Bitcoin bounced back above $111,000 on Monday, marking a swift turnaround after nearly a week of sluggish trading.
The move came as investors began pricing in friendlier macro conditions and renewed risk appetite across financial markets.
The leading digital asset gained over 4% in 24 hours, reaching roughly $111,200, while Ethereum crossed $4,000 again for the first time in days. Other major tokens followed suit – BNB and XRP each added about 4%, and Solana climbed nearly 3% – signaling a coordinated lift across the crypto landscape.
Market strategist Rachael Lucas from BTC Markets said institutional flows are reemerging, particularly into spot ETFs, with investors treating last week’s dip as a chance to reload. “Liquidity is improving as expectations shift toward a near-term rate cut,” she noted, pointing to easing bond yields and softer U.S. labor data as catalysts.
After weeks dominated by trade war headlines and stress around regional U.S. banks, traders appear more confident that the Federal Reserve could trim rates by 25 basis points at its next meeting. The CME’s FedWatch tool places that probability at almost 99%.
Still, analysts warn that upcoming inflation and manufacturing reports could sway sentiment again. Lucas highlighted that Bitcoin’s next move hinges on whether it can clear resistance between $112,000 and $115,500 – a range that could trigger a short squeeze if broken decisively.
For now, optimism outweighs fear. As traders await fresh macro data – and a tense Trump–Xi meeting later this month – Bitcoin’s climb back over six figures hints that the risk trade isn’t dead yet, just catching its breath.
