Share this article
Bitcoin Jumps Above $56K, Solana Leads Recovery From Monday's Rout
Asian stocks and futures jumped higher Tuesday, recovering from one of the worst slides in recent years in Monday’s trading session.
Updated Aug 6, 2024, 2:25 p.m. Published Aug 6, 2024, 5:57 a.m.
- Bitcoin and Japanese stocks look to stabilize amid rate cut talks.
- Institutional investors sold spot ETFs Monday.
Bitcoin zoomed above $56,000 early Tuesday amid a broader market recovery in Asia as bargain hunters stepped in after Monday's steep price slide.
CoinGecko data shows that BTC added 6%, its highest 24-hour price increase since May, triggering a wider market recovery. Ether and added 8%, BNB Chain’s BNB rose 12%, and Solana’s SOL surged as much as 16%.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
The broad-based CoinDesk 20 (CD20), a liquid index of the largest tokens by market capitalization minus stablecoins, jumped 7.26% and recorded over $95 million in trading volumes.
Japan's Topix jumped about 10% as the yen weakened against the U.S. dollar, snapping a five-day surge. Futures tracking the S&P 500 rose 1.5%, while the tech-heavy Nasdaq 100 jumped 2.1%. Renewed hopes for faster Fed rate cuts in the wake of Monday's global market slide seem to have restored risk sentiment.
Read More: Bitcoin's Unreliable Death Cross Is Looming Again
Still, crypto market watchers remain cautious about a continued rally among major tokens.
“We might see a corrective rebound in Bitcoin's price,” Ruslan Lienkha, chief of markets at YouHodler, told CoinDesk in a Tuesday email. “However, this increase will likely be limited due to the prevailing pessimism in the broader markets.”
“Overall, the recent drop in Bitcoin's price is not significantly worse than the decline in the Nikkei index, indicating that the current sentiment is driven by external factors rather than issues within the crypto market itself,” Ruslan said. “It is unclear if we are entering a bearish market, and much will depend on the performance of the equity markets this month.”
Bitcoin ETFs have traded about $2.5b so far, a lot for 10:45am, but not too crazy (full history below). If you bitcoin bull you actually DONT want to see crazy volume today as ETF volume on bad days is a pretty reliable measure of fear. On flip, deep liquidity on bad days is part… pic.twitter.com/TOQRjyriqp
— Eric Balchunas (@EricBalchunas) August 5, 2024
On Monday, the crypto and global stock markets experienced one of their deepest losses in recent years. A strong Japanese yen triggered an unwinding of carry trades, accelerating a sell-off that started last week due to geopolitical tensions in the Middle East.
Japan’s Topix 100 index posted its most significant drop since 2011. Meanwhile, bitcoin's yen-denominated price on the Tokyo-based bitFlyer exchange dropped nearly 15%, significantly more than its dollar-denominated price on Western exchanges
Read More: These Two Bitcoin Indicators Offer Light in a Gloomy Market
Institutional investors sold off spot BTC exchange-traded fund (ETFs) holdings amid a heavy volume day on Monday. The U.S.-listed products recorded $168.4 million in net outflows, bringing net withdrawals to over $300 million this month.
More For You
What to know:
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
More For You
Bitcoin tumbles back below $88,000 as gains evaporate as quickly as they formed
It was a blink and you missed it rally as continued deflation in the AI trade sent the Nasdaq sharply lower, dragging crypto along with it.
What to know:
- Wednesday's early U.S. rally in crypto suffered a near-instant reversal, sending bitcoin back to the $87,000 area minutes after it had jumped above $90,000.
- Artificial intelligence favorites Nvidia, Broadcom, and Oracle were sharply lower, dragging the Nasdaq down by more than 1%.
Top Stories
