Is the Bottom in For the Crypto Market?

Bitcoin and most other major cryptocurrencies are in the green, in both daily and weekly timeframes.

Dogecoin and Solana have made the largest gains among the top ten by market cap, and are up 7.8% and 5% respectively. Meanwhile, BTC gained 1.6% on the daily chart, trading for US$87,091 (AU$138,401) at the time of writing.

The Fear and Greed Index has returned to ‘Fear’ after dropping to ‘Extreme Fear’ in early March. The current reading of 46 is still a long way off from the 94 points it reached in November, following high hopes amid Trump’s re-election.

Trump’s Tariff Blow May Hit Less Hard Than Expected

Markets have been tense due to uncertainty over President Donald Trump’s tariffs. The on-again, off-again situation has created unease in markets worldwide, as the latest news out of Washington is that some countries may be hit less hard.

Related: “SO COOL”: Trump Promotes Memecoin, as BONK Soars and TRUMP Slides

Still uncertainty remains. This and the slowing of the US economy has Bitfinex analysts remaining cautious.

Trade tensions, slowing growth, and cautious consumer sentiment converge to create an increasingly fragile outlook.

Bitfinex

They added that economic indicators also point to a reduced risk appetite among investors, which is usually not a good sign for crypto.

However, they also said that “growing institutional support and regulatory clarity” in the US – on the back of the US Securities and Exchange Commission (SEC) dropping its appeal in the Ripple lawsuit – has contributed to the price boost.

Another push for the market is that US spot Bitcoin exchange-traded funds (ETFs) are seeing modest inflows after weeks of net outflows.

Can Altcoin ETFs Push Asset Prices Up?

Unfortunately for the Ethereum ETFs, outflows continue for the second largest crypto. Despite this there is hope that a series of ETFs in the pipeline for other altcoins could give the price of these alts a push.

According to data from a recent Coinshares report, digital asset investment products saw a significant turnaround last week, breaking a five-week outflow streak with total inflows of US$644 million (AU$1.02 billion). Bitcoin led the recovery, attracting US$724 million (AU$1.15 billion) and ending its own five-week outflow period.

Altcoin sentiment was mixed: as mentioned, Ethereum continues with outflows, while Solana and XRP saw positive inflows of US$6.44 million (AU$10.24 million) and US$6.71 million (AU$10.67), respectively. Polygon and Chainlink also recorded modest gains.

Related: Trump Media Teams Up with Crypto.com for ‘Made in America’ ETFs

Geographically, the US drove the majority of flows with US$632 million (AU$1 billion), but positive sentiment was global, with Switzerland, Germany and Hong Kong also seeing inflows.