Bitcoin Surges 11% to $83,500 Amid Market Volatility
1min read Bitcoin has shown remarkable resilience in the face of recent macroeconomic turmoil, rebounding by 11% to hit $83,500. This surge defies the broader market volatility, which has been exacerbated by the U.S. bond market crash and the significant jump in Treasury yields. The U.S. 10-year Treasury yield surged by approximately 10 basis points, breaching the 4.5% mark, its highest level since mid-February. This economic uncertainty has led to a 90-day tariff pause, but the underlying issues remain unresolved, with the U.S.-China trade conflict continuing to escalate.
Despite the broader market struggles, Bitcoin has steadily reclaimed its key resistance zones. This resilience is largely attributed to the actions of large wallets, which have acquired 100,000 BTC since March. These wallets, holding between 1,000 and 10,000 BTC, have been pivotal in absorbing recent market pressure. Long-term holders (LTHs) have also increased their holdings, now commanding 13.60 million BTC, reflecting a 420,000 BTC hike over the same period. The Net Unrealized Profit/Loss (NUPL) for LTHs is currently at 0.68, indicating that these holders may be sitting on 68% unrealized profits. However, the NUPL has not yet entered the euphoria phase, which is often seen at market tops.
While analysts are bullish, speculating on a parabolic run and calling Bitcoin an emerging “safe haven” might be premature. The broader macroeconomic environment remains a key variable. Just like Ethereum saw massive capitulation from LTHs after the trade-driven pump, Bitcoin could face similar pressure. The 90-day tariff pause provides some temporary relief, but it will eventually end, potentially reigniting volatility. Additionally, the ongoing U.S.-China trade war continues to weigh heavily on the market, with investors watching closely. Because of this, it’s still too early to call Bitcoin’s current resilience a sign of a parabolic run. Caution is still the best approach.
Ask Aime: What factors are driving Bitcoin's resilience amidst macroeconomic turmoil?
