Cryptocurrency exchange Bitfinex released a latest market analysis report titled 'Strong April Close Sets Up Bitcoin for Summer', indicating that although Bitcoin encountered a massive impact in early April, it ultimately closed with a strong 14.08% gain, not only higher than Bitcoin's historical April average return but also the best-performing month this year.
The report emphasized that Bitcoin surged over 32% from its April low of $74,501, approaching $98,000, demonstrating its strong resilience amid macroeconomic volatility and changing risk sentiment. Bitfinex stated directly:
If Bitcoin can maintain the key technical level of $95,000, which is the lower limit of the previous three-month range, and stabilize above the short-term holder cost basis of $93,340, it will lay a solid foundation for returning to its all-time high.
On-chain Data Supports Bullish Expectations
Regarding this assessment, Bitfinex explained that on-chain data shows miner reserves remain stable, and the Puell Multiple indicator suggests miners have little motivation for large-scale selling, reflecting miners' confidence in future market appreciation.
Although short-term trends depend on converting the $95,000 breakthrough into solid support, structural signals continue to lean bullish, creating conditions for the continuation of the current market cycle. Therefore, once the overall economic environment stabilizes, Bitcoin is expected to further increase.
Regarding the closely watched US economy, Bitfinex noted that the US economy demonstrated resilience in April, with increased job opportunities, unemployment rate stabilizing at 4.2%, labor participation rate growing, and ongoing hiring in education, healthcare, and hospitality sectors. However, wage growth slowed to 0.2% monthly and 3.8% annually, job vacancies decreased, and employment losses occurred in manufacturing and retail, indicating a cooling labor market. Bitfinex also directly stated that inflationary pressures from tariffs and stagnant household income growth might pose deceleration risks to the US economy.
Positive Developments in Cryptocurrency Realm
Additionally, the Bitfinex report mentioned several recent positive developments in the cryptocurrency field, including:
- Nexo returning to the US market after two years, planning to offer compliant crypto financial products, reflecting industry trends of cooperation with regulators.
- The UK government proposing a draft to regulate crypto platforms, emphasizing consumer protection and transparency, while collaborating with the US to establish a transatlantic regulatory framework.
- The US Securities and Exchange Commission (SEC) concluded its investigation into PayPal's stablecoin PYUSD without enforcement action, potentially bringing clarity to stablecoin regulation.
