Just finished reviewing today's market, and this rebound in the cryptocurrency market is indeed quite interesting. Bitcoin surged to 72.20K, with mainstream coins like Ethereum, Solana, and XRP all rising across the board, and the total market capitalization also pushing upward. What exactly happened behind the scenes? I’ve summarized a few main drivers.
The most direct factor is the sharp decline in oil prices. A few days ago, crude oil was soaring around $120, but on Tuesday, it suddenly plummeted 14% to about $81. Global leaders began to intervene, with the U.S. president indicating willingness to negotiate with Iran and possibly releasing strategic petroleum reserves to stabilize the energy market. This directly eased concerns over the Middle East situation, risk appetite immediately rebounded, and cryptocurrencies naturally followed the rally.
The performance of tech stocks is also fueling the surge. Chip manufacturers led the gains, with Micron and Intel both rising over 5%, followed by Nvidia. U.S. February housing sales data also exceeded expectations, shifting from a forecasted decline to an increase of 4.09 million units annualized. This macroeconomic improvement directly boosted crypto-related stocks, with Strategy, Circle, Bullish, and other crypto concept stocks all rising.
Another very interesting catalyst is—Elon Musk announced that X Money will launch public access in April. This means he is pushing forward his plan to turn X into a "super app." Some selected users are already testing features like P2P transfers and debit card cashback. The crypto community, especially the Dogecoin community, reacted very enthusiastically to this news. Although there’s no official integration of crypto payments yet, everyone is looking forward to DOGE and other coins being connected soon. Dogecoin rose 1.88% today, and XRP also gained 1.36%.
From a technical perspective, some veteran traders are sharing bullish signals. Analysts point out that Bitcoin faces resistance at $70,685; once broken, the next supply zones are at $83,307 and $84,569. However, some caution that the monthly RSI has not yet shown that a cycle bottom has formed; the real bottom should be when the monthly RSI drops below 40. So, how far this rebound can go depends on subsequent technical developments.
Policy-wise, the situation is gradually improving. Progress has been made in negotiations over the CLARITY Act, with banking and crypto industry leaders seeking solutions to break the deadlock. Democratic senators hinted that banks might need to make concessions on this bill. The Senate Banking Committee plans to mark up the bill by the end of March, and according to Polymarket data, the probability of Trump signing it into law has reached 69%. Industry insiders predict that the bill could pass before July.
Overall, this crypto market rebound is the result of multiple factors resonating—geopolitical risk easing, macro data improvement, new application developments, and policy progress. Liquidity in stablecoins is also gradually recovering, which is building momentum for further gains. However, it’s important to remember that any rally could face a pullback, especially when the technical bottom has not yet been fully confirmed. Continued observation of policy developments and technical performance is essential.
