- Bitcoin dominance stays strong at 63.1%, leading the market amid altcoin struggles.
- Altcoin Season Index at 16 indicates Bitcoin-driven market, limiting altcoin gains.
- Renewed ETF inflows signal growing institutional confidence, fueling bullish sentiment.
The cryptocurrency market is showing signs of a possible bullish wave as several indicators point toward renewed investor optimism. After weeks of turbulence, the Fear and Greed Index now sits at a neutral 51, suggesting a balance between buyers and sellers. Meanwhile, Bitcoin’s dominance remains strong at 63.1%, reinforcing its role as the market leader during uncertain times.
Significantly, the overall crypto market cap has surged to $2.98 trillion, approaching a major psychological milestone. This steady rise reflects a period of recovery after notable volatility earlier in April. Besides, positive inflows into crypto ETFs are supporting the argument that investors are regaining confidence in the market.
Bitcoin Holds Momentum as Altcoins Lag
Moreover, Bitcoin has maintained its upward momentum, priced at $94,752.18 with a modest 0.58% gain. Solana (SOL) is also seeing healthy growth, up by 2.04% at $151.42. Meanwhile, XRP has surprised investors with an impressive 7.38% increase, reaching $2.3376.
Ethereum (ETH), however, has slipped slightly, down 0.13% to $1,807.56, despite showing elevated implied volatility. Ethereum’s implied volatility stands at 72.52, notably higher than Bitcoin’s 50.49, hinting that traders expect larger price swings ahead for ETH.
The current Altcoin Season Index sits at 16 out of 100, reflecting a clear Bitcoin-led market. Altcoins are struggling to break out independently, with only isolated gains visible. Binance Coin (BNB) has held up better than most, gaining 1.00% to reach $606.21.
Related: Bitcoin Price Over $94K Sends Crypto Sentiment Gauge Firmly Into ‘Greed’
Currently, the Altcoin Season Index reads 16 out of 100, clearly marking a Bitcoin-dominated market. Consequently, altcoins are finding it harder to break away and outperform Bitcoin.
The CoinMarketCap 100 Index has inched up 1.04% to $182.14, reflecting modest gains among leading altcoins but reinforcing Bitcoin’s role as the primary driver of current market performance.
Derivatives Market and Volatility Indicators Signal Higher Activity
Crypto derivatives markets are also heating up. Open interest in perpetual contracts has surged to $509.37 billion, while $3.21 billion is locked in futures contracts. The Volmex Implied Volatility Index shows expectations of sharper price moves ahead, especially for Ethereum, where volatility premiums are rising faster than Bitcoin’s.
High levels of derivatives participation typically signal both strong market engagement and increased speculative risk.
Renewed ETF Inflows Signal Growing Investor Optimism
Another bullish signal comes from renewed inflows into crypto ETFs. Net inflows have reached $484.1 million, particularly strengthening from April 21 onward.
Related: Is This Relief Rally Real? Bitcoin Jumps, Greed Returns, But Hurdles Remain
Earlier in the month, ETFs experienced some outflows, but strong inflows in the latter half of April suggest a turning tide. Hence, institutional investors appear more confident in digital assets again, potentially setting the stage for another rally.
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