Bitcoin spent the week above $77,000, consolidating at its strongest level since early February. The largest representative of the cryptocurrency market is heading for its best monthly performance in the last year, gaining 13.6 percent in value in April. This rise attracted attention after the longest series of declines since 2018, which lasted from October to the end of February.
In the big picture, economic confidence increased
The positive sentiment in broad markets is supported by the rapid recovery in US stocks. S&P 500 and Nasdaq index reached record levels again after the correction trend at the beginning of the year. These developments indicate that the macroeconomic background supporting the rise in cryptocurrencies is strengthening.
In the crypto market, not only global economic conditions but also sector-specific dynamics direct prices. Recently, interest rate debates in the USA have been replaced by the strengthening of corporate balance sheets. Investors continue their interest in risky assets despite energy costs and geopolitical risks.
Tether effect on liquidity increase
Another important factor in the rise in the markets is the activity in the stablecoin market. The total supply of Tether, the largest stablecoin, has reached the 150 billion dollar mark, with an increase of approximately 5 billion dollars in the last two weeks. This increase in stablecoin supply indicates new liquidity inflow into cryptocurrencies. According to analysts; This movement is seen as an indicator that market actors are turning to digital assets and prices are supported.
It is emphasized that stablecoins have become the main element that increases the digital asset purchasing power of investors, especially in rapid position changes in the crypto market. This development means a significant recovery in liquidity after the stagnation in recent months.
Institutional investors and resistance zones
All uncertainties have not yet disappeared from the markets. Geopolitical tension in the Middle East and uncertainties originating from Iran keep oil prices high. However, in the short term, investors seem to have started to ignore these risks.
Jasper de Maere, over-the-counter trading manager at Wintermute, stated that market players have not focused on detailed headlines regarding geopolitical developments as much as before.
A certain fatigue is observed among market participants, and in general, the stock and crypto markets appear to be desensitized to geopolitical risks.
Despite the current fluctuations, Bitcoin remains near the upper end of its trading range. Serious resistance is observed around $79,000; It is stated that corporate sales pressure increases at this level.
According to Adam Haeems, head of asset management at Tesseract Group, there are significant institutional sellers above the $79,000 level. Haeems stated that for a sustainable new rise, institutional investors, not individual investors, should be the motivating factor. He pointed out that the risk of correction increases when sudden increases are limited only to investors who close short positions.
It is stated that if the inflows into spot Bitcoin ETFs continue after the US Federal Reserve (Fed) meeting in April, $ 79,000 may turn into the support level and the trading range may increase. However, if there is a slowdown in money inflows, it is estimated that prices may fall back to the 75,000-77,000 dollar band.
