Bitcoin has maintained its position above $77,000, following a notable 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, recovering from a prolonged losing streak that lasted from October to February.
The improvement in the broader macroeconomic landscape, including a strong recovery in US equities, has contributed to this turnaround. Additionally, the supply of Tether's USDT stablecoin has grown to nearly $150 billion, with a $5 billion increase over the past two weeks, acting as a key driver of liquidity in crypto markets.
Analysts view stablecoin growth as an indicator of capital flowing into the crypto market, which can have a positive impact on asset prices. However, geopolitical tensions and uncertainty surrounding the Iran war continue to pose risks. Markets appear to be looking beyond these concerns for now, with strong corporate earnings and resilient equity markets offsetting worries about higher energy costs and geopolitical risks.
The upcoming April Fed meeting will be a crucial test for the current rally, with the potential to determine whether bitcoin can break through the $79,000 level, which has proven to be a significant resistance point.