Crypto Markets Today: Concerns Ease, Bitcoin Firms and Altcoins Diverge
Bitcoin stabilized near weekly highs as market sentiment improved, while most altcoins remained subdued, showing divergence.Summary
The crypto market showed signs of recovery on Thursday, with Bitcoin trading near its weekly high around $93,500 and Ether rising slightly after its upgrade. The Fear and Greed index moved out of "extreme fear" into a slightly more optimistic zone, though both BTC and most other tokens remain in downtrends since early October, requiring a break above $98,500 for a meaningful bullish reversal.
Altcoin sentiment has weakened significantly, with the "altcoin season" indicator dropping to 20/100, suggesting investors favor Bitcoin over riskier altcoin plays. Privacy coins like ZEC and DASH entered a correction, dropping over 20% after recent rallies. Derivatives data shows low volatility is expected, with demand persisting for protective puts, though the $100K BTC call remains the most popular options play.
The market structure has matured compared to the previous year, moving away from purely speculative memecoins toward tokens rising based on actual development, which could bode well for future cycles.
(Source：CoinDesk)