The global cryptocurrency market is showing signs of stability as major tokens like Bitcoin and Ethereum maintain key support levels. Investors are cautiously optimistic following positive developments around the U.S. government shutdown.
Bitcoin and Ethereum Hold Steady
Bitcoin is trading around $106,000, showing resilience after slight fluctuations in recent sessions. Ethereum has reclaimed $3,593, although it saw a minor decline of 0.9% over the last 24 hours. Several altcoins, including XRP, Solana, Tron, Dogecoin, and Cardano, recorded gains of about 3%, while Binance Coin (BNB) and Hyperliquid experienced a drop of nearly 4%. Overall, the total global crypto market capitalization edged up by 0.47% to reach approximately $3.59 trillion.
Factors Driving Market Sentiment
Investor confidence is supported by the near resolution of the U.S. government shutdown. Regulatory clarity is also boosting sentiment. The U.S. Senate has reopened government operations, reducing political risk. Additionally, the Commodity Futures Trading Commission (CFTC) has introduced a bipartisan draft to strengthen oversight over digital commodities. Meanwhile, new IRS guidelines allow crypto funds and trusts to earn staking rewards, which enhances institutional participation.
Institutional Activity and Market Momentum
Large investors, often called “whales,” have increased their accumulation, with over 108,000 BTC reportedly purchased in the past week. Open interest in crypto futures rose approximately 5% in 24 hours to around $148 billion, indicating heightened market participation and leverage. Analysts believe that current support levels present an attractive accumulation opportunity.
Technical Analysis of ETH
ETH is currently trading below a key rising support level near USD 3,965.20, a historically significant zone that has repeatedly limited upward movements. The overall technical structure remains bearish, reflecting sustained downside momentum and a cautious market tone. Momentum indicators align with this view the 14-period RSI, at 42.10, indicates moderate weakness and suggests the potential for renewed selling pressure if bearish sentiment deepens. Furthermore, ETH continues to trade below its 50-period Simple Moving Average (SMA), which acts as a dynamic resistance and reinforces the prevailing short-term negative bias. The MACD histogram remains below the zero line, confirming ongoing bearish momentum, while the Parabolic SAR is positioned above the price, signaling continued resistance and the likelihood of persistent downward pressure in the near term.
Technical Analysis of BTC
BTC is currently trading above a key falling trendline support near USD 98,600, a historically important level that has repeatedly contained downside movements. The overall price structure maintains a cautiously positive bias, supported by sustained upward momentum. Momentum indicators reflect this outlook, with the 14-period RSI at 44.81, suggesting that while bullish momentum is present, it remains moderate with room for further improvement. However, BTC continues to trade below its 50-period Simple Moving Average (SMA), which serves as dynamic resistance and may limit near-term gains. The MACD histogram remains below the zero line, indicating that bearish momentum persists, while the Parabolic SAR is positioned above the price, highlighting continued resistance and the potential for short-term downward pressure until a clearer bullish breakout emerges.
Conclusion
Bitcoin holding above $100,000 and Ethereum near $3,600 indicates that the market has found a temporary floor. Positive developments in U.S. politics and regulatory clarity have supported investor confidence. However, volatility remains, and careful monitoring is essential for anyone participating in the crypto space.