Bitcoin’s move reflects a renewed shift in market sentiment, with macroeconomic developments and growing policy optimism around crypto acting as key catalysts, said Vikas Gupta, Country Manager – India at Bybit. The US Treasury’s decision to increase long-term bond buybacks could influence liquidity and yield expectations, he said.
“Sustained institutional participation, regulatory clarity, macroeconomic liquidity and continued adoption will be important factors in determining whether Bitcoin can build on these gains. The current move is significant, but investors should focus on the broader market fundamentals rather than treating a short-term rally as a guarantee of further price appreciation,” Gupta added.
Despite this massive rally, Bitcoin is still 37 per cent down from its all-time high of close to $126,000, hit in late October 2025. According to data from CoinMarketCap, Bitcoin’s total market capitalisation stood close to the $1.6 trillion mark, while volumes jumped nearly 5 per cent, with BTC worth $66.7 billion exchanged hands in the last 24 hours.
Roshan Aslam, Co-founder & CEO of GoSats, said that Bitcoin has shown its best weekly move in more than two years. A lot of this has been fuelled by short sellers being forced out, with more than $3 billion in short positions liquidated yesterday alone. Spot Bitcoin ETFs also recorded their largest single-day inflow since May, he said.
According to CoinMarketCap data, the Bitcoin rally has encouraged a broad-based rally in other tokens as well. Other top crypto tokens like Ethereum, XRP, Solana, Hyperliquid, ZCash and Dogecoin have surged by up to 45 per cent in the last one week. Smaller tokens like Ethena and others have jumped by up to 65 per cent during the period under review.
The total market capitalisation of all crypto assets stood at $2.61 trillion, rising nearly 8 per cent in the last 24 hours. Traded volumes in crypto jumped more than 6 per cent, as tokens worth $154 billion were traded during the same period. Bitcoin’s dominance in the crypto market stood above 60 per cent.
“The broader market is also participating, with Ethereum and XRP posting strong gains and overall crypto market sentiment moving firmly into greed territory,” said Avinash Shekhar, Co-Founder & CEO of Pi42. “Staggered entries and disciplined position sizing would be preferable, particularly after such a rapid upward move, as some consolidation following the breakout would be natural.”
Aslam from GoSats cautioned investors that such rampant moves in any asset class are exciting, but they are also a good reminder to stay level-headed and size any position according to their own risk appetite. “Whether this holds depends on real spot demand continuing, not just short covering.”