Bitcoin's realized capitalization has reached a record $1 trillion, with nearly $2 billion in short positions poised for liquidation, potentially triggering a sharp rally if BTC approaches $120K.
The S&P 500 has surpassed the 5,000 level for the first time, but its valuation has also soared to 20.4 times forward price-to-earnings ratio, well above the historic average of 15.7. While some investors remain cautious, others believe that high valuations can persist for a while. Rising Treasury yields and stable profit expectations for 2024 have contributed to the market's expensive valuation, with some experts cautioning that the current level may precede subpar performance. However, the index's valuation is influenced by the heavy weighting of its largest stocks, and there are fewer signs of speculative excesses seen in past market turning points.