Bitcoin Rebounds Above $81,000 as Pepe Jumps 9%
Bitcoin climbed back above $81,000 as a rally in Asian chip stocks lifted risk appetite. South Korea’s Kospi rose 6.6%, while SK Hynix gained about 11% after reporting a sevenfold increase in profit. Ether also advanced, and Pepe rose 9.4% after Arkham Intelligence reported that wallets linked to Tron founder Justin Sun hold about $51 million in PEPE.
Bitcoin’s recovery was supported by a second consecutive day of inflows into U.S. spot Bitcoin ETFs, which added $176 million on Tuesday. However, derivatives data showed only a modest rise in open interest, suggesting the price move was not driven by a large increase in leveraged positions. Liquidations rose 38% to $183.6 million.
Traders were watching the Federal Reserve’s rate decision and Chair Kevin Warsh’s comments for clues on future policy. The overall picture was positive for Bitcoin in the short term, but upcoming macroeconomic signals could still drive volatility.
Bullish
The news is modestly bullish for crypto in the short term. Bitcoin’s rebound above $81,000 coincided with strength in Asian technology shares, suggesting improved appetite for risk assets. Two consecutive days of U.S. spot Bitcoin ETF inflows, including $176 million on Tuesday, add a supportive demand signal. Pepe’s sharp rise and gains across some major tokens also indicate broader willingness to buy.
However, the derivatives data points to a measured move rather than a heavily leveraged rally: open interest increased much less than futures volume, while BTC open interest edged down even as its price rose. This may reduce the immediate risk of a crowded long trade, although the 38% increase in liquidations shows that volatility remains elevated. Mildly positive funding rates also suggest positioning was not excessively bullish.
As in past rallies linked to technology stocks, crypto may benefit while investors favour growth assets, but that connection can reverse quickly if equities weaken or macroeconomic expectations change. The Federal Reserve decision and Chair Kevin Warsh’s comments are near-term catalysts. Over the longer term, sustained ETF inflows would provide stronger evidence of durable demand; a single rebound alongside an AI-stock rally is not enough to confirm a lasting trend. Traders should therefore treat the move as supportive but remain alert to policy-driven volatility.