The overall tone of crypto markets, analysts said, remains neutral, with the Fear & Greed Index steady at 42 - indicating reduced panic and improving investor confidence
The cryptocurrency, which had fallen to around $103,598 on October 17, climbed back to $110,222 in the last 24 hours - up 2.82 per cent
The recent pullback in Bitcoin, they said, appears to be a classic case of market fatigue after record highs
Despite the intense volatility, market participants remained resilient, with total crypto market capitalisation rebounding above $4 trillion
The pullback in Bitcoin and Ethereum, analysts said, appears to be a short-term corrective phase within a broader bullish structure
The surge comes amid sustained institutional inflows, as investors grow increasingly optimistic about potentially supportive signals from the US Federal Reserve
The crypto market rally aligns with historical trends. October, often called 'Uptober' in the crypto space, has traditionally been bullish, with Q4 typically delivering strong gains
The original cryptocurrency has long been referred to as "digital gold" by advocates, who see it serving a similar role as the precious metal during times of turmoil
The rebound in the crypto markets, analysts said, suggests cautious institutional re-entry, but also underlines that macroeconomic signals and ETF flows will remain pivotal
The broader altcoin market mirrored the weak sentiment, with Story (IP) continuing its sell-off to emerge as the day's biggest laggard, plunging 28 per cent
The market's flagship assets - Bitcoin (BTC) and Ethereum (ETH) - remain largely range-bound, which in turn has capped momentum across other altcoins
Despite the volatility, analysts suggest this correction is not a sign of fundamental weakness, but rather a leverage flush, a natural reset following an extended rally
The bulls failed to intensify volatility over the past weekend, and as a result, Bitcoin's price dropped below $112,00
After weeks of strong gains, the crypto market, analysts said, is experiencing a natural pause, driven by profit-taking and a cooling of derivatives positions
The rate cut also triggered over $105 million in market liquidations, reflecting a spike in trading activity and market volatility
While the rate cut itself is largely expected, analysts believe that Powell's forward guidance will play a crucial role in determining whether these levels push higher or lead to a corrective pullback
While short-term positioning remains cautious, analysts believe institutional demand through spot ETFs is lending support to the upside
Despite the modest gains, sentiment around the short-term outlook, analysts said, remains cautious
The Altcoin Season Index rose to 67 from 29 last month, signaling stronger altcoin momentum that could potentially trigger an altseason soon.
The rally was supported by strong institutional and stablecoin inflows, helping Bitcoin maintain its gains, though altcoins showed mixed performance, according to analysts