The cryptocurrency market saw a cautious rebound on Monday after US President Donald Trump suggested progress toward a Russia-Ukraine ceasefire, easing geopolitical tensions and improving risk sentiment. Crypto market indicators, including trading volume and open interest, reflected a shift in investor mood as Bitcoin (BTC) climbed back above $107,000 after an early Asian session dip.
In a Truth Social post, Trump claimed he had a two-hour call with Russian President Vladimir Putin, stating,
“I believe it went very well… Russia and Ukraine will immediately start negotiations toward a Ceasefire and, more importantly, an END to the War.”
He added that the Vatican could host peace talks, sparking optimism across financial markets.
The news lifted major cryptocurrencies, with Ethereum (ETH) rising 3.2% and Solana (SOL) gaining 5%. Analysts noted that crypto market indicators such as the Fear & Greed Index also shifted from “fear” to “neutral,” signaling improved short-term sentiment.
Crypto market indicators show green: experts weigh in on the sustainability
While the immediate reaction was positive, market experts remain cautious. “Geopolitical developments can trigger short-term rallies, but crypto market indicators must show sustained buying pressure for this rebound to hold,” said Markus Thielen, head of research at 10x Research.
Historical data suggests that crypto markets often react sharply to geopolitical news but struggle to maintain momentum without concrete progress. “If ceasefire talks stall, we could see a swift reversal,” added Thielen.
Data from CoinGlass revealed a 12% drop in BTC short positions, indicating traders are reducing bearish bets. Meanwhile, crypto market indicators like funding rates turned positive, suggesting renewed interest in long positions.
Altcoins outperform as risk appetite returns
The improving risk sentiment benefited altcoins more than Bitcoin, with Cardano (ADA) and Avalanche (AVAX) surging 7% and 8%, respectively. “Altcoins typically lead during risk-on phases, and today’s action aligns with that trend,” noted Rachel Lin, CEO of SynFutures.
However, Lin cautioned that crypto market indicators for altcoins still show weaker liquidity compared to Bitcoin. “Traders should be selective—this isn’t a blanket altseason yet.”
Macro factors still in play
Beyond geopolitics, macroeconomic trends remain critical for crypto’s trajectory. The upcoming US CPI data and Federal Reserve policy meeting could override ceasefire optimism if inflation surprises to the upside.
“Crypto market indicators are sensitive to interest rate expectations. A hawkish Fed could dampen this rally quickly,” warned James Butterfill, head of research at CoinShares.
Long-term outlook hinges on peace progress
For the recovery to extend, analysts say credible steps toward peace are needed. “If the Vatican confirms hosting talks, we could see Bitcoin retest $70,000,” said Butterfill. Conversely, delays may trigger profit-taking.
Key points
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Crypto market indicators suggest short-term bullish momentum but require confirmation.
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Altcoins may outperform if risk appetite holds.
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Macro events (CPI, Fed) could shift focus away from geopolitics.
As of press time, Bitcoin trades at $67,450, with traders closely watching crypto market indicators for the next directional cue.
