The crypto market is in a relief rebound phase after one of its sharpest corrections in years. Bitcoin crashed ~52% from its October 2025 all-time high above $126K, briefly testing $60K in early February amid deleveraging, macro tightening, and AI-trade spillover. Since mid-February, we've seen the strongest bounces in months: BTC surged 10-11% in single sessions via short squeezes, ETF inflows, and risk-on rotation.
Current snapshot (CoinMarketCap data):
Total crypto market cap: $2.32T (–1.81% 24h, stabilizing after deeper drawdown)
Bitcoin (BTC): $67,260 (+1.99% 24h, +1.41% 7d) — briefly touched $70K before fading; key resistance at $70K
Ethereum (ETH): $2,005 (+3.59% 24h, +1.76% 7d) — alts showing relative strength
BTC dominance: 57.9%
What’s driving the rebound?
Technical relief: Massive short squeeze + reduced leverage (futures open interest dropped sharply).
Institutional flows: Bitcoin ETFs pulled in $257M–$506M on strong days; stocks like Coinbase and Circle also rallied.
Sentiment shift: Broader market stabilization and “buy the dip” from institutions (e.g., ARK Invest adding exposure). No single mega-catalyst — it’s mostly positioning unwind + thin liquidity.
Risks & outlook: Analysts warn this could be a “dead-cat bounce” unless BTC clears $70K decisively. Macro pressures (Fed rate expectations) and potential retests of $63K–$65K remain. Longer-term, 2026 recovery looks plausible on tokenization trends, clearer U.S. regulation, and halving-cycle supply dynamics — but near-term trading stays choppy.
X sentiment echoes this: “Real bounce or fakeout?” with traders watching $68K–$70K closely.
Bottom line: A solid technical recovery is underway, but sustainability depends on breaking resistance and fresh catalysts. Volatility remains high — trade accordingly.#CryptoRebound #BitcoinBounce #EthereumRecovery #BTCETF #MarketRebound
