In a recent report from Bitfinex, dated April 28th, Bitcoin has exhibited remarkable resilience, climbing over 10% in just a week. This impressive performance eclipses that of traditional risk assets, notably the S&P 500 Index. After a period marked by volatility and diminished liquidity, Bitcoin has surged past the critical threshold of $94,000, a pivotal level that previously acted as a springboard for its historic highs in January. The recent upswing correlates with a notable shift in macroeconomic sentiment, particularly fueled by positive anticipations regarding potential tariff reductions by the U.S. government, fostering a broader risk-on environment across global markets.
Bitcoin has also regained the Short-Term Holder Cost Basis, currently sitting around $92,900. This vital on-chain metric serves as a significant benchmark, demarcating potential shifts from correction phases to renewed bullish momentum. Furthermore, the Percent Supply in Profit indicator has increased to 87.3%, reflecting an enhanced market health and greater investor profitability. The upcoming weeks are pivotal; while market sentiment remains below euphoric levels, sustaining recent gains will be crucial for Bitcoin’s potential to initiate a new rally or face another downturn.