Bitcoin and Ethereum: Analyzing the Short-Term Rebound in Cryptocurrencies
Short-Term Recovery in Bitcoin and Ethereum
Bitcoin has rebounded from $93K amidst illiquid trading conditions, gathering buyer interest and climbing to $95.6K. However, solidify above $100K is necessary for a robust recovery signal. The overall crypto market cap reflects a 9.5% decline over the past week, stabilizing at about $3.25 trillion. In contrast, Zcash impressively holds at $700, while Solana and Ethereum struggle with drops of 45% and 40%, respectively.
Market Sentiment and ETF Trends
The current crypto sentiment index reported lows reminiscent of late February, encouraging speculations on short-term buys. Meanwhile, Bitcoin ETF outflows continued, totaling $1.11 billion last week, and Ethereum ETFs faced $728.6 million in outflows. Conversely, Solana ETFs saw positive inflows of $382.1 million, despite simultaneous price declines.
Long-Term Holder Behavior
Long-term Ethereum holders are increasing sell-offs at 45,000 ETH per day, the highest since February 2021, while Bitcoin holders offloaded 815,000 BTC recently. Additionally, Bitfarms has signaled a shift from Bitcoin mining towards AI infrastructure development.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.