The cryptocurrency market saw a strong rebound on Friday, with Bitcoin climbing above $85,000 before settling around $84,400, reflecting a 4.7% gain over the past 24 hours. The recovery comes as risk appetite returns to both crypto and traditional markets. Major altcoins such as Solana (SOL), Chainlink (LINK), and SUI led the broader gains, showing strong upward momentum.

Traditional markets also saw bullish sentiment, with the S&P 500 and Nasdaq indexes rising by 1.7% and 2.3%, respectively. Gold, which recently hit a record high above $3,000, pulled back below that level, reflecting a shift in investor sentiment. Analysts suggest that Bitcoin and stocks may continue their upward trajectory in the coming weeks, with traders looking for further confirmation of a bullish trend.

One of the key technical developments was Bitcoin reclaiming its 200-day moving average, a critical level for long-term price trends. Closing above this benchmark, currently at $83,767, would be a strong signal for bullish momentum, while failing to hold above it could indicate the potential for further corrections. Analysts note that the recent bounce is supported by a reduction in leveraged positions, which has left the market on a healthier footing.

Some traders believe that the worst of the correction may be over, with signs pointing to a stabilization phase. According to cross-asset trader Bob Loukas, both Bitcoin and traditional markets have more room to run in the short term. He noted that the current market recovery is likely a response to macroeconomic factors such as inflation concerns and trade policies. This sentiment aligns with the overall market outlook, suggesting that risk assets, including crypto, may see continued momentum in the near term.