Crypto Snaps Back—but Bitcoin’s $90K Wall and ETF Outflows Keep Traders on Edge

After days in the red, the crypto market finally caught its breath.

Global crypto market capitalization climbed 1.5% in the past 24 hours to $3.13 trillion, sparking a broad-based rebound. At the time of writing, 87 of the top 100 cryptocurrencies are in the green, trading volume sits at a healthy $149 billion, and every top-10 coin has posted gains.

Still, beneath the surface, caution remains the dominant mood.

Bitcoin and Ethereum led the recovery, but only just.

Those are the smallest gains among the top 10, underscoring how fragile the rebound remains.

Elsewhere, XRP stole the spotlight, jumping 2.3% to $1.95, followed by Solana (SOL) with a 1.7% gain to $129.

Among the broader market, Canton (CC) surged 12.2%, while Rain (RAIN) added 9.5%. On the downside, Midnight (NIGHT) slid 5.3%, and MemeCore (M) fell 3.5%.

Despite the bounce, Bitcoin continues to struggle below a psychologically critical level.

According to Glassnode, long-term holders remain a “latent source of resistance”, meaning any rally risks stalling unless fresh demand absorbs overhead supply.

In plain terms:
Bitcoin isn’t rising because buyers are confident—it’s rising because sellers have stepped aside.

Glassnode notes that BTC’s price action is being driven “more by the absence of pressure than by active conviction.” That makes the market vulnerable to sudden reversals.

Reclaiming $90,000 sustainably would require stronger momentum to overcome dealer hedging and shift derivatives positioning higher.

Institutional demand remains cautious.

This creates a low-liquidity environment, where even modest trades can move prices sharply—up or down.

That fragility explains why Bitcoin is still down 7.3% over the past week, trading within a wide $87,653–$96,937 range.

Key levels to watch:

A breakdown below support could open the door to a move under $80,000.

Ethereum’s price action tells a similar story.

After dipping to $2,872, ETH briefly surged to $3,052, only to give it back. It’s now down 11.3% over the past week, with downside risk toward $2,500.

That said, some analysts remain optimistic, forecasting a potential move to $3,500 by Q2 and possibly $4,500 in the second half of the year—if market conditions improve.

Adding pressure to sentiment, U.S. spot crypto ETFs saw their largest pullback in months.

BlackRock and Fidelity accounted for the bulk of the selling, though VanEck and Grayscale managed small inflows.

The outflows suggest institutions are trimming exposure, at least temporarily, rather than doubling down on the dip.

Despite the rebound, crypto sentiment remains cautious.

The Crypto Fear & Greed Index ticked up slightly from 32 to 34, but it’s still firmly in the fear zone. Macro uncertainty, geopolitical tensions, and constant policy headlines from the U.S. continue to weigh on confidence.

While the short-term outlook is fragile, long-term forecasts are bold.

Ark Invest believes digital assets could reach a staggering $28 trillion market cap by 2030—nearly 9x today’s level. Bitcoin alone could account for 70% of that value, with Ethereum and Solana leading the rest.

Today’s rebound is real—but it’s tentative.

Bitcoin’s inability to reclaim $90,000 decisively, combined with heavy ETF outflows and thin liquidity, suggests the market is still waiting for its next true catalyst.

For now, crypto is bouncing—but it’s doing so on careful footing, not blind optimism.