The price of Bitcoin (BTC) has risen above $91,300 in the past 24 hours as $100 billion in capital has entered the market.
This influx has increased the leading cryptocurrency's total market capitalization from $1.73 trillion to $1.83 trillion, according to CoinMarketCap.
Bitcoin's daily low was approximately $86,300, representing a gain of $5,000. Trading volume also rose 21.71% to $72.9 billion, signaling a resurgence in activity after several weeks of decline.
Bitcoin 24-Hour Market Capitalization. Source: CoinMarketCap
The rebound occurred as Bitcoin attempted to recoup losses after a 30-day decline of 19.78%, suggesting that the recent decline was less a reversal of the overall trend and more a technical decline. A combination of macroeconomic factors, blockchain accumulation, and momentum trading is creating an uptrend.
Investor optimism following the Federal Reserve's easing stance has created a more constructive backdrop for risk assets. Markets are now betting that the December FOMC decision will include a rate cut.
On-chain data confirms that large holders took advantage of the recent pullback to buy Bitcoin. Over the course of the week, crypto whales accumulated approximately 30,000 BTC, worth $2.7 billion, despite weakening price momentum. Statistically, the whales' accumulation amid the decline signaled a trend stabilization, and in some cases, a reversal.
Technically, the rally was driven by oversold conditions, which led to short-covering and algorithmic entry after BTC rebounded from key intraday levels. However, the market structure remains fragile.
A critical test will be BTC's ability to consolidate above $91,000, which would attract additional inflows and reinforce the notion of a structural demand recovery following the capitulation. Failure to hold these levels, especially when coupled with the Fed's aggressive comments, would trigger a bearish move.