Bitcoin’s recent movement towards the $90,000 mark is providing a temporary boost to the crypto market, yet many analysts caution against viewing it as a significant turning point following one of the weakest second halves in recent memory.
In the last 24 hours, major tokens have remained within their trading ranges, with XRP, Ether, Solana’s SOL, Cardano’s ADA, and climbing by as much as 2%. Conversely, Aave’s AAVE has continued to decline amidst ongoing governance disputes, making it the worst performer with a drop of 7%.
The total cryptocurrency market capitalization has surpassed $3 trillion once more, a psychologically significant threshold that has been a battleground for buyers and sellers over the past month. Despite the day’s price uptick, analysts warn that this rebound may denote exhaustion rather than a resurgence of confidence.
Alex Kuptsikevich, chief market analyst at FxPro, noted that the recent market strength is primarily technical and stems from a low base caused by weeks of selling.
“The crypto market is attempting to grow, but this is not yet a recovery,” Kuptsikevich explained, pointing out that sentiment has only slightly improved. The market’s fear and greed index has risen to 25, indicating that traders might be stepping away from extreme pessimism but are not yet ready to take risks.
Bitcoin was trading around $88,000 during Asian morning hours on Tuesday, nearing the upper limit of a range established since early last week. Kuptsikevich cautioned that short-term momentum could be deceptive, especially considering the broader landscape. Bitcoin remains approximately 30% below its 2025 peak and is trading at levels lower than at the beginning of the year.
“Attempts to bring year-to-date performance back to zero are of little comfort,” he stated in an email, adding that disappointment has supplanted the optimism that permeated the markets earlier this year.
Seasonal trends further underscore the need for caution. Data from CoinGlass indicates that Bitcoin is down over 22% in the fourth quarter thus far, marking 2025 as one of the weakest year-end periods outside significant bear markets.
While the fourth quarter has historically seen some of Bitcoin’s most robust rallies, it has also produced marked drawdowns in years characterized by tightening liquidity and macroeconomic uncertainty.
The market continues to be susceptible to sudden reversals, particularly during U.S. trading hours. Recent trading sessions have shown that price gains from Asian and European markets often fade when North American markets open.
