Bitcoin Hits All-Time High in USD But Fails to Confirm Global Bullish Trend, Analyst Warns Dollar Weakness May Be Driving Rally
Bitcoin surged to a new all-time high of $111,814 in USD terms during May, sparking renewed speculation about an ongoing cryptocurrency bull run. Despite May’s 11% price increase and strong year-to-date gains, analyst Tony ’The Bull’ Severino urges caution, highlighting that Bitcoin failed to set new highs against other major fiat currencies (euro, pound, yen, Swiss franc) and gold. This divergence suggests the move may be more about US dollar weakness than broad-based crypto demand. Severino advises traders to monitor Bitcoin’s performance across multiple fiat pairs and asset benchmarks—rather than relying solely on USD price action—to confirm true market strength. Though institutional investment and sovereign mining expansion offer bullish fundamentals, rising mining costs, increased network difficulty, and regulatory uncertainty remain key risks. The May close and June open could be pivotal for determining Bitcoin’s next price direction. Traders should remain vigilant for multi-currency confirmation of any further bullish momentum.
Neutral
While Bitcoin achieved a new record high against the US dollar, the failure to break new highs in other major fiat currencies and gold indicates that the recent price rally may be driven more by dollar weakness than by widespread Bitcoin demand. The mixed signals—ongoing institutional investment and sovereign mining expansion versus escalating mining costs and regulatory challenges—warrant a cautious approach for traders. Until there is confirmation of strength across multiple fiat and asset benchmarks, the sustainability of the bull trend remains uncertain. Thus, the short-term outlook is neutral, with traders advised to await further technical confirmation before adopting a bullish or bearish stance.