Leading cryptocurrencies rallied in tandem with stocks on Tuesday, even as tariff uncertainty and geopolitical tensions weighed on the market.
Crypto Market Edges Up Slightly
Bitcoin spiked to $66,000 overnight, driving similar rallies across the rest of the market.
Ethereum surged to $1,910 after lingering around $1,850 most of the day. XRP and Dogecoin also recorded upsides.
Nearly $380 million was liquidated from the market in the last 24 hours, according to Coinglass, with short liquidations accounting for the majority.
Meanwhile, Bitcoin’s open interest fell 0.35% over the past 24 hours. An increase in price combined with a decrease in Open Interest typically indicates entry of short positions, suggesting the rally lacks conviction.
“Extreme Fear” sentiment prevailed in the market, according to the Crypto Fear & Greed Index.
Top Gainers (24 Hours)
The global cryptocurrency market capitalization stood at $2.20 trillion, down 1.71% over the past 24 hours.
Stocks Gain, Oil Prices Ease
Stocks rebounded on Tuesday. The Dow Jones Industrial Average rallied 370.44 points, or 0.76%, to end at 49,174.50. The S&P 500 rose 0.77% to close at 6,890.07, while the tech-heavy Nasdaq Composite closed up 1.04% at 22,863.68
Bullion prices edged higher, with spot gold up 0.12% to $5,147 per ounce and spot silver climbing 0.80% to $87.85 per ounce.
Crude oil prices held at their 7-month highs, with West Texas Intermediate trading up 0.84% to $66.17 as tensions between the U.S. and Iran kept the market on edge.
Bitcoin Likely To Trade Within This Range, Says Analyst
Lacie Zhang, Research Analyst at Bitget Wallet, said in a note to Benzinga that the ongoing decline in Bitcoin and Ethereum reflects a broader “risk-off reset” rather than a “crypto-specific breakdown.”
The analyst argued that deeper integration of digital assets with traditional finance boosts inflows during bullish phases, but at the same time, heightens vulnerability to geopolitical tensions, tariff uncertainty, and volatility in tech and AI.
“Near term, Bitcoin is likely to trade within a $58,000 – $76,000 range, with current levels around $64,500 testing key supports, while Ethereum may fluctuate between $1,750 – $2,200 near $1,850,” Zhang predicted.
Widely followed cryptocurrency analyst and trader Michaël van de Poppe expected the cryptocurrency market to remain “boring” until the Friday options expiry on Deribit.
“Break $65,000 would be a strong trigger for [Bitcoin] upside,” the analyst said.
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