In an encouraging turn for the cryptocurrency market, Bitcoin has ascended above $92,000 during the Asian morning hours on Thursday. This uptrend has seen major cryptocurrencies jumping as much as 5%, as traders keenly anticipate the first-ever White House Crypto Summit scheduled for March 7, seeking guidance on future market positioning.
Bitcoin reached a peak of $92,700 before profit-taking led to a correction, with its value slipping to $90,800 by the European morning session. Among the notable movers, Dogecoin (DOGE) emerged as a standout performer, surging by 10% to lead gains among major cryptocurrencies. Additionally, Cardano’s ADA, Solana’s SOL, and ether (ETH) each recorded rises of around 6%. Meanwhile, XRP and BNB Chain’s BNB posted more modest gains of 2.5%, trailing the 3.5% increase observed in the CoinDesk 20 (CD20).
This week’s price volatility has certainly kept bulls optimistic, particularly following President Donald Trump’s announcement of plans to create a strategic reserve of various cryptocurrencies, including XRP, ADA, and ETH, which elevated the market by 12% on Sunday.
However, euphoria was short-lived as traders waited for definitive plans, coinciding with the implementation of a new round of U.S. tariffs, which led to a retraction in the broader markets on Tuesday. Despite the fluctuations, there has been a consistent upward trend observed in cryptocurrency markets, in alignment with a CoinDesk analysis, as analysts expect significant clarity to emerge during Saturday’s summit.
“Investors perceive this event as high-stakes, with the potential to act as an unexpected catalyst for soaring prices or reveal the vulnerabilities of the crypto market, possibly inciting a deeper sell-off,” stated QCP Capital in a message broadcasted on Wednesday.
Furthermore, QCP highlighted concerning trends, noting that corporate bond spreads are widening, particularly with high-yield spreads currently sitting at 290 basis points above Treasuries, and the investment-grade versus high-yield spread at 200 basis points. While this may not necessarily indicate panic, it is an important trend to monitor.
Alex Kuptsikevich, a senior market analyst at FxPro, remarked that Bitcoin’s dominance within the crypto market has surpassed 60%, typically observed in periods characterized by fear. Conversely, ether’s share has diminished to a five-year low of 9%, suggesting a challenging environment for altcoin investors, as new inflows primarily gravitate towards Bitcoin.
“Bitcoin has been testing the 200-day moving average, briefly breaking below $83,000 on Tuesday before seeing Wednesday morning’s market dynamics reflect cautious efforts to establish a bottom,” Kuptsikevich explained in correspondence with CoinDesk.
“A return to above the 50-day mark at $97,000 would serve as a positive indicator of bullish sentiment,” he concluded.
