Bitcoin, Ethereum, Axelar, Hyperliquid lead crypto bounce ahead of Fed meeting

The cryptocurrency market is regaining its bullish momentum, with major tokens like Bitcoin (BTC), Ethereum (ETH), Axelar (AXL), and Hyperliquid (HYPE) posting impressive gains as investors brace for the Federal Reserve’s pivotal June 18 meeting. Over the past 24 hours, Bitcoin has climbed 3.5% to trade at $109,376, while Ethereum has surged 7.5% to $2,677.46, reinforcing a broader recovery trend following recent selling pressure. Axelar has emerged as one of today’s crypto top performers, rallying by an astonishing 90.2% in a single day and nearly doubling its price to $0.6041, underscoring renewed appetite for interoperability-focused projects. Hyperliquid also joined the rally, gaining 11.1% to trade at $39.29, further extending its weekly rise to 8.7%, supported by a growing narrative around decentralized liquidity protocols. Notably, these cryptocurrencies are leading a pack of other coins as the cryptocurrency market rebound after a slight dip over the weekend and into Monday. Amid this bounce back, the global market cap has jumped to $3.38 trillion. US-China trade talks optimism spurs BTC’s bullish momentum Bitcoin’s recovery follows a multi-day consolidation and reflects growing confidence as short-term headwinds appear to be fading. Fueled by a renewed wave of optimism around US-China trade talks , BTC rose nearly 4% since Monday, reversing losses triggered by cautious sentiment earlier this month. The latest round of trade negotiations in London has reignited hopes of tariff relief, boosting overall risk appetite across financial markets. Historically, positive developments in US-China relations have triggered broad-based rallies in equities and digital assets alike, and this round is proving no different. As a result, investors are reallocating capital from traditional safe-haven assets into high-yield instruments, with Bitcoin sitting at the forefront of that shift. Additionally, technical indicators such as the breakout from a bull flag pattern point to a potential price target near $158,000, giving traders a compelling reason to stay bullish. Ethereum is riding the institutional optimism Ethereum (ETH) has significantly outperformed Bitcoin (BTC) over the past day, rallying over 7% and strengthening its position above $2,670. The rise in ETH reflects increasing institutional confidence, with many traders interpreting the improved regulatory environment as a green light for broader altcoin exposure. Recent commentary from SEC Chairman Paul Atkins supporting DeFi self-custody rights has fueled this sentiment, offering clarity long sought by crypto-native developers and investors. Furthermore, Ethereum’s ecosystem is benefiting from heightened activity around staking and layer-2 adoption, helping reinforce its long-term growth narrative. As Bitcoin ETFs expand, some institutions are now exploring Ethereum allocations as a natural extension of their crypto strategies. Axelar explosion pegged on the hype around its platform Axelar’s 90.2% daily surge is among the most notable market moves this week, catapulting its market cap to $569 million amid explosive volume of over $353 million. The token’s sharp rally appears driven by a growing narrative around blockchain interoperability and the increasing importance of cross-chain communication protocols. As developers search for scalable and seamless ways to connect disparate blockchain ecosystems, Axelar’s value proposition is coming into sharper focus. Market participants are also speculating on the project’s potential involvement in broader institutional frameworks, adding fuel to an already accelerating rally. The 79.8% weekly gain further signals sustained buying pressure, pointing to continued confidence among both retail and strategic investors. Hyperliquid is extending its gains as DeFi rotation picks up Hyperliquid’s 11.1% daily rise builds on a strong weekly performance, with its price now hovering near $39.29 and its market cap topping $13 billion. The surge reflects renewed interest in DeFi-native tokens, particularly those focused on liquidity provision, decentralized exchanges, and derivative markets. Traders have increasingly turned to HYPE as a proxy for broader participation in decentralized financial infrastructure amid mounting skepticism toward centralized platforms. As derivative volumes climb and open interest continues to grow, projects like Hyperliquid are drawing in fresh capital, benefiting from structural tailwinds. The token’s rising price and expanding market cap suggest investors are positioning for further growth in decentralized trading ecosystems. FOMC uncertainty is fueling the crypto momentum While the various cryptocurrencies including Axelar, Hyperliquid, Bitcoin, Ethereum and others like Fartcoin and dogwifhat that have also seen double digit gains, are rebounding strongly, underlying macroeconomic tensions remain in play ahead of the Federal Reserve’s June 18 meeting. The CME FedWatch Tool shows a near-unanimous 99.9% expectation that interest rates will remain steady, driven by strong job data and sticky inflation. Despite external pressure, including rate cuts from the European Central Bank and vocal demands from Donald Trump, the Fed is unlikely to shift policy just yet. This policy consistency has brought some temporary relief to the crypto market, which often reacts sharply to changes in interest rate outlooks. At the same time, analysts are warning that certain bearish signals, such as a potential head and shoulders pattern on Bitcoin’s chart, could still drag prices lower. Nonetheless, with derivatives volume surging and over $195 million in shorts liquidated in the last 24 hours alone, bulls currently hold the upper hand. Crypto market outlook hinges on Fed and CPI data Looking forward, the crypto market’s resilience will be tested further as investors await both the FOMC decision and new inflation data from the Consumer Price Index. Should inflation cool and the Fed hold rates steady, the existing rally may extend, particularly if macro sentiment continues to favor risk assets. However, a surprise from either event could spark renewed volatility, keeping traders on edge despite the recent bullish surge. For now, Axelar, Hyperliquid, Bitcoin, and Ethereum are leading the charge, suggesting that investor sentiment is growing increasingly optimistic as the crypto market navigates a delicate macroeconomic landscape. The post Bitcoin, Ethereum, Axelar, Hyperliquid lead crypto bounce ahead of Fed meeting appeared first on Invezz

Source: Invezz