A single social media post from U.S. President Donald Trump has sparked a fresh wave of optimism across the crypto market, pushing major assets back into the green after Friday’s violent selloff. While the rebound is significant, it’s not yet a full recovery – and traders remain cautious heading into the new week.
The change in tone comes just two days after Trump had announced a new 100% tariff on Chinese goods, which sent global markets into a tailspin.
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Partial Recovery Across Major Coins
Crypto prices reacted instantly. Bitcoin jumped 2% to around $114,000, recapturing some of its losses but still well below the pre-crash level of $120,000. Ethereum surged more than 7%, pushing above $4,100. BNB approached its all-time high again, trading just under $1,300. XRP recovered to $2.50, though it’s still down 15% for the week. Solana gained nearly 6%, trading just below $200.
The global crypto market cap rose by 3.5%, now hovering near $3.9 trillion. That’s a meaningful rebound, but still below recent high of over $4.3 trillion.
Read also: Traders Furious After Exchange Outages Blocked Trades During Crash
Why the Market Isn’t Celebrating Yet
Despite the bounce, three key factors are keeping traders from calling it a full recovery.
First, it’s Sunday, and traditional financial markets are closed. Whether or not this rally holds will likely depend on how equities react when Wall Street reopens. A calm open could stabilize sentiment, but renewed volatility could pull crypto down again.
Second, the tariff uncertainty remains. Trump’s latest message softens the rhetoric, but the original 100% tariff proposal is still scheduled for November 1. No formal reversal or delay has been announced, which leaves the situation open-ended.
Third, the Crypto Fear & Greed Index remains at just 24, signaling “extreme fear”. Friday’s chaos left a mark. Billions in liquidations and exchange outages shook investor confidence, and it will take time for that to normalize.
Read also: How To Use Crypto Fear and Greed Index To Your Advantage?
The Road Ahead
While today’s recovery is a positive sign, crypto markets will likely need more than a single tweet to shake off the events of the past 48 hours. The next moves in both U.S. policy and traditional markets will likely determine whether this rebound continues – or if it was just a pause in a larger correction.
