Why Is the Crypto Market Up Today?

The total crypto market cap (TOTAL) and Bitcoin (BTC) had a good weekend as they noted some recovery and continue to do so. Following in their footsteps, altcoin Flare (FLR) took the top spot, rallying by 11% in 24 hours.

In the news today:-

• Metaplanet announced acquisition of 1,088 BTC worth over $114 million bringing their total holdings to 8,888 BTC worth more than $931.7 million. This accumulation has now made it the tenth biggest BTC holder, surpassing Block.
• The US SEC has raised concerns over two proposed Ethereum and Solana ETFs, questioning their compliance with the Investment Company Act of 1940. The SEC is unsure if the ETFs, which include staking components, meet the legal requirements for registration and eligibility for exchange listing.

The Crypto Market Holds

The total crypto market cap rose by $16 billion in the last 24 hours, reaching $3.25 trillion. Despite last week’s decline, TOTAL maintained strong support at $3.21 trillion, signaling resilience among investors amid market fluctuations and cautious optimism for continued growth.

Crypto market momentum improved slightly over the weekend, supporting a possible bounce off the $3.21 trillion support level. This recovery could help TOTAL approach the next resistance point at $3.31 trillion, indicating a potential for steady gains if investor confidence persists.

While a correction appears unlikely due to improving market conditions, any sudden selling pressure could push TOTAL below the $3.21 trillion support. This decline may lead to further drops toward $3.16 trillion, posing risks for short-term traders and testing market stability.

Bitcoin Reclaims Support

Bitcoin’s price is holding steady at $105,192, maintaining support above $105,000. After reclaiming this level over the weekend, BTC is currently facing resistance at $106,265, indicating a key battleground for the crypto king’s short-term price action.

BTC appears poised to breach and flip $106,265 into support soon. The RSI remains above the neutral line in the bullish zone despite recent declines, signaling that Bitcoin has the momentum to continue its upward trend in the near term.

However, if the RSI drops below the neutral line, bearish momentum may rise due to increased selling pressure. This could push Bitcoin below the $105,000 support level, leading to a potential decline toward $102,734.

Flare Notes Gains

FLR emerged as the best-performing token of the day, leading altcoins with an 11% gain. Trading at $0.0193, FLR has captured investor attention amid volatile market conditions, signaling strong buying interest in the short term.

The altcoin faces resistance at $0.0197 and must hold $0.0189 as support to break through this level. Securing this support is crucial for FLR to continue its upward momentum and challenge higher price targets.

If FLR fails to maintain the $0.0189 support, it could slide to $0.0182, invalidating the bullish thesis. Such a drop may trigger profit-taking and increase selling pressure, potentially halting the recent gains.