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Crypto market rebounds from its worst oversold conditions since 2020

Market overview

The crypto market capitalisation has risen by 1.3% over the past 24 hours to $2.18 trillion. With no fresh downward momentum, bears are taking profits, while some investors view the situation as a good opportunity for long-term positions. On daily timeframes, the RSI is recovering and entering neutral territory after the most severe oversold conditions since 2020. Among the top-performing coins of the day were BAT (+13%), NEAR (+7%) and ZEC (+6.5%). The underperformers were BCH (-6.1%), TRX (-0.6%) and UNI (+0.2%). 

Bitcoin rebounded to $63.2K, moving away from Friday’s lows of $59K. Technically, a recovery up to $68K could be viewed as a rebound from the downward momentum seen between 11 May and 5 June. On the other hand, a sustained rebound over this period would confirm a bounce off the 200-week moving average and bring the leading cryptocurrency out of oversold territory, which would be a different narrative altogether. It is quite possible that this situation will be a very close analogy to 2020, when a couple of months of recovery from the last slump were followed by four months of sideways movement and a subsequent boom. 

News background

Bitcoin is experiencing its first-ever drop in hash rate due to economic reasons, Elektron Energy notes. From its record high in September 2025, the network’s computing power has fallen by approximately 25%.

A ‘changing of the guard’ has occurred in the crypto market, with the leaders of key segments giving way to a new generation of participants. The main areas of development will be decentralised finance (DeFi), the tokenisation of real-world assets (RWA) and stablecoins, while blockchain systems will interact more closely with AI, Bitwise predicts.

By selling shares, Strategy purchased an additional 1,550 BTC last week for $101.3 million at an average price of $65.3K per coin. A week earlier, the company sold 32 BTC for the first time since 2022. Strategy now holds 845,256 BTC, purchased for $64 billion at an average price of $75.7K per Bitcoin.

Over the past week, BitMine increased its reserves by 126,971 ETH, marking its largest purchase since the start of the year. BitMine’s reserves exceeded 5.54 million ETH, accounting for 4.59% of the Ethereum supply. The company has stepped up its purchases of the altcoin following its price decline.

Tether’s USDT stablecoin briefly overtook Ethereum to take second place by market capitalisation, notes JAN3 founder Samson Mow. Bloomberg strategist Mike McGlone expects USDT could even overtake Bitcoin in terms of capitalisation should Bitcoin experience a sharp decline.  

Summary: The crypto market is rebounding after severe oversold conditions: market capitalisation has risen to $2.18T, BTC has recovered to $63.2K, and the market is seeking support for a potential continuation of the rally. 

Author

Alexander Kuptsikevich

Alexander Kuptsikevich, a senior market analyst at FxPro, has been with the company since its foundation. From time to time, he gives commentaries on radio and television. He publishes in major economic and socio-political media.

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