Nasdaq breaks 25,000, coin market cheers... Bitcoin targets $80,000?

U.S. stock market tailwinds and falling oil prices brighten virtual asset market... Bitcoin surpasses $78,000

▲ Bitcoin (BTC), Nasdaq (NASDAQ)/ChatGPT generated image ©

The global virtual asset market is showing a clear recovery, driven by the New York stock market's record highs and the easing of geopolitical risks from the Middle East. Bitcoin (BTC), the leading cryptocurrency, has quickly reclaimed the $78,000 mark, leading a broader market rally.

Major Virtual Asset Market Conditions Based on CoinMarketCap

As of 7:05 AM KST on the 2nd, according to CoinMarketCap, a global virtual asset market data aggregator, the total virtual asset market capitalization has increased by 1.47% from the previous day, reaching $2.59 trillion. The 'Fear & Greed Index,' which indicates investor sentiment, stands at 44 (Neutral), showing a move towards stability away from extreme fear.

Bitcoin is trading at $78,234.63, up 2.61% from 24 hours ago, showing strong upward momentum. Altcoins are also strong. Ethereum (ETH) rose 1.66% to $2,293.44, and XRP (XRP) increased by 1.64% to $1.38. Notably, meme coin leader Dogecoin (DOGE) saw a significant rise of 2.76% to $0.1092, and Hyperliquid (HYPE) jumped 3.83% to $41.02.

Bull Market Background: Big Tech's Strong Performance and Easing Middle East Tensions

The current strength in the virtual asset market is attributed to a combination of favorable macroeconomic indicators and easing geopolitical tensions.

On the 1st (local time) in the New York stock market, the technology-heavy Nasdaq index surpassed the 25,000 mark (25,114.44, +0.89%) for the first time in history, driven by Apple's 'surprise earnings' and the confirmed strong AI-driven profit generation capabilities of the Magnificent Seven (M7) companies. The Standard & Poor's (S&P) 500 index also set a new record for two consecutive days, reaching 7,230.12 (+0.29%). These tailwinds from U.S. big tech companies strongly boosted risk appetite across all risk assets.

Furthermore, news that Iran delivered a new peace proposal to the U.S. via Pakistan provided a breath of fresh air to suppressed investor sentiment. As a result, international oil prices (Brent crude $108.17, -2.0% / WTI $101.94, -2.98%) stabilized downwards, alleviating inflation concerns, which also acted as a positive catalyst for the virtual asset market.

Future Outlook: Robust Momentum Coexisting with Caution

Experts believe that with corporate earnings exceeding expectations and the continued growth of the AI industry, the upward momentum in the virtual asset market is likely to persist into May. Analysis suggests that substantial liquidity from the stock market and a preference for risk assets could continue to flow into the virtual asset market.

However, the embers of geopolitical risk have not been completely extinguished. As former U.S. President Donald Trump drew a line, stating he was "not satisfied" with Iran's new negotiation proposal, short-term market volatility could increase based on news flow during future tug-of-war between the two nations. Given that CoinMarketCap's Fear & Greed Index is still in a 'Neutral' state (44) and has not yet entered the 'Greed' phase, investors are advised to approach cautiously, closely monitoring macroeconomic indicators and changes in the Middle East situation.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*