Major tokens added as much as 5% like bitcoin hovered above $93,000 on Thursday, a move some traders described as a potential fake-out as volatility remained high across the crypto market.
Cardano’s ADA added 5% as key network developments passed a 70 million ADA proposal to jumpstart on-chain activity, in a first governance vote. Ether moved 4% when the Fusaka upgrade went live, with the update designed to help the network handle the increasingly large transaction batches coming from the layer-2 networks that sit on top of it.
Attention is now centered on whether BTC can stabilize in the $90,000-$91,000 support region. Market-wide positioning remains fragile after a sharp liquidation cycle at the start of the week, although the broader crypto market is still trying to carve out higher lows following its late-November pullback.
“On December 3, the crypto market saw big gains as BTC briefly broke above $93,000 before quickly giving back its advance — a structure that looks like a potential ‘false breakout,'” Bitunix analysts told CoinDesk in an email. “The short-term setup has shifted to a choppy pullback, with markets watching to see if BTC-090.0 can support. zone.”
“On the upside, $93,200 has emerged as the new resistance band,” they added.
ETF flows showed a familiar breakdown. Bitcoin funds saw $58.5 million in inflows, while Ether products recorded $9.9 million in outflows, continuing a trend of capital rotating toward BTC while ETH faces steady, moderate pullbacks.
Such a pattern has persisted for several weeks, reinforcing the view that institutional flows remain more comfortable adding bitcoin exposure during periods of macro uncertainty.
Macro developments continued to influence the risk sentiment. US President Donald Trump signaled tighter control over the Federal Reserve through key personnel decisions and said he plans to announce his candidate for the Fed chair early next year.
He has repeatedly suggested that Kevin Hassett is his preferred choice — a candidate widely seen as more dovish and supportive of lower rates.
Markets have begun to price in the possibility of a more accommodative framework in 2025, although that outlook clashes with inflation still above target and a labor market that has not fully cooled.
The background sentiment received a boost from the latest institutional measures. Vanguard opened access to crypto ETF trading to its clients on December 2, reversing years of resistance against the asset class. Bank of America separately told institutional clients that they can allocate 1%-4% of portfolios to digital assets.
A broader market capitalization rose to $3.15 trillion, forming a higher local high and signaling early attempts at trending despite continued caution below the $3.38 trillion threshold.
