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 most impressive monthly performance in a year, according to data from CoinGlass. This rebound follows a challenging period for crypto markets, which experienced their longest losing streak since 2018, with consecutive monthly declines 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 growth of Tether's USDT, the largest stablecoin, has surged to nearly $150 billion, with an increase of approximately $5 billion over the past two weeks. This expansion is significant, as stablecoins act as a source of liquidity in crypto markets, indicating capital inflows and a positive signal for asset prices. However, geopolitical tensions and uncertainty surrounding the Iran conflict persist, keeping oil prices elevated. 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, according to Jasper de Maere, an OTC trader at Wintermute.
The upcoming Fed meeting in April will be a crucial test for the current rally, with the potential to determine whether it will be sustained. If institutional demand continues to drive the move, a breakout above $79,000 could mark a more durable shift, while a fade in momentum may lead to a return to the $75,000–$77,000 range.