Bitcoin hovered around $102,000 on Friday as crypto markets struggled to sustain a rally weighed down by renewed caution in global stocks and a stronger dollar.
Total crypto market capitalization rose 1% in the past 24 hours to $3.4 trillion, its first gain after four straight days of decline, though traders remain wary that the move is little more than a pause in selling.
The slight rise came as investors rotated out of the big tech names and wound down parts of this year’s artificial intelligence rally.
The Nasdaq and S&P 500 extended losses, with traders questioning whether stretched AI valuations — and OpenAI’s trillion-dollar funding ambitions — are sustainable. Risk-off sentiment has spilled over into digital assets, where speculative appetite remains thin despite recent policy easing by the Federal Reserve.
“The market looks more like it’s breathing than turning,” said Alex Kuptsikevich, chief market analyst at FxPro. “Bitcoin is holding above its 50-week moving average for now, but intraday charts show sellers trying to retake control. Time is on the bears unless macro sentiment improves.”
Crypto prices traded mostly lower on Friday, extending the week’s move as traders remained risk-averse following weak global equities. Bitcoin down 1.3% in the past 24 hours to around $102,000, while Ether fell 1.1% to $3,353, compounding its weekly loss of 13%. Solana’s SOL led big declines with a daily drop of 1.4% and a 15% drop over seven days, while XRP fell another 4% following its recent surge in wallet activity.
Among the top altcoins, BNB and Dogecoin managed small gains of around 1%, providing a brief respite after heavy selling earlier in the week. Total crypto market capitalization hovered close to $3.4 trillion, suggesting limited buying interest. Traders say sentiment remains fragile as stronger US dollar flows and persistent macro uncertainty continue to weigh on risk assets.
According to Hashdex, risk aversion and uncertainty over the Fed’s rate path continue to pressure digital assets. Meanwhile, Wintermute noted that institutional liquidity has shifted toward traditional markets, leaving crypto underperforming relative to other asset classes.
Yet there are still some signs of accumulation. Data from chain analytics firm Glassnode shows “accumulator addresses” – wallets that only buy and never sell – have added over 375,000 BTC in the past month.
At the same time, short-term holders use each rebound to exit at a loss, a pattern typical of late-stage corrections.
While a drop below $100,000 could invite another round of forced liquidations, traders say a stable macro backdrop — and a decisive turnaround in equity sentiment — would be needed to restore bullish momentum.
For now, the market is still caught between optimism about easier liquidity and the reality of a still risk-averse investment climate.
