Bitcoin Surges 10% as Tariff Hopes Boost Market Sentiment

Bitfinex has released a report highlighting Bitcoin's recent performance and its potential trajectory in the coming weeks. The report notes that Bitcoin has shown strong resilience, rising over 10% in the past week. This increase has outperformed traditional risk assets such as the S&P 500 Index. After experiencing weeks of volatility and low liquidity, Bitcoin has once again risen above the $94,000 range low, a key level that previously supported Bitcoin's rally to a historic high in January this year.

This rebound has been supported by a shift in macro sentiment, particularly the optimistic expectations of the U.S. government possibly implementing tariff reduction measures. This has triggered an overall risk-on sentiment in the global market. Bitcoin has now reclaimed the Short-Term Holder Cost Basis level, which is around $92,900. This on-chain key metric is often seen as an important threshold between a correction phase and re-entering bull market momentum. Additionally, the Percent Supply in Profit indicator has risen to 87.3%, indicating an improvement in market health and an increase in investor profitability.

The next few weeks will be crucial for Bitcoin's future performance. Currently, market sentiment has not reached an extremely euphoric level. Whether Bitcoin can sustain its current gains in the coming weeks will determine whether it can start a new rally, challenge its all-time high, or experience a new round of pullback. The report emphasizes that the next few weeks will be pivotal in determining Bitcoin's potential for a new all-time high.