Bitcoin Reaches $110,000 Amid Altcoin Gains; Market Sentiment Cautious
Bitcoin has maintained its position above the $110,000 mark for two consecutive days, with a 0.9% increase over the last 24 hours. Key updates include:
- The CoinDesk 20 index of top cryptocurrencies rose by 3.3%, driven by gains in ether, solana, and chainlink, each increasing by 5%-7%.
- Uniswap surged 24%, while Aave gained 13%, following positive comments from SEC Chair Paul Atkins regarding DeFi.
- Crypto stocks remained mostly stable; however, Semler Scientific (SMLR) saw a 10% decline as its shares traded below the value of bitcoin on its balance sheet.
- Market sentiment appears defensive, reflected in cautious funding rates and leverage proxies. Negative funding rates on Binance’s BTC perpetual swaps indicate a weak risk appetite.
- The ProShares 2x Bitcoin ETF (BITX) currently holds 52,435 BTC, down from its December 2023 peak of 76,755 BTC, suggesting muted inflows.
- Analysts express skepticism about the sustainability of current price movements, predicting potential volatility and support levels for BTC at $105,000 and $100,000.
Despite recent gains, the market maintains a cautious stance amid mixed signals regarding future price action.