rebound

4E: US stocks continue to rebound, cryptocurrency market fluctuates within a narrow range

ChainCatcher news reports that according to 4E monitoring, U.S. stocks continued the rebound from last Friday on Monday, as investors sought to buy on dips after four consecutive weeks of market declines, pushing the indices higher. By the close, the Dow Jones rose 0.85%, the Nasdaq rose 0.31%, and the S&P 500 index rose 0.64%. Most large tech stocks fell, with Tesla leading the decline at 4.83%, down more than 40% this year.The cryptocurrency market fluctuated narrowly, showing overall lackluster performance, with Bitcoin hovering around $83,000, reported at $83,389 at press time, up 0.15% in 24 hours. Other major tokens mostly saw slight increases, with Ethereum striving to hold above $1,900, and BNB's meme market recovering strongly, rising nearly 18% in the past 7 days.In the forex commodities sector, the shadow of Trump's trade protectionism continues, with the dollar index falling 0.33% to a five-month low; influenced by geopolitical factors, oil prices rebounded over two days, with U.S. oil rising 0.59%; gold, driven by safe-haven sentiment, saw spot gold rise 0.57%, reaching a historical high for three consecutive days.Trump's tariff remarks have temporarily quieted, and the market is closely watching global central bank meetings. The Federal Reserve is expected to maintain interest rates on Wednesday, and Powell's comments after the meeting will be closely monitored, as he has previously stated he is "not in a hurry" to cut rates. Investors will look for any changes in his tone.

Analyst: The buying power of high-positioned addresses for ETH in this round has been exhausted, and a strong rebound may require the market to re-establish consensus

ChainCatcher news reports that on social media, on-chain data analyst Murphy published statistics stating that the cost basis for ETH accumulated from January to February 2025 is roughly between $3,200 and $3,500. A cluster of addresses has been intensively accumulating at $3,475, totaling 1.66 million ETH. This group did not sell during the drop of ETH to $1,900 and instead added to their positions, currently holding 1.94 million ETH with a reduced cost basis of $3,150.Additionally, the cost basis for the chips accumulated in mid-February 2025 is approximately between $2,600 and $2,800. This group started to cut losses as the ETH price fell below $2,300, and currently, only the chips at $2,800 and $2,630 remain unchanged, holding 1 million and 850,000 ETH respectively.As the price of the coin continues to decline, new demand for ETH has gradually weakened, especially after the price fell below $2,000, where data shows there is almost no new purchasing power.Murphy explains that the high-position trapped chips, after a series of self-rescue replenishments, now seem to have exhausted their purchasing power; the current price of $1,850 is the cost price for large holders who accumulated two years ago. When the price drops to this level, they start to replenish (buying back parts sold at high positions to average down costs), thus forming a support effect. If this price level cannot provide support, the decline may reach $1,600 and $1,250, which are the "remaining support levels from three years ago's accumulation."From the overall behavior of current investors, the most important factor is still the reconstruction of consensus on ETH's value. If an effective consensus cannot be formed, the currently trapped chips at high positions of $2,630 (850,000), $2,800 (1 million), and $3,150 (1.945 million) will all become significant obstacles on the path to recovery.

Standard Chartered Bank's Head of Digital Asset Research: Bitcoin's rebound will depend on two major catalysts, namely a recovery in risk assets overall or favorable news such as sovereign purchases

ChainCatcher news, according to The Block, Standard Chartered's Head of Digital Assets Research Geoff Kendrick stated that the recent decline in Bitcoin's price is primarily influenced by the pressure from broader risk assets, rather than issues within the cryptocurrency itself. "From a volatility-adjusted basis, Bitcoin's performance is highly correlated with the 'seven tech stocks plus Bitcoin' portfolio," Kendrick noted in an email on Tuesday, "Tesla performed the worst, while Meta and Apple performed the best, with the rest being similar to Bitcoin."Kendrick believes that Bitcoin's rebound will depend on two main catalysts: a recovery in risk assets overall or Bitcoin-specific positive news (such as sovereign purchases). He pointed out that clearer tariff policies or a rapid rate cut by the Federal Reserve would help boost the market, "the probability of a rate cut in the May meeting rising from the current 50% to 75% could trigger a rebound." Although Bitcoin may quickly test the $69,000 support level if it falls below $76,500 in the short term, he still maintains a target forecast of $200,000 by the end of 2025.Next week's Federal Reserve interest rate decision will be a significant test for Bitcoin. Rohit Jain, Managing Director of CoinDCX Ventures, stated that if the Federal Reserve maintains the current interest rates as expected, it could lead to Bitcoin testing the $70,000 support level.

4E: Trump's tariff adjustments boost the market, U.S. stocks and cryptocurrency markets rebound together

ChainCatcher news, Trump adjusts tariff policy, postponing auto tariffs on Canada and Mexico by one month, and is willing to consider more requests for tariff exemptions. The trade tensions may ease, boosting market sentiment. According to 4E monitoring, U.S. stocks rebounded significantly on Wednesday, reversing the decline of the previous two days, with the technology and automotive sectors leading the gains. By the close, the S&P 500 index rose 1.12%, the Dow Jones increased by 1.14%, and the Nasdaq climbed 1.46%. Major tech stocks generally rose, with Microsoft leading at 3.19%.The cryptocurrency market rebounded across the board. Driven by the U.S. stock market and the upcoming White House crypto summit, the market expects that policies regarding Bitcoin reserve plans and other crypto regulations will become clearer. Bitcoin broke through the 90,000 mark, reaching a high of $91,903, up 4.8% in 24 hours, while Ethereum returned above $2,200, gaining 4.59% in 24 hours. Various sectors in the market generally rebounded, with increases typically around 2% to 8%, boosting market sentiment.In the forex and commodities sector, the risk of a U.S. recession is rising, leading to a third consecutive decline in the dollar index, which fell 1.3% to a six-week low. Due to unexpected increases in supply, oil prices fell for three consecutive days, with U.S. oil dropping to its lowest level in nearly two years; the weaker dollar pushed precious metals higher, with spot gold slightly up 0.04%.The Federal Reserve's Beige Book indicates that overall economic activity in the U.S. has slightly increased since mid-January, but consumer spending has generally decreased, further confirming the uncertainty of the U.S. economic outlook. Economic data is mixed, with rising recession risks, and the market expects the Federal Reserve to cut interest rates by more than 70 basis points before the end of the year.

4E: The decline in US stocks continues, the cryptocurrency market rebounds, and the market rekindles expectations for three rate cuts by the Federal Reserve this year

ChainCatcher news, according to 4E monitoring, the U.S. tariff policy on its three major trading partners has been implemented, and investors' concerns about the escalation and expansion of the trade war have intensified. U.S. stocks opened lower across the board on Tuesday, with the three major indices at one point dropping nearly 2% in the early session. However, as the U.S. Secretary of Commerce hinted that Trump might lower tariffs on Canada and Mexico, coupled with investors betting again that the Federal Reserve will cut interest rates due to recession risks, the decline in U.S. stocks eased. Ultimately, the Dow Jones Industrial Average closed down 1.55%, the Nasdaq fell 0.35%, and the S&P 500 index dropped 1.22%. Large tech stocks initially fell collectively but turned to gains at midday, with some individual stocks closing higher.The cryptocurrency market followed the decline of U.S. stocks after their opening, with Bitcoin briefly dropping to a low of 81,500. However, as the decline in U.S. stocks narrowed, the market also began to rebound. At the time of writing, Bitcoin was reported at 87,500 USD, up 4.25% in 24 hours. Ethereum, after falling below 2,000 USD, returned above 2,100 USD, with a 24-hour increase of 5.8%. Over the past week, the cryptocurrency market has been significantly influenced by information, with high volatility, increased operational difficulty, light trading, and no significant changes in on-chain activity.In the forex and commodities sector, following Trump's implementation of tariffs on Canada and Mexico, the U.S. dollar index fell over 0.9% during the day, hitting a three-month low; crude oil has fallen for three consecutive days, with U.S. oil reaching a new low since December last year; rising safe-haven demand and a weaker dollar supported an increase of over 1.2% during the day.The escalation of trade tensions has heightened market concerns about the U.S. economic outlook. After the U.S. fulfilled its threat of tariffs on Canada and Mexico, investors increased their bets on the Federal Reserve cutting interest rates three times this year, each by 25 basis points, for the first time since mid-December last year. Additionally, the U.S. Secretary of Commerce hinted that Trump might announce a grace period for tariffs on Canadian and Mexican goods as early as the 5th, and the market is closely watching whether this event will bring about a turnaround.
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