Major digital assets climbed along with stocks on Tuesday, based on expectations that trade disputes between the U.S. and China could see relief.
What Happened: Bitcoin fueled the rally, crossing the $93,000 mark for the first time since the beginning of March.
The wider market joined the rally, with Ethereum, which was earlier resistant to Bitcoin’s advances, surging toward 12% in the previous 24 hours. Bitcoin’s April rise surged to 12.3%, a significant rebound from the 12% drop in the first quarter of 2025.
The rally challenged bearish positions almost as difficult as $516 million in short positions were cleared out in the past 24 hours. However, if Bitcoin dropped to $90,000, more than $677 million in bets that prices would go up could be at risk of being lost.
Bitcoin’s Open Interest Increased 12.18% in the past 24 hours to a fresh monthly peak, while assets secured in Ethereum’s futures contract surged 15%. According to the Long/Short Ratio, above 60% of Binance traders with open Bitcoin positions were betting that Bitcoin’s price would fall, rather than rise.
According to the Crypto Fear and Greed Index, the market mood sharply changed from “panic” to “optimism.” The global cryptocurrency market cap was valued at $2.92 trillion, after a surge of 5.75% in the past 24 hours.
Stocks displayed a rapid rebound on Tuesday. The Dow Jones Industrial Average surged 1,016.57 points, or 2.66%, to finish at 39,186.98. The S&P 500 climbed 2.51% to end at 5,287.76, while the tech-focused Nasdaq Composite surged 2.71% to finish at 16,300.42.
The recovery happened after the U.S. Treasury Secretary Scott Bessent suggested that trade tensions with China might ease, during a JPMorgan event in Washington.
In other updates, the International Monetary Fund lowered its 2025 growth prediction for the U.S. because of Trump’s tariff policies but slightly increased its inflation forecast.
Expert Notes: Ali Martinez, a significant cryptocurrency expert, mentioned the zone between $95,600 and $98,290 as the upcoming key resistance for Bitcoin.
Another popular expert, using the name CrediBULL Crypto, warned not to celebrate too soon.
It’s really going to depend on Bitcoin. If it drops soon, we will likely see a setback. “But if Bitcoin keeps rising, there’s a chance we can move forward,” the expert said. “We are still right at our resistance level, so we can not celebrate just yet.”
Read also:- BNB Price Hits $600 as BNB Chain Dominates USDT Transactions
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