Why is the crypto market up today?

The cryptocurrency market rebounded after a sell-off that drove its overall valuation to the lowest since November 2024.
As of March 6, the global crypto market capitalization had reached $3.10 trillion, rising 5% over the last 24 hours. Top coins, Bitcoin (BTC) and Ether (ETH) led the intraday rally with 5.6% daily gains each.
Crypto market performance Jan. 30. Source: Coin360
Let’s look at the top catalysts driving the crypto market rebound today.
Bitcoin leads rebound amid Trump’s auto tariffs delay
Today’s crypto market’s recovery aligns closely with similar rebounds in the US stock market, as Donald Trump’s tariff delay eased investor worries, with Bitcoin leading the market higher.
What to know:
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On March 5, US President Donald Trump temporarily paused the proposed 25% tariffs on auto imports from Canada and Mexico.
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Initially confirmed earlier this week, these tariffs had sparked fears of a trade war, rattling global financial markets and dragging down risk assets like cryptocurrencies.
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Bitcoin, for instance, dipped below $90,000 on March 3 amid this uncertainty.
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However, following negotiations with Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum, Trump agreed to a 30-day delay, easing tensions.
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This reprieve has spurred a risk-on sentiment, with Bitcoin climbing back above $92,000 and Ether edging above $2,300.
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Analysts suggest that averting immediate trade disruptions has reduced macroeconomic pressure, allowing crypto—a sector sensitive to such shifts—to recover and rally.
Risk-on sentiment boosts crypto market
The ongoing crypto rally mirrors the strength witnessed in US equities.
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The broad-market S&P 500 and the tech-focused Nasdaq also rose by 1.5% and 1.2%, respectively, during the late New York trading session on March 5.
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Crypto-related stocks also climbed higher, with crypto exchange Coinbase (COIN) rising by 4.5% and Strategy (MSTR) gaining nearly 12%.
24-hour performance of US equities Source: Financial Visualizations
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The US dollar index (DXY) is at its weakest level since early November and is down more than 5.5% lower from its Jan. 13 peak of 110.17.
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Fed rate expectations are shifting back to pricing more rate cuts in 2025, with market participants betting on 52% chances of a 25 basis point rate cut in June.
Fed target rate probabilities for Nov. 7 FOMC meeting. Source: CME Group
“Looking at the trend, sentiment appears to be shifting towards more easing, possibly driven by economic data, inflation trends, and Fed commentary, market commentator Walter Bloomberg said in a March 5 post on X.
“The market initially priced in fewer cuts but has now surged higher—will the Fed follow through?”
Related: Does XRP, SOL or ADA belong in a US crypto reserve?
Crypto market technical rebound
From a technical perspective, today’s crypto market’s gains are part of a rebound that started at a support confluence comprising the psychological level at $2.80 trillion and the 200-day simple moving average (SMA).
TOTAL crypto market cap. Source: Cointelegraph/TradingView
The total market cap, currently at $2.95 trillion, seeks to break above the resistance zone between $3.1 trillion and $3.28 trillion, where both the 100-day and 50-day SMAs sit.
If this happens, it would signal a bullish breakout from the current downtrend phase, with bulls targeting all-time highs above $3.69 trillion.
The daily relative strength index, or RSI, has jumped from oversold conditions at 25 on Feb. 20 to the current value of 47, suggesting the bullish momentum is building up.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Bitcoin (BTC) $ 117,529.00
Ethereum (ETH) $ 2,968.17
XRP (XRP) $ 2.88
Tether (USDT) $ 1.00
BNB (BNB) $ 682.54
Solana (SOL) $ 160.47
USDC (USDC) $ 0.999851
Dogecoin (DOGE) $ 0.191856
TRON (TRX) $ 0.300030
Lido Staked Ether (STETH) $ 2,967.45
Cardano (ADA) $ 0.728873
Hyperliquid (HYPE) $ 48.15
Wrapped Bitcoin (WBTC) $ 117,366.00
Stellar (XLM) $ 0.450855
Sui (SUI) $ 3.94
Wrapped stETH (WSTETH) $ 3,586.44
Chainlink (LINK) $ 15.42
Hedera (HBAR) $ 0.236079
Bitcoin Cash (BCH) $ 492.96
Avalanche (AVAX) $ 20.82
LEO Token (LEO) $ 9.01
Wrapped eETH (WEETH) $ 3,182.78
Shiba Inu (SHIB) $ 0.000013
Toncoin (TON) $ 3.01
WETH (WETH) $ 2,968.74
Litecoin (LTC) $ 92.82
USDS (USDS) $ 0.999854
Binance Bridged USDT (BNB Smart Chain) (BSC-USD) $ 0.999716
WhiteBIT Coin (WBT) $ 45.56
Monero (XMR) $ 339.02
Polkadot (DOT) $ 3.88
Coinbase Wrapped BTC (CBBTC) $ 117,525.00
Uniswap (UNI) $ 8.90
Ethena USDe (USDE) $ 1.00
Bitget Token (BGB) $ 4.39
Pepe (PEPE) $ 0.000012
Aave (AAVE) $ 311.42
Bittensor (TAO) $ 417.34
Dai (DAI) $ 0.999904
Pi Network (PI) $ 0.453904
Cronos (CRO) $ 0.104746
Aptos (APT) $ 4.89
NEAR Protocol (NEAR) $ 2.54
Ethena Staked USDe (SUSDE) $ 1.18
Ondo (ONDO) $ 0.898738
OKB (OKB) $ 47.56
Internet Computer (ICP) $ 5.29
BlackRock USD Institutional Digital Liquidity Fund (BUIDL) $ 1.00
Jito Staked SOL (JITOSOL) $ 195.07
Ethereum Classic (ETC) $ 18.06
Mantle (MNT) $ 0.717335
Algorand (ALGO) $ 0.278937
Bonk (BONK) $ 0.000029
Kaspa (KAS) $ 0.084127
USD1 (USD1) $ 0.999349
Ethena (ENA) $ 0.330346
Pump.fun (PUMP) $ 0.005880
VeChain (VET) $ 0.023999
Cosmos Hub (ATOM) $ 4.49
Sei (SEI) $ 0.348259
POL (ex-MATIC) (POL) $ 0.224283
Arbitrum (ARB) $ 0.401294
sUSDS (SUSDS) $ 1.06
Fasttoken (FTN) $ 4.51
Render (RENDER) $ 3.74
Pudgy Penguins (PENGU) $ 0.030794
Gate (GT) $ 15.64
Official Trump (TRUMP) $ 9.20
Artificial Superintelligence Alliance (FET) $ 0.696126
Binance-Peg WETH (WETH) $ 2,968.92
Worldcoin (WLD) $ 1.02
Lombard Staked BTC (LBTC) $ 117,889.00
Filecoin (FIL) $ 2.51
Sky (SKY) $ 0.076619
Binance Staked SOL (BNSOL) $ 170.27
Jupiter Perpetuals Liquidity Provider Token (JLP) $ 4.71
KuCoin (KCS) $ 11.47
Jupiter (JUP) $ 0.485896
First Digital USD (FDUSD) $ 0.997446
USDtb (USDTB) $ 0.999535
SPX6900 (SPX) $ 1.51
Kelp DAO Restaked ETH (RSETH) $ 3,113.10
Rocket Pool ETH (RETH) $ 3,383.12
USDT0 (USDT0) $ 1.00
Celestia (TIA) $ 1.84
NEXO (NEXO) $ 1.29
Fartcoin (FARTCOIN) $ 1.26
Story (IP) $ 4.31
Injective (INJ) $ 12.26
Stacks (STX) $ 0.774761
XDC Network (XDC) $ 0.073453
Flare (FLR) $ 0.017065
Optimism (OP) $ 0.647197
Mantle Staked Ether (METH) $ 3,190.77
Solv Protocol BTC (SOLVBTC) $ 117,391.00
StakeWise Staked ETH (OSETH) $ 3,119.43
Sonic (S) $ 0.342258
Polygon Bridged USDT (Polygon) (USDT) $ 1.00
Virtuals Protocol (VIRTUAL) $ 1.62
Binance Bridged USDC (BNB Smart Chain) (USDC) $ 0.999733