Bitcoin, Ethereum, Dogecoin Surge After Jobless Claims Data Boosts Risk-On Sentiment: Analyst Wonders If Apex Crypto Is Undergoing ‘Deepest Pullback’ In This Cycle
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Leading cryptocurrencies surged late on Thursday asthe latest jobless claims datafueled hopes of rate cuts among risk-on investors.CryptocurrencyGains +/-Price (Recorded 8:45 p.m. EDT)Bitcoin BTC/USD +2.43%$62,817Ethereum ETH/USD +1.39%$3,025.76Dogecoin DOGE/USD +4.60%$0.151
What Happened:Bitcoin, the market bellwether, rebounded above $62,000, reversing a three-day corrective phase that had seen it dip to $60,000.
The rally sparked speculative interest in the coin, with open interest onBitcoin'slargest derivatives exchange, the Chicago Mercantile Exchange, rising by 1.83% in the last 24 hours.
However, derivatives traders opted to bet against the market, with the number of traders taking bearish short positions on the apex cryptocurrency significantly outnumbering those betting on its price increase in the last 24 hours.
The largest memecoin by market cap,Dogecoingained 4.6% in the last 24 hours.
Top Gainers (24 Hours)CryptocurrencyGains +/-Price (Recorded 8:45 p.m. EDT)Akash Network (AKT)+29.32%$5.89The Graph (GRT)+12.87%$0.297THORChain (RUNE)+10.70%$6.33
The global cryptocurrency market capstood at$2.32 trillion at the last check, rising 2% in 24 hours.
Stock markets saw an uptick during the day following higher-than-expected U.S. jobless claims data. The Dow Jones Industrial Average rose for the seventh consecutive day, up 0.85% to close at 39,387.76 points. The S&P 500 gained 0.51% to end at 5,214.08, while the tech-heavy Nasdaq Composite added 0.27% to finish at 16,346.26.
New data revealed initial claims for unemployment benefits at 231,000 for the week ending May 4, higher than themarket'sestimate and the highest since late August 2023.
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Analyst Notes:Rekt Capital, a prominent cryptocurrency analyst and trader, describedBitcoinscurrent decline as the deepest, at 23.6%, surpassing the 22.9% retrace from early 2023.
The analyst also noted that this was one of the longest pullbacks in the cycle, with the corrective phase lasting nearly 50 days.Loading… Loading…
On-chain analytics firm Santiment observed that sentiment toward leading coins in the market was still negative.
The mood dramatically shifted sinceBitcoin'slatest halving, the firm added, before which an overtly"Greed"vibe dominated the market.
However, just as super bullishness prepared the way for a correction then, the current Fear, Uncertainty, and Doubt (FUD) might ultimately lead to a rebound.
Read Next: Donald Trump Says You Better Vote For Him If Youre Pro-Crypto: But Has He Always Been Fine With It?
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