Bitcoin Sees Bull Revival as Price Bounces Above $9.4K
Bitcoin has bounced strongly in the last 24 hours, opening the doors for retest of recent highs above $9,600.
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- Bitcoin's solid bounce from $9,100 to $9,450 has invalidated a bearish doji reversal pattern on the daily chart.
- A channel breakout seen on the four-hour chart indicates scope for a re-test of recent highs above $9,600.
- A UTC close below Tuesday's low of $9,075 could lead to a deeper correction.
Bitcoin has bounced strongly in the last 24 hours, reviving the immediate bullish view.
The top cryptocurrency by market cap started picking up bids at lows below $9,100 late on Tuesday and rose sharply above $9,400 soon before press time, according to CoinDesk's Bitcoin Price Index.
Bitcoin was facing selling pressure yesterday and had looked likely to slide to the 200-day average at $8,867. After all, bitcoin had dropped below the former resistance-turned-support of $9,188, validating the bull fatigue, signaling by Monday's doji candle.
The decline, however, was cut short near $9,075 as noted above and the 3.5 percent bounce seen since has neutralized the case for a deeper drop.
Further, the cryptocurrency has broken out of its two-day long downward trajectory, as seen below.
4-hour chart
Bitcoin has found acceptance above the upper edge of the channel. The breakout indicates the pullback from Monday's high of $9,615 has ended and the rally from the Jan.24 low of $8,214 has resumed.
Supporting the breakout is the relative strength index (RSI), which has violated the descending trendline in favor of the bulls.
The MACD histogram, too, has crossed above zero confirming a bullish reversal.
Daily chart
Bitcoin has now erased Tuesday's losses, weakening the bearish doji reversal confirmed on Tuesday and validating the bullish crossover of the 50- and 100-day averages confirmed earlier this week.
The cryptocurrency has also moved back above the five- and 10-day moving averages, while the RSI is hovering in the bullish territory above 50.00.
A UTC close above Monday's high of $9,615 would likely cause more buyers to join the market, leading to a quick rise to $10,000.
On the downside, Tuesday's low of $9,075 is now the level to beat for the sellers. A potential failed breakout on the four-hour chart would shift risk in favor of a drop to $9,075.
Disclosure: The author does not currently hold any digital assets.
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Exchange Review - March 2025
CoinDesk Data's monthly Exchange Review captures the key developments within the cryptocurrency exchange market. The report includes analyses that relate to exchange volumes, crypto derivatives trading, market segmentation by fees, fiat trading, and more.
What to know:
Trading activity softened in March as market uncertainty grew amid escalating tariff tensions between the U.S. and global trading partners. Centralized exchanges recorded their lowest combined trading volume since October, declining 6.24% to $6.79tn. This marked the third consecutive monthly decline across both market segments, with spot trading volume falling 14.1% to $1.98tn and derivatives trading slipping 2.56% to $4.81tn.
- Trading Volumes Decline for Third Consecutive Month: Combined spot and derivatives trading volume on centralized exchanges fell by 6.24% to $6.79tn in March 2025, reaching the lowest level since October. Both spot and derivatives markets recorded their third consecutive monthly decline, falling 14.1% and 2.56% to $1.98tn and $4.81tn respectively.
- Institutional Crypto Trading Volume on CME Falls 23.5%: In March, total derivatives trading volume on the CME exchange fell by 23.5% to $175bn, the lowest monthly volume since October 2024. CME's market share among derivatives exchanges dropped from 4.63% to 3.64%, suggesting declining institutional interest amid current macroeconomic conditions.
- Bybit Spot Market Share Slides in March: Spot trading volume on Bybit fell by 52.1% to $81.1bn in March, coinciding with decreased trading activity following the hack of the exchange's cold wallets in February. Bybit's spot market share dropped from 7.35% to 4.10%, its lowest since July 2023.
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