister.

Despite a modest dip of around 1% in the past 24 hours, Bitcoin remains supported by strong spot demand and ETF inflows rather than leveraged speculation. Sunday’s rally occurred during typically thin liquidity, and with just $65 million in BTC futures liquidations, it points to genuine buying rather than a short squeeze. However, some traders quickly booked profits, contributing to the mild correction seen on Monday.

The total crypto market capitalization now stands around $4.07 trillion, with the Fear and Greed Index at 64—an elevated yet not euphoric level—indicating room for further gains. Altcoins such as Dogecoin (DOGE), Cardano (ADA), XRP, and Tron (TRX) saw minor losses, while Ethereum (ETH) dropped slightly by 0.5%. BNB remains the standout, up over 17% weekly at $1,184, signaling continued sector rotation within crypto ecosystems.

A key bullish driver is the record $45 billion increase in stablecoin supply last quarter, two-thirds of which originated from Ethereum. This “dry powder” reflects growing investor readiness to deploy capital, reinforcing market strength. Combined with a government shutdown that may slow economic data releases and prompt central bank caution, macro conditions continue to favor risk assets like Bitcoin.

Analysts are watching the $125,000 level closely. A sharp approach followed by rejection could indicate supply dominance, while a steady grind higher may confirm renewed momentum. As institutional flows build and ETF demand stabilizes, Bitcoin’s path toward new highs remains open—marking this as a potential continuation phase rather than the end of the bull market.