Crypto Market Tops $4 Trillion as Risk-On Mood Lifts Digital Assets

Key Takeaways:

*Total market cap surged 1.5% to surpass $4 trillion, with BTC up over 3% in two sessions, ETH at September highs, and BNB hitting an all-time high, signaling strong altcoin momentum.

*Softer U.S. inflation boosted dovish Fed bets, fueling risk-on sentiment, while SEC Chair Paul Atkins’ comment that “crypto’s time has come” eased regulatory concerns and lifted optimism.

*Trump’s pro-crypto stance continues to underpin market buoyancy, with no major data/events Friday, leaving room for Wall Street and crypto markets to extend their bullish run.

Market Summary:

The cryptocurrency market capitalized on a broad risk-on rally, with total market capitalization climbing 1.5% in the previous session to surpass $4 trillion, nearing its peak from August. Bitcoin led the advance, gaining more than 3% over the past two sessions, while Ethereum surged to its highest level since September. Binance Coin notably reached a fresh all-time high, highlighting robust and broad-based demand that extended beyond large-cap assets into the altcoin space.

The rally was primarily fueled by a dovish repricing of Federal Reserve policy expectations following the release of U.S. inflation data that aligned with consensus forecasts. The reading reinforced market confidence that the central bank could initiate an easing cycle as soon as its meeting next week, driving capital into risk-sensitive assets, including digital currencies.

Regulatory developments provided a significant additional tailwind. In notably optimistic remarks, SEC Chair Paul Atkins stated that “crypto’s time has come” and offered guidance suggesting a more nuanced classification of digital assets, which many interpreted as reducing the immediate threat of aggressive securities-based enforcement. This was compounded by continued supportive rhetoric from former President Donald Trump, whose administration has consistently advocated for the digital asset industry since his return to office, reducing political overhangs for the sector.

With a light U.S. economic calendar on Friday, the supportive macro and regulatory backdrop is expected to sustain the positive sentiment. However, traders are monitoring key technical resistance levels across major cryptocurrencies for signs of profit-taking as markets approach overbought conditions.

Technical Analysis 

ETH, H4

Ethereum staged a decisive breakout this week, surging more than 2.5% after climbing above its week-long consolidation range — a move that signaled strong bullish intent. Despite a choppy session marked by a doji candlestick and intraday swings of nearly 3%, ETH held firmly above its former range, reinforcing confidence that the breakout is genuine rather than a false move.

Momentum indicators are also aligning with the bullish view. The RSI has edged higher, while the MACD has crossed above the zero line, both underscoring a shift toward positive momentum. These signals suggest ETH remains well-positioned to extend its advance, with traders eyeing higher psychological and technical levels as the next upside targets.

Resistance level:1.7750, 1.7840

Support level: 1.7615, 1.7480

BNB, H4

Binance Coin (BNB) has delivered a forceful breakout, affirming a shift in structure after invalidating its prior downtrend near the $851.00 mark — the level that defined its retreat from earlier peaks. The breakout was further validated when BNB established traction above its consolidation band in the last session, propelling the token to a new all-time high at $908.93.

At present, BNB is hovering near record territory, a zone that historically invites both euphoria and profit-taking. While the structural breakout signals a broader bullish continuation, the near-term trajectory may prove volatile if traders lock in gains.

From a momentum perspective, the RSI remains elevated and is poised to breach into overbought conditions, highlighting stretched but resilient buying pressure. Meanwhile, the MACD continues to edge higher above the signal line, reinforcing a constructive bias and suggesting that upward momentum remains intact.

Resistance level:924.30, 946.85

Support level: 872.20, 840.70