Given that bitcoin has risen nearly 42% since the Nov. 5 election, is up 130% in 2024, and counts Donald Trump as a fan, $100,000 may happen Monday.

If that happens, what next? There's talk bitcoin could go much higher.

So could markets overall. There's even hope that the initial public offerings market could suddenly come alive.

But remember: Bitcoin is subject to market ebbs and flows.

Its relative strength index, an indicator that suggests if something is overbought or sold, has been above 80 in the last week. Above 80 is an overbought level and subject to a selloff.

It happened before, in early March when bitcoin nearly reached $74,000, with an RSI of 86. The uptrend broke, and $74,000 was not reached and topped until Nov. 6.

Inflation is never far from the minds of the Federal Reserve. It will be top of mind when the government issues its Personal Consumption Expenditures Price Index report for October.

The report focuses on the goods and services people buy and consume in the United States. It's the Fed's preferred inflation measure. In recent months, the overall rate has been running at about 2.1% a year.

More Economic and Market Analysis:

• Top Wall Street analyst unveils unexpected S&P 500 price target for 2025

• October retail sales add further complexity to Fed rate cut bets

• The Best Investors Get Humbled by the Market First

Core PCE (which takes out food and energy costs) is watched most closely. It's been running at about 2.7%. That's also the consensus estimate for October.

The Fed wants to see the core rate move toward its overall inflation goal of 2%. If it's stuck at 2.7% or higher, the pace of interest-rate cuts will slow. Fed Governor Michelle Bowman said this week she wanted the Fed to move cautiously on rates

The Fed is expected to trim its key rate slightly at its Dec. 17-18 meeting. A hot PCE number, however, could force a pause.

That's why the Street estimate of the number of interest-rate cuts between now and the end of 2025 has been falling.

At Friday's close, the 10-year Treasury yield was at 4.44%, flat on the day. But it was up from its September low of 3.62%, just before the Fed started to cut rates. The increase has pushed mortgage rates to about 7%.

In the first half of 2024, the S&P 500 Index added about 14%. The Information Technology Sector was up about 26%.

Only the Communications Services sector was close. But that sector's membership includes two tech giants: Meta Platforms  (META)  and Google-parent Alphabet  (GOOGL)  and  (GOOGL) .

As of Friday, the S&P 500 is up 25.2%.

Tech sector is up nearly 34%, with Communications Services up nearly 32%. But the growth rates have slowed.

Related: Honda's newest innovation is a gamechanger that can disrupt EVs

In fact, as of this past week, 2024's top-performing sector  is Financial, thanks to huge gains in such stocks as:

• KKR & Co.  (KKR) , famed for its leverage buyouts, up 91% for the year.

• Synchrony Financial  (SYF) , a spinoff from the old General Electric Company, up 73%.

• Insurance company Progressive  (PGR) , up 67%.

The weakest of the S&P 500's sectors is Healthcare.

There's more to say on broadening. The S&P 500 and Nasdaq Composite Index each added 1.7% this week. The Dow Jones Industrial Average was up 2%.

The small-cap Russell 2000 Index, up 4.5% this week, is up nearly 9.6% this month alone. The S&P 600 Index, which is like the Russell, is showing similar results.

Both were given up as dead six months ago

These are investable realities. One can buy the iShares Russell 2000 ETF  (IWM)  as an example.

Wall Street's public optimism is powerful. But there are still bumps to watch for:

• Slowing job growth.

• Stagnant housing activity.

• Stubborn interest rates.

• Inflation fears resulting from Trump tariffs and possible mass deportations.

• The potential for a broad Middle East War to erupt.

Related: Veteran fund manager sees world of pain coming for stocks