Head of markets at Laevitas cautions that the crypto surge requires more than just a short squeeze.

According to @scopicview, head of markets at Laevitas, «The recent movements in the crypto market were driven by macro relief beta, intensified by low liquidity over the weekend, rather than being a story unique to crypto.»

The upward shift was triggered by President Trump’s remarks concerning a potential U.S.-Iran framework, a sentiment later shared by all parties, which alleviated worries about energy supply interruptions and pushed crude oil prices down, momentarily dipping below $80 per barrel.

As inflation fears linked to energy began to fade, risk assets generally saw a repricing upwards, with bitcoin and ether standing out as the highest-beta beneficiaries of this sentiment shift.

Looking ahead, traders are keenly awaiting further confirmation of any agreements, updates on the situation in the Strait of Hormuz, the next movements in crude oil, and a busy central bank schedule. In the crypto space, the focus remains on whether ETF demand will strengthen into consistent inflows and if buying in the spot market can sustain gains that were initially sparked by short covering and limited liquidity.