Bitcoin rose more than 3 per cent on Monday, leading a broad recovery across cryptocurrency markets after last week’s selloff wiped billions of dollars from digital asset valuations and pushed the world’s largest cryptocurrency below a key support level.
- Bitcoin rose more than 3 per cent on Monday, leading a broad recovery across cryptocurrency markets after last week’s selloff...
- Bitcoin traded above $63,000 during early trading, recovering from losses that briefly dragged the token below $60,000 late last week.
- With many of those positions now cleared, immediate selling pressure appears to have eased.
- A review of recent market activity indicates that institutional withdrawals from spot Bitcoin ETFs contributed notably to last week’s selloff.
Keep reading for the full breakdown on Bitcoin — everything you need to know is covered below.
Bitcoin traded above $63,000 during early trading, recovering from losses that briefly dragged the token below $60,000 late last week. Ethereum gained more than 6 per cent to approach $1,700, while most major cryptocurrencies traded higher.
The rebound follows a volatile week for digital assets as investors reacted to sustained outflows from spot Bitcoin exchange-traded funds, rising liquidations of leveraged positions and broader risk-off sentiment across financial markets.
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Why Bitcoin is gaining ground again?
Bitcoin’s recovery above $63,000 appears driven by a combination of technical and sentiment-based factors.
The drop below $60,000 last week triggered oversold signals on several technical indicators, attracting buyers who had been waiting for lower entry points. Such dip-buying activity is common after sharp corrections, particularly when no major deterioration in underlying market fundamentals accompanies the decline.
Easing pressure from leveraged positions has also helped stabilise the market. A review of market data shows that much of last week’s selling was amplified by forced liquidations as traders using borrowed funds were pushed out of positions during the downturn. With many of those positions now cleared, immediate selling pressure appears to have eased.
A closer look at crypto adoption trends suggests the rebound carries broader significance for African markets. Across Nigeria, Kenya, Ghana and South Africa, Bitcoin and stablecoins are increasingly used for savings, remittances and cross-border transactions, making sharp market swings more consequential than in regions where digital assets remain primarily speculative instruments.
Nigeria remains one of the world’s most active cryptocurrency markets. Industry data reviewed by Techpression shows that demand for digital assets continues to be driven by the search for alternative stores of value, access to dollar-linked assets and faster international payments.
ETF flows remain a key indicator. Market data suggests last week’s sustained outflows from spot Bitcoin ETFs played a major role in weakening sentiment. Any slowdown in redemptions or return of institutional inflows could provide additional support for prices in the days ahead.
What investors should expect in the week ahead
Our analysis suggests the coming week could determine whether Bitcoin’s rebound develops into a broader recovery or proves temporary.
ETF flow data remains the primary variable for traders. A review of recent market activity indicates that institutional withdrawals from spot Bitcoin ETFs contributed notably to last week’s selloff. Investors will now be watching closely for signs that demand is beginning to stabilise.
Macroeconomic developments could also introduce fresh volatility. Inflation figures, comments from Federal Reserve officials and movements across global equity markets are expected to influence risk sentiment, which continues to play an important role in crypto price action.
On the technical front, Bitcoin’s ability to maintain levels above $63,000 will remain under scrutiny. Market participants are watching closely to see whether buyers can establish support above that level or whether the market risks another test of the $60,000 zone.
Ethereum’s performance will also be closely monitored. The second-largest cryptocurrency gained more than 6 per cent on Monday, and continued strength could indicate that the recovery is extending beyond Bitcoin into the broader digital asset market.
Available market data points to continued volatility as traders assess ETF flows, macroeconomic signals and key technical levels throughout the week.
What this means for investors in Nigeria and beyond
For crypto holders across Africa, Monday’s rebound offers temporary relief following one of the market’s sharpest declines in recent weeks.
Our findings show that African crypto markets remain closely linked to global developments despite the region’s unique drivers of adoption. In many countries, digital assets are used not only for investment purposes but also for preserving value, accessing dollar-denominated assets and facilitating cross-border transactions.
The decline below $60,000 would have been particularly uncomfortable for investors who entered the market during Bitcoin’s earlier rally. While the recovery above $63,000 eases some of that pressure, it also highlights how quickly sentiment can shift in the cryptocurrency market.
In peer-to-peer markets that dominate crypto activity across much of Africa, local pricing dynamics can further amplify volatility. Exchange-rate fluctuations, liquidity conditions and regional demand often influence how global price movements are reflected in local markets.
Data reviewed by Techpression suggests market participants across Nigeria, Ghana, Kenya and other active African crypto hubs are likely to remain cautious after last week’s decline exposed the risks associated with leveraged trading and rapid market swings. Attention is now turning to whether institutional demand returns and whether Bitcoin can sustain its recovery in the days ahead.
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