Why Is the Crypto Market Up Today?

On April 6, the total crypto asset market cap recovered to $2.35 trillion. The total increased by around $100 billion from the lowest level of $2.27 trillion on April 5 due to a short squeeze and improving sentiment, which drove a broad rally.

Bitcoin
BTCUSD
led this movement. Over the past 24 hours, its value increased by 3%, while MemeCore
M
, one of the top gainers among the top 100 tokens, surged 6% as the meme coin sector continued its strong performance, rising more than 3% weekly.

In Today's News:-

The 10-year Japanese government bond yield hit 2.39%, the highest in 25 years, forcing institutions holding about ¥390 trillion in government bonds to strengthen their balance sheets by selling risky assets worldwide. Despite limited liquidity, Bitcoin remains resilient while traditional assets like gold and stocks suffer deeper losses, further confirming Bitcoin’s relative strength during this rate hike cycle.
President Trump raised the Hormuz ultimatum last night, threatening to attack Iran’s power plants and bridges if Tehran does not reopen the strait on Tuesday. Brent crude oil prices jumped above $111, while physical market prices exceeded US(—the highest since 2008—raising inflation concerns that keep the Fed cautious.
Crypto influencer Murad Mahmudov assesses SPX6900 starting to stabilize at the same market cap level as Dogecoin and Pepe consolidated before a sharp rally, reinforcing the view that capital is beginning to rotate back into the meme coin sector despite macroeconomic pressures.
Crypto Market Recovers US)Billion Driven by Short Squeeze

The total crypto market cap traded at $2.35 trillion on April 6. This figure increased by 0.5% compared to the previous day’s close. However, this key figure does not fully reflect the recovery. On April 5, the market briefly fell to $2.27 trillion before buyers stepped in strongly, adding about US$89 million and pushing the total up to as high as US$2.36 trillion before stabilizing.

The main trigger was a short squeeze. In the past 24 hours, short positions worth US$195.66 million were liquidated across various exchanges, far exceeding the US$76.27 million in longs liquidated. The 2.5-to-1 ratio of short to long liquidations created a forced buyback sequence that caused prices to surge.

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The macroeconomic backdrop remains mixed.

Oil prices continue to rise above US$110, typically putting pressure on risky assets. Yet, Bitcoin shows remarkable resilience compared to traditional safe-haven assets. Over the past week, Bitcoin’s price increased by 3.7%, while gold rose about 3%. Over the last 30 days, Bitcoin gained 1.2%, whereas gold declined 10%. This relative performance is starting to attract attention as it could shift the narrative.

If the crypto market can hold above US$2.33 trillion, there’s a chance to break through resistance at US$2.39 trillion, with the next target at US$2.49 trillion, requiring an additional roughly 6% increase. If US$2.33 trillion is broken, then US$2.23 trillion becomes the main focus again.

Bitcoin Tests US$69,000 While Uptrend Channel Holds

Bitcoin rose 3% over the past 24 hours to US$69,231, continuing a slow upward move within an ascending parallel channel guiding price action since the February 6 low around US$60,000. This channel formed after a 38.71% decline from the US$97,985 peak. Despite the recovery, the uptrend channel could still end in a downturn if it fails to break above the upper trendline.

The most critical level is US$69,015. Bitcoin has not closed above this level since March 27. Every rally since then has been resisted around this area. Currently, BTC is trading above it, but a daily close above is needed to strengthen bullish sentiment.

A daily close above US$69,015 would open the door toward US$74,055. This level has been a strong resistance since mid-March. If it breaks US$74,055, it would confirm short-term strength and target US$79,033 $140 breakout level$89 and US$83,510 at higher Fibonacci levels.

If it declines, the lower trendline of the uptrend channel is around US$64,905. Breaking below this level would undermine the bullish pattern Bitcoin has maintained since early February and could send the price down to US$60,061 at the 0 Fib point, possibly even lower.

MemeCore
M
Rally 134% but CMF Signals Institutional Pause

MemeCore
M
is trading at US$2.76 on April 6. This is up about 6% in the past 24 hours and roughly 20% over the past week. This performance appears even more prominent over a longer timeframe. Since early February, M has surged 134%, making it one of the strongest performers in the crypto market this year.

This rally was driven by several factors. The MemeCore hard fork on March 25 reduced gas fees from 1,500 gwei to 15 gwei and introduced account abstraction, making the network easier to use.

Momentum in the broader meme sector, highlighted by Murad Mahmudov’s thesis that meme tokens are entering an accumulation phase like Dogecoin and Pepe before a rally, also supports capital rotation into this category.

On the daily chart, a pole and flag pattern is beginning to form. The pole part shows a 134% increase since February 1. Since April 4, the price has consolidated into a pattern resembling a bullish flag. Usually, this pattern continues in the direction of the previous trend.

However, the Chaikin Money Flow $89 CMF(, an indicator of buying and selling pressure from large funds, has fallen below zero for the first time since late January. The last time CMF dipped below zero, MemeCore’s price eventually corrected by 28%.

Staying above US$2.45 keeps the bullish structure strong. But if the price drops below US$2.07, this pattern will weaken significantly.

If the price breaks above US$2.91, it confirms a flag breakout. This would open the door toward US$3.66 and even US$4.40 based on measurement projections; of course, if institutional flows return and CMF turns positive again.

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