The crypto market gathers strength after the rebound
Market picture
The cryptocurrency market added 8% over 7 days, stabilising at the $2.7 trillion level since Saturday. This is where the market tried to find support in the last days of March before collapsing at the start of April. A move higher could bolster hopes for further gains, but these expectations will only be confirmed after a solid consolidation above the 200-day moving average, which is now near $2.97 trillion.
Bitcoin continues its cautious rise, trading above its 50-day moving average and reaching $85.7K. This is an important technical attempt to reverse the downtrend. Interestingly, the 200-day average is quite close, so a second confirmation of a trend change could come quite quickly. However, from a pessimistic point of view, it is worth noting that bitcoin has entered a resistance accumulation zone where the strength of the initial rebound may fade.
Solana has added 20% over the past seven days. From a technical perspective, this is an attempt to get back into the bull market zone. Solana is recovering faster than many of the major altcoins, trading at its 50-day moving average near $130. A consolidation above this level will open the way to $145, the area of previous peaks. A sustained move above them will signal a break of the downtrend and could lead to a move towards $180.
News background
According to CoinShares, global investments in crypto funds fell by $795 million last week after outflows of $240 million a week earlier. Bitcoin investments were down $751 million, Ethereum was down $38 million, and Solana was down $5 million, but investments in XRP were up $3.4 million, and Algorand and Avalanche were up $0.25 million.
Coinshares noted that recent tariff changes have led to record outflows of $7.2bn, effectively levelling out almost all of the inflows since the start of the year.
Call options on Bitcoin at $100K were the most popular on the Deribit platform, with a total open interest of nearly $1.2bn, according to CoinDesk analyst Omkar Godbole. The $70K put options were the second most popular, with $982 million in open interest.
Project Mantra's MANTRA token (OM) collapsed by 90%, and its market capitalisation dropped from $5.5 billion to $765 million. The crypto community suspects fraud, calling it the biggest rug pull since the collapse of LUNA and FTX.
Author
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.
