Bitcoin's $7k Surge Ends Weeklong Bear Market in a Flash

Bitcoin's weeklong bear market came to an abrupt end on Monday as it jumped nearly $7,000 in just a few hours, retaking its $1 trillion market cap. The largest cryptocurrency had fallen close to $47,000 on Sunday but quickly reversed course, leaving short positions worth $150 million liquidated. This brief dip below the psychologically important threshold of $1 trillion was seen as a key moment by many analysts.

According to popular trader Michaël van de Poppe, 'And just like that -> people are chasing to get back into the markets.' He had previously noted that 'During the weekend; the mass was in panic. During today and after the bounce; euphoria is back. People want to buy back in, while yesterday's expectations were that markets would go lower.' Van de Poppe also predicted that the most asked question over the next 24 hours would be: 'Hey, do you expect correction to happen in the markets soon? I still need to buy.'

The Bitcoin Fear & Greed Index is currently at 27, well into fear territory compared to last week's greed-centric reading of 74. Altcoins also saw significant gains on Monday, with Ether up 6.6% to $2,484 after briefly retaking $2,500.