bitcoin experienced a volatile overnight trading session, rising as much as 3.7% before giving up some of those gains.
The largest cryptocurrency remains in the black as of midnight UTC, rising 2.4% to trade around $65,600. That’s still within a price range that has persisted for the past three weeks.
The altcoin market is also showing signs of life, with solana layer 1 tokens (SOL) and each of them managed a 4.5% rally, while tokens like VIRTUAL, MORPHO, and ETHFI rose over 10%.
US stock index futures rose along with the cryptocurrency market. Silver’s 4% rise since midnight suggests the broader rally in risk assets is more speculative than news-driven.
The average cryptocurrency Relative Strength Index (RSI) indicator has broken out of oversold territory and returned to a neutral zone, suggesting that a period of consolidation could be in play on Wednesday.
Derivatives positioning
- Cumulative crypto futures open interest (OI) has increased more than 1.5% to $93.5 billion, although much of that theoretical growth comes from spot price appreciation rather than capital inflows.
- OI in bitcoin and ether (ETH) futures has remained largely stable over 24 hours, with gold tether futures (XAUT) seeing a 12% decline in open positions. Capital appears to be moving out of gold-linked assets.
- TRX, AVAX, SOL, LINK and HBAR stand out as coins with the highest delta of accumulated volume in 24 hours. Positive CVD readings indicate that buying demand is outpacing selling demand.
- Bitcoin’s 30-day annualized implied volatility index, BVIV, fell to 56%, reversing the rise earlier in the week to 65% to suggest calm in the market. This supports the continued recovery of the BTC price. Ether volatility shows a similar pattern.
- In bitcoin options listed on Deribit, the $60,000 put option has become the most popular option, reflecting bearish concerns. Put options, or bearish bets, for both BTC and ETH continue to trade more expensive than call or bullish options.
symbolic talk
- The “altcoin season” indicator hit its highest level since early January on Wednesday, driven by rallies across the board.
- AI Agent token VIRTUAL led the pack, rising 15.5% since midnight and more than 20% in the last 24 hours to make it the best-performing asset on the CoinDesk 80 Index (CD80), which added 1.7%.
- Recovery token ETHFI also rose more than 10% in the last 24 hours after CEO Mike Silagadze hinted at the possible launch of a stablecoin.
- Lending platform Morpho’s native token completed Wednesday’s altcoin rally. It is now up 45.9% in the last 30 days after a 15% increase in the last 24 hours.
- On the other hand, toncoin (TON) and pippin (PIPPIN) are in the red in the last 24 hours after increasing in value earlier this week, indicating an asset rotation among traders and investors.
