Bitcoin Rebounds Above $63,000 Amid Improved Market Sentiment

Bitcoin regained its footing above $63,000 on Monday, despite concerns of continued ETF outflows. The cryptocurrency's price rebounded nearly 7% over the past five sessions, with Pump.fun and Hyperliquid leading gains among major digital assets.

The improved sentiment in the market comes as CoinMarketCap's Fear & Greed Index rose to 29, signaling a shift from 'extreme fear' to 'fear'. However, analysts caution that this recovery is still viewed as a corrective rebound rather than a trend reversal, with lower highs and lower lows still in place.

ETF outflows continued, with spot Bitcoin exchange-traded funds recording net outflows of approximately $526.6 million during the shortened trading week. CryptoQuant warned of rising volatility due to increased deposits of Bitcoin and alternative cryptocurrencies onto exchanges, a development that has historically preceded periods of elevated market volatility.