Bitcoin holds near key levels as thin liquidity and macro signals keep traders cautious.
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Bitcoin trades sideways as thin liquidity and macro signals shape market sentiment
Bitcoin traded higher on Friday, as the broader crypto market showed signs of cautious optimism amidst improving sentiment and stronger participation. The world's largest cryptocurrency was priced around $88,900 (roughly Rs. 79.8 lakh), extending gains as buyers stepped in during the holiday session. Ethereum (ETH) traded near $2,900 (roughly Rs. 2.6 lakh), also edging higher as risk appetite improved modestly. Despite the bounce, market activity remained measured, with investors closely tracking liquidity conditions and macro signals. Bitcoin is priced near Rs. 79.8 lakh in India, while Ethereum trades around Rs. 2.6 lakh, as per the Gadgets 360 price tracker.
Market sentiment improved slightly as participants reacted to stronger inflows and expectations of continued institutional participation. Analysts noted that while price action has turned constructive, liquidity remains uneven and short-term moves are still heavily influenced by positioning rather than conviction. Broader macro signals, including currency volatility and diverging central bank policy paths, continued to shape near-term behaviour across risk assets.
Altcoins showed mixed performance amid the cautious recovery. Binance Coin (BNB) traded near $840 (roughly Rs. 75,400), while Solana (SOL) hovered around $123 (roughly Rs. 11,000). XRP was priced near $1.86 (roughly Rs. 167), and Dogecoin (DOGE) traded close to $0.13 (roughly Rs. 11.6).
Commenting on longer-term positioning, Avinash Shekhar, Co-Founder and CEO of Pi42, said, “The broader liquidity environment and growing participation across digital asset markets indicate that Bitcoin remains well positioned for higher price discovery over the coming quarters [...] This is an opportune time for investors to focus on systematic allocation, avoid short term noise, and align their strategies with Bitcoin's evolving role as a core digital asset in a maturing market.”
Providing near-term context, Akshat Siddhant, Lead Quant Analyst at Mudrex, said, “Bitcoin has picked up strong momentum, climbing close to 3 percent in a brief period as risk appetite improves across the crypto market. The rally points to a late ‘Santa Rally', with fresh buying activity emerging across major tokens.”
Highlighting broader macro dynamics, Nischal Shetty, Founder of WazirX, said, “Over the last 24 hours, macro developments have underscored how closely crypto is linked to global monetary policy, currency markets, and liquidity conditions [...] Slowing global growth adds complexity. Historically, central banks prioritise growth over currency defence, raising expectations of future easing. Near term, crypto remains driven by liquidity signals and risk appetite, often tracking equities.”
Overall, despite improving sentiment and uneven liquidity, the cryptocurrency market is still in a consolidation phase, with Bitcoin and Ethereum serving as anchors. Stronger participation, a clearer macro direction, and ongoing stability above important support levels are likely to be necessary for sustained upside, according to analysts. At the same time, altcoins may continue to be more volatile until risk appetite significantly improves.
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