Crypto Market Sees Slight Recovery Amid Broader Market Decline
On April 1, the crypto market showed a small recovery as investors took advantage of lower prices. Bitcoin (BTC) climbed too $84,000,while Pepe (PEPE),EOS (EOS),Bonk (BONK),and Farcoin (FARTCOIN) saw gains over 5% in the past 24 hours. Total trading volume increased by 18%.
Despite this, U.S. stock index futures continued to fall. The dow Jones futures dropped by 250 points, and the Nasdaq 100 and S&P 500 indices fell by 0.50%. However, a potential positive sign is the decline in BTC and ETH balances on exchanges, suggesting reduced selling pressure.
CoinGlass data shows that BTC balances on exchanges fell to 2.2 million, down from 2.25 million in March. ETH balances are at their lowest in years, at 14.5 million.
but is this rebound real? It might very well be a “dead cat bounce,” a temporary recovery before further decline. Market risks are high, with Donald Trump’s upcoming Liberation Day and potential tariffs that could spark a trade war.
Technical analysis also points to more downside for Bitcoin.It’s below the 50-day moving average and the key resistance level at $89,156. If this trend continues, Bitcoin could retest its low of $76,485. Altcoins may follow suit.
Key points to watch:
- Exchange balances declining
- Market risks like trade wars
- Technical signals pointing to a bearish trend
