Crash

2024

Bitcoin

Trillion

<p>The post <a href="https://coinpedia.org/news/is-the-crypto-crash-over-market-recovers-with-impressive-2-trillion-cap/">Is the Crypto Crash Over? Market Recovers with Impressive $2 Trillion Cap</a> appeared first on <a href="https://coinpedia.org">Coinpedia Fintech News</a></p> 
<p>The crypto market has significantly rebounded from Monday’s crash despite the heightened forced liquidation of leveraged traders. Led by Bitcoin (BTC) and Ethereum (ETH), the crypto market registered heightened trading volume in the past 24 hours. For instance, Bitcoin recorded a more than 90 percent rise in daily average traded volume to about $93 billion.</p> 
<p>Consequently, Tuesday’s total crypto market cap surged over 4 percent to about $2 trillion during the early European session.&nbsp;</p> 
<h2 class="wp-block-heading" id="h-top-reasons-crypto-market-surged">Top Reasons Crypto Market Surged</h2> 
<h3 class="wp-block-heading" id="h-general-rebound-in-asia-stocks"><strong>General Rebound in Asia Stocks</strong></h3> 
<p>After registering its worst single-day performance in several decades, the Asia stock market rebounded on Tuesday, led by the Nikkei 225 and the Asia Dow. A similar bullish wave is expected in the European and US stock markets, which registered notable losses on Monday.</p> 
<p>Consequently, the crypto market has enjoyed a bullish outlook with the general stock rebound.</p> 
<h3 class="wp-block-heading" id="h-buyers-of-increased-fear-nbsp"><strong>Buyers of Increased Fear&nbsp;</strong></h3> 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper"> 
  <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
   <p lang="en" dir="ltr">Ethereum Fear and Greed Index is 17 — Extreme Fear<br>Current price: $2,419 <a href="https://t.co/YbAp5yi1gX">pic.twitter.com/YbAp5yi1gX</a></p>— Ethereum Fear and Greed Index (@EthereumFear) <a href="https://twitter.com/EthereumFear/status/1820610798521110777?ref_src=twsrc%5Etfw">August 6, 2024</a>
  </blockquote>
  <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
 </div>
</figure> 
<p>Following the heavy crypto liquidations in the past 48 hours, the crowd has depicted fear of further capitulation in the coming weeks. Furthermore, both Bitcoin and Ethereum’s fear and greed indexes have depicted extreme fear of further crypto capitulation.&nbsp;</p> 
<p>However, on-chain data shows long-term investors interpreted the recent crypto crash as a buy-the-dip event. For instance, the US spot Ether ETF registered a net cash inflow of about $49 million.&nbsp;</p> 
<h3 class="wp-block-heading" id="h-global-liquidity-breakout-nbsp"><strong>Global Liquidity Breakout&nbsp;</strong></h3> 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper"> 
  <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
   <p lang="en" dir="ltr">Global Liquidity breaking out now $106.47 trillion. <a href="https://twitter.com/hashtag/Bitcoin?src=hash&amp;ref_src=twsrc%5Etfw">#Bitcoin</a> clearly flushed my the manipulators to the Double Top target at $48000. <br><br>– They gave it their best but couldnt get past $49300<br>– Expect Bitcoin to chase the liquidity upward now. <a href="https://t.co/QDRYLWgOjY">pic.twitter.com/QDRYLWgOjY</a></p>— MartyParty (@martypartymusic) <a href="https://twitter.com/martypartymusic/status/1820536366406729780?ref_src=twsrc%5Etfw">August 5, 2024</a>
  </blockquote>
  <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
 </div>
</figure> 
<p>The cryptocurrency market has significantly benefited from the rising global liquidity outlook, led by China, Japan, and the United States. Last Wednesday, the Bank of Japan (BoJ) hiked its benchmark interest rate by 25 basis points, its highest since 2008.&nbsp;</p> 
<p>The US national debt recently jumped above $35 trillion for the first time in history. Starting tomorrow, the US Fed will begin its $30 billion monthly treasury buybacks, thus injecting liquidity into the market.</p> 
<h2 class="wp-block-heading" id="h-is-the-crash-over">Is the Crash Over?</h2> 
<p>From a technical standpoint, the crypto market has already experienced the worst following yesterday’s sell-off. Although August and September are deemed bearish for the crypto industry, a similar event to yesterday’s is less likely to occur, thus pointing to an inevitable rebound in the fourth quarter.</p>

Is the Crypto Crash Over? Market Recovers with Impressive $2 Trillion Cap

Table of Contents

CoinPedia News

Other articles published on Aug 6, 2024

Binance Coin Price Jumps 12% as Exchange Records $1.2 Billion Net Inflow; What Next?

Starknet CEO Resigns After Disappointing Airdrop

‘We Can’t Be Left Behind:’ Trump Urges U.S. to Keep Crypto

Lawmakers Push to Ban Betting on 2024 Presidential Election

Russia Advances Crypto and Mining Regulations as US Sanctions Impact Economy

Bitcoin trading volume recorded post-halving ATH as crypto market bled

Join our free newsletter for daily crypto updates!