The cryptocurrency market has experienced a strong upward wave in recent hours, with the total market capitalization increasing by 2.7% to reach $3.38 trillion, after briefly touching a peak of $3.40 trillion last night. These levels are the highest since early February, primarily due to a recovery in demand for alternative coins (Altcoins).
Psychological indicators point to increasing enthusiasm
The "fear and greed" index recorded a level of 73 points, placing the market in the "greed" zone and approaching "extreme greed". Despite the prevailing positive atmosphere, the market has not yet reached overbought territory, leaving the door open for additional upward waves.
Bitcoin dances near the psychological resistance
Bitcoin (BTC) remains stable around the $104,000 level for the sixth consecutive day, in a behavior known as "price rotation" near strong resistances. This level is considered a critical turning point, as it intersects with peaks recorded by the coin in December and January.
Ethereum shows signs of temporary retreat
Ethereum (ETH) is currently trading near the $2,615 level, after failing to maintain levels above $2,700, which is a major resistance level that coincides with the 200-day moving average. After a strong jump of 55% in the past week, the coin may enter a corrective or calming phase, with $2,400 as a potential target.
An increase in global liquidity supports the upward trend
Analysts from Bitcoin Magazine pointed to an increase in the global money supply (M2), an economic indicator historically associated with strong bullish cycles in Bitcoin's price, reinforcing expectations for continued positive momentum.
Movements of institutions and smart investors
According to data from Glassnode and Santiment, wallets holding between 10 to 10,000 BTC have accumulated over 83,000 Bitcoin in the past thirty days, which is an indicator of growing institutional confidence, despite the cautious stance of some seasoned traders.