Bitcoin rebounds above $78,500; no basis for long-term rally yet: analysts
Bitcoin briefly surpassed $78,500 after a sell-off, but analysts caution it's a technical bounce, not a sustained rally.Summary
Bitcoin rebounded above $78,500 late Monday, recovering some ground after a sharp sell-off, with Ethereum also seeing gains. However, analysts view this move as a technical bounce driven by short covering and oversold conditions, rather than the start of a sustained recovery. The prior downturn was linked to market repricing of hawkish U.S. interest rate expectations. Experts like Vincent Liu of Kronos Research noted that without spot-led inflows or improving macro liquidity, the rally is fragile. Rick Maeda of Presto Research suggested the rebound aligns with easing risk-off pressure following improved broader market sentiment, but its durability is questionable if the firm dollar narrative persists. Andri Fauzan Adziima of Bitrue agreed, stating the rally is unlikely to sustain without fresh catalysts like renewed ETF inflows or macro easing. Market participants are now focused on upcoming U.S. labor data for potential near-term catalysts.
(Source：The Block)