Bitcoin has maintained its position above $77,000, following a significant surge to its highest level since early February. The cryptocurrency's 13.6% increase in April puts it on track for its best monthly performance in a year, according to CoinGlass data, rebounding from a period of consecutive monthly declines. The improvement in the broader macroeconomic backdrop, including a strong recovery in US equities, has contributed to this turnaround. Additionally, the supply of Tether's USDT stablecoin has surged to nearly $150 billion, adding approximately $5 billion over the past two weeks, which is seen as a positive signal for asset prices.
However, geopolitical tensions and uncertainty surrounding the Iran war persist, keeping oil prices elevated. Markets appear to be looking past these concerns for now, with strong corporate earnings and resilient equity markets offsetting concerns about higher energy costs and geopolitical risks.
The upcoming Fed meeting in April will be a key test for the current rally, with the potential to determine whether it will hold or fade.