Bitcoin has surged past the $107,500 mark, nearing its all-time high of $109,114.88, driven by bullish sentiment, institutional inflows, and rising futures activity. On May 21, Bitcoin was trading at $107,647, approximately 1.42% below its peak from earlier in January. CoinMarketCap data indicates a 24-hour trading volume of $50.84 billion and a market capitalization of $2.13 trillion. Market watchers suggest this surge signals a potential breakout, with Bitcoin consolidating near $107,000 and facing key resistance at $109,500.

Institutional interest and leveraged positions are fueling the rally, with BTC futures open interest increasing by 10.65% to $74.35 billion. US spot Bitcoin ETFs recorded net inflows of $41.7 million, marking five consecutive days of gains. Despite a slight drop in volume, markets have surged, indicating a decrease in bearish interference.

Ethereum also experienced an upward trend, trading at $2,577.99, up 0.38% in the past 24 hours, with a market capitalization of $312.01 billion. Ethereum has gained nearly 60% over the past month, outperforming Bitcoin. It is testing the key psychological resistance at $2,500, and while structural indicators remain bullish, elevated trading volumes and recent profit-taking may lead to short-term consolidation.

Most altcoins followed suit, with BNB gaining 1.63%, Cardano (ADA) rising 2%, and Solana up 0.56%. Dogecoin added 2.4%, while Avalanche, Stellar, and Shiba Inu all rose by around 1%. XRP, however, was slightly down by 0.11%. The broader market's total capitalization rose to $3.4 trillion, with Bitcoin maintaining a 62.9% dominance.

Looking ahead, analysts anticipate continued high volatility. Maintaining levels above $105,000 is crucial for Bitcoin's bullish momentum, while Ethereum must hold above $2,200. Broader developments, such as Coinbase potentially acquiring USDC issuer Circle and Texas passing the Texas Strategic Bitcoin Reserve and Investment Act, could further impact market sentiment.