Crypto Market Cap Jumps 3.6% to $3.2 Trillion as Bitcoin Price Reclaims $90,000
Introduction: A Tentative Recovery Takes Hold
The cryptocurrency market is showing signs of a tentative recovery, with the total market capitalization surging 3.6% to $3.2 trillion. This upward move is led by Bitcoin, which has decisively reclaimed the $90,000 level, trading at $91,404 at press time. The gains are broad-based, with major altcoins like Ethereum, BNB, and XRP also posting positive movements. This development is viewed by many market participants as the potential start of a recovery from a sharp pullback experienced throughout November, fueled by a combination of improving macroeconomic sentiment, technical resets, and cautious optimism among investors.
Market Snapshot: Analyzing the Broad-Based Gains
The recent price action reflects a coordinated uptick across the digital asset landscape. The total crypto market capitalization rose 3.6% to $3.2 trillion, providing a solid foundation for the recovery narrative. Leading the charge was Bitcoin, which saw a 24-hour gain of 4.6% to trade at $91,404. Other major assets followed suit: Ethereum rose to $3,038 (up 3.8%), BNB reached $895 (up 3.6%), and XRP traded at $2.20 (up 1.3%).
Beyond the giants, several tokens in the top 100 by market cap demonstrated even stronger momentum. Projects like Hyperliquid, Mantle, and Sky saw gains ranging from 6% to 10%, indicating a renewed risk appetite among traders. Despite these positive moves, the underlying market sentiment remains cautious. The Crypto Fear & Greed Index, while rising seven points from the previous day, remains in the "Extreme Fear" territory at a reading of 22.
Supporting the price increases were key market metrics. Total open interest across derivatives markets grew 4% to $135 billion, suggesting traders are re-establishing positions. Concurrently, liquidations over the past 24 hours increased by 7% to $346 million, highlighting the continued volatility. A key technical indicator, the average crypto market relative strength index (RSI), sits at a neutral 56. This level indicates a potential stabilization after a volatile two-week stretch, as it is neither overbought nor oversold.
Macroeconomic Tailwinds: Fed Policy and Geopolitics Boost Confidence
A significant driver behind the market's recovery is a shift in macroeconomic expectations and geopolitical developments.
Federal Reserve Policy Shifts: Investor confidence has been lifted by renewed expectations for a December interest rate cut, with probabilities rising to roughly 85%. This shift followed new U.S. data indicating softer inflation and a cooling labor market. Comments from Fed Governor Christopher Waller added to the bullish sentiment; he noted that the backlog of reports caused by the recent government shutdown would give policymakers a clearer view of the economy ahead of the December meeting. Markets interpreted this as supportive of an easing monetary policy.
Furthermore, the formal end of quantitative tightening on December 1 is expected to add another layer of liquidity to risk assets, including cryptocurrencies. In a separate development, rumors are circulating that Kevin Hassett, a former Trump adviser and Coinbase alum, is the frontrunner for the next Fed Chair, with betting odds placed at 67%. This has strengthened buying interest across crypto and technology sectors.
Improving Geopolitical Sentiment: Global factors also contributed to the risk-on mood. Progress around a potential settlement in Ukraine has reduced war-related risk premiums, while U.S.-China trade talks appeared to move closer to a new agreement. These developments spurred a rally in global stock markets, and the cryptocurrency market followed this move higher.
On-Chain and Technical Analysis: Signs of Stabilization Emerge
Beyond price and macro factors, on-chain data and technical indicators suggest the market may be moving out of its corrective phase.
Leverage Reset and Whale Accumulation: A Nov. 27 analysis by CryptoQuant contributor XWIN Research Japan highlighted that overheated leverage across Bitcoin futures, spot, and on-chain activity has eased. This is evidenced by open interest falling from $37 billion to $29 billion during the decline, effectively eliminating excess leverage from the system. As this occurred, long-term capital has started to re-enter the market.
A critical metric, the MVRV ratio, has dropped to 1.54. Historically, lower MVRV levels have indicated the early phases of market recoveries. Another bullish on-chain signal is the behavior of large holders. While short-term holders realized losses of over $900 million—often a sign of capitulation near local bottoms—whale addresses holding between 10 to 1,000 BTC have steadily increased their balances during the price decline. This pattern of accumulation by large players is similar to behavior observed during earlier shifts from mid-cycle corrections to fresh uptrends.
Bitcoin's Path Forward: Between $100K Hopes and Key Support Levels
With Bitcoin back above $90,000, attention turns to its potential trajectory for the remainder of the year. The path ahead, however, remains uncertain and is defined by two contrasting scenarios.
On one hand, several prominent analysts anticipate a push toward $100,000 before year-end. This view is shared by figures including Galaxy Digital’s Mike Novogratz and BitMine’s Tom Lee. Their outlook is supported by the emerging signs of stabilization and rising spot demand.
On the other hand, technical risks persist. A failure for Bitcoin to hold the $88,000 support level could trigger a move back toward $80,000 or, under more severe conditions, test lower support zones. The market's current attempt to rebuild momentum as November closes is promising, but it is not yet out of the woods. The neutral RSI and reset leverage provide a healthier foundation for growth than existed during the overheated conditions earlier in the month.
Conclusion: A Cautious Rebuilding of Momentum
The crypto market's 3.6% surge to a $3.2 trillion capitalization marks a significant step in recovering from November's downturn. The rebound, spearheaded by Bitcoin's reclaiming of $90,000, is underpinned by tangible factors: shifting Fed policy expectations, positive geopolitical developments, and improving on-chain metrics that suggest leverage has been reset and whales are accumulating.
For readers and investors, the current environment warrants cautious optimism. The market is showing early technical signs of attempting to rebuild momentum, but sentiment gauges like the Fear & Greed Index confirm that extreme caution persists. Moving forward, key items to watch include Bitcoin's ability to consolidate above $88,000 support, incoming U.S. economic data that could influence Fed policy, and continued on-chain signals from whale wallets. While the prospect of a year-end rally toward $100,000 exists, the market's primary achievement this week is demonstrating resilience and establishing a more stable footing for what comes next.