Bitcoin staged a remarkable comeback on Tuesday, vaulting from just above $90,000 to reclaim the $94,000 threshold in under an hour. This rapid move, which saw Bitcoin gain over 4% in 24 hours, has reignited bullish sentiment across the crypto space.
Rapid Surge Sparks Broad Confidence
The upswing followed a subdued U.S. morning session, but shortly after 16:00 UTC, Bitcoin rocketed by more than $3,000. Traders pointed to renewed institutional buying, with futures open interest climbing to fresh highs and spot market volumes surging.
Altcoins Join the Rally
Ethereum mirrored Bitcoin’s strength, climbing 6% to trade near $3,500, while major altcoins like Solana and BNB rallied by 8% and 5%, respectively. The total crypto market capitalization pushed past $2 trillion for the first time in weeks, underscoring the breadth of the recovery.
ETF Inflows and Halving Optimism
Several analysts attribute the upswing to increasing inflows into spot Bitcoin ETFs and growing anticipation of the upcoming Bitcoin halving. Record ETF volume data suggests that institutional investors are positioning ahead of potential supply reductions later this year.
Technical Indicators Point Higher
On-chain analysts highlight that the 14-day relative strength index for Bitcoin climbed above 60, signaling renewed bullish momentum. Additionally, the 200-day moving average remains firmly in place as key support, providing a technical floor near $88,000.
Looking Ahead
Despite the sharp rally, volatility remains elevated. Traders are watching for potential resistance near $95,000, while a sustained move above $96,000 could open the door to all-time highs. Meanwhile, broader macroeconomic factors, including interest rate expectations, will continue to influence market direction.
“Bitcoin’s surge above $94,000 underscores renewed investor confidence in digital assets,” said a senior market strategist. “With ETF flows and the halving on the horizon, we could see further upside in the coming weeks.”
As the crypto market enters a fresh phase of momentum, participants are closely monitoring both technical triggers and fundamental catalysts. Should bulls maintain control, the next milestone could be a sustained break above $100,000, marking a significant psychological barrier for Bitcoin.