Bitcoin has maintained its position above $77,000, following a notable surge to its highest level since early February. The cryptocurrency is currently on track for a 13.6% gain in April, marking its best monthly performance in a year, according to CoinGlass data.
This rebound comes after a prolonged period of decline, with crypto markets experiencing their longest losing streak since 2018. The recent turnaround can be attributed to an improved macroeconomic backdrop, with US equities recovering and the S&P 500 and Nasdaq reaching record highs. Additionally, the supply of Tether's USDT has increased to nearly $150 billion, with a $5 billion growth over the past two weeks. This surge in stablecoin supply is seen as a positive indicator for the crypto market, as it acts as a source of liquidity for traders.
Despite ongoing geopolitical tensions, markets appear to be looking beyond these concerns, with strong corporate earnings and resilient equity markets offsetting worries about higher energy costs. The upcoming Fed meeting in April will be a crucial test for the current rally, with the potential to determine whether the surge in bitcoin's price will be sustained.