The digital assets market began the second quarter in a state of consolidation, but according to Fidelity Digital Assets, underlying data suggests early signs of stabilization. In its Q2 2026 Signals Report, the firm pointed to improving conditions in key areas such as unrealized profitability, momentum, and network usage.
Rather than focusing solely on price, the report takes a broader view of risk, positioning, and cycle dynamics across bitcoin, ether, and solana. Bitcoin continues to be the primary source of resilience in the market, with unrealized profit levels and dominance metrics indicating that capital remains concentrated in the most established and liquid asset during consolidation.
The report notes that bitcoin's dominance has been gradually increasing after declining in the latter half of 2025. Despite recent choppy performance in crypto markets, with bitcoin and other major tokens range-bound, the analysts believe that momentum and profitability indicators are consistent with a corrective period that may lay the groundwork for a more stable market structure. A notable divergence is emerging between price and network activity, with sustained usage across Ethereum and Solana suggesting that demand at the protocol level remains intact even as valuations lag. Overall, the report suggests that the market is still in recovery, but with structural improvements underway that may not yet be fully reflected in prices.