Market Overview
The crypto market soared by more than 4% to $2.71T, reaching May’s highs at the very start of the day following nearly two weeks of consolidation after the rally. Bitcoin was the key driver, with altcoins actively supporting it, but the renewal of highs soon fuelled profit-taking. It appears there is a strong inclination towards short-term profit-taking in the markets, coupled with scepticism about the market shifting into a bullish phase. Among the top coins over the past 24 hours, the top gainers were Dash (+18%), Zcash (14.7%) and Uniswap (+9.5%), whilst the worst performers were Filecoin (-4.8%), Aptos (-2.7%) and Immutable (-0.6%).
Overnight, Bitcoin rose to $82K between the active trading sessions in the US and Asia. Still, by the start of active trading in Europe, it had pulled back to just below $81K, whilst remaining above the local resistance level seen in recent days. The leading cryptocurrency reached its May rebound highs, rallying within a few hours from the lows of its consolidation range to break above its upper boundary. Further gains pave the way to the year’s opening highs near $95K. However, it appears that this will require support in the form of further strengthening of stock indices and a weaker dollar.
News Background
Bitcoin has surpassed its 50-week moving average at $81K, as noted by Galaxy Research. BTC had not risen above this line since late 2025, when it rapidly broke through it on its way down from $126K to $60K.
Investors are increasingly hedging against currency depreciation through Bitcoin and gold, whilst the correlation between the leading cryptocurrency and the precious metal has reached a six-year high, according to Bitwise. At the same time, BTC has almost lost its link to stock indices.
Bitwise’s Chief Investment Officer, Matt Hogan, has described Bitcoin as a safeguard against rising US government debt. He recommended that investors hold both the first cryptocurrency and shares in artificial intelligence (AI) companies in their portfolios.
Anthony Pompliano, CEO of ProCap Financial, agrees with Hogan, arguing that a combination of Bitcoin and AI would make for an ideal investment portfolio.
ETFs and companies with crypto reserves have already helped channel funds into the crypto market in previous years. Wintermute believes that tokenised real-world assets (RWAs) could be the next source of liquidity for cryptocurrencies.
US SEC Chair Paul Atkins has presented a new draft of the Regulation Crypto Assets and described it as an attempt to bring back crypto companies that have left the US over the past four years.
The FxPro Analyst Team
