The cryptocurrency market has finally taken a breather these days. Emerging from the depths of extreme panic, the fear index rebounded from 20 to 28. Although still lingering in the fear zone, signs of recovery are already quite clear.
BTC has been oscillating around the $90,000 mark, with a sudden plunge late at night followed by a quick rebound. This rhythm is truly exhausting. Ethereum, on the other hand, has exhaled and broken through the $3100 level strongly. XRP and Dogecoin are the fastest runners, leading the mainstream coins in the gain leaderboard.
Interestingly, after institutional resumption of work and liquidity injection, the big players are going against the trend, accumulating coins at low levels. On-chain net outflows indicate that long-term holders remain confident, but on the other hand, over 110,000 traders were liquidated within 24 hours, showing that bulls and bears are still fiercely battling in the short term. Standard Chartered Bank has lowered BTC's target price, while the Federal Reserve is pondering interest rate cuts. The market is swinging between digesting negative news and brewing positive signals.
The current market sentiment can be summarized in four words: "Cautiously Optimistic." The wave of fear is receding, but greed has not yet surfaced. The $92,000 level for BTC is roughly the dividing line of current sentiment. Want to be more cautious at this stage? Consider buying on dips instead of chasing highs, and focus on whether key levels are broken—that's the right approach.