Weekly Crypto Market Highlights
The crypto market experienced a significant surge earlier in the week,
with a 10% jump and billions regained as Bitcoin and altcoins
rebounded.
However, the market took a hit on Friday, February 7, with the total
market capitalization dropping by over 2.5% to about $3.15 trillion.3 As of
February 7, the crypto market was in a state of caution, with the Fear and
Greed Index firmly in the fear zone at 35.3
Crypto Market Surge: The market's rebound was partly caused by US
President Donald Trump's decision to temporarily pause his tariff plans with
Mexico and Canada, reducing uncertainty and boosting crypto
prices. Institutional investors also took the opportunity to buy Bitcoin at
discounted prices, increasing demand and pushing prices higher.2
Crypto Market Drop: The market's decline on February 7 was attributed to
several factors, including liquidations across the crypto market, investors
being in risk-off mode ahead of US jobs data, and weakening market
technicals.3 Ether (ETH) led the market in losses, down 5% over the
last 24 hours to trade just below $2,700.3
Bitcoin and Altcoins: Bitcoin posted moderate losses, down 1.3% to areas
around $96,800, while other top-cap cryptocurrencies such as Solana (SOL),
Dogecoin (DOGE), and Cardano (ADA) were also down 6.3%, 6.5%, and 6%,
respectively.
Market Technicals: The TOTAL index, or the combined market capitalization of
all cryptocurrencies, is currently testing the support level at $3.11
trillion, the bull flag's lower boundary.
If this support line finally
cracks, a retest of the 50-day simple moving average (SMA) at $2.55 trillion
will be on the cards.
