Traders are closely watching Bitcoin’s next moves as the market navigates a choppy pullback. “The short-term setup has shifted into a choppy pullback, with markets watching whether BTC can stabilize within the $90,000–$91,000 support zone,” one trader noted.

Major cryptocurrencies saw gains of up to 5% on Thursday, with Bitcoin hovering above $93,000. Some traders cautioned that the move could be a potential “fake-out” amid persistently high market volatility.

Cardano’s ADA jumped 5% following the approval of a 70 million ADA proposal aimed at boosting on-chain activity, marking the first governance vote of its kind. Ether rose 4% as the Fusaka upgrade went live, designed to help the Ethereum network better manage large transaction batches from layer-2 networks.

Attention remains on whether Bitcoin can hold support in the $90,000–$91,000 zone. Market positioning is still fragile after a sharp liquidation cycle earlier in the week, though the broader crypto market continues attempting to carve out higher lows following late-November’s drawdown.

On December 3, the crypto market saw broad gains as Bitcoin briefly climbed above $93,000 before quickly retreating. Analysts at Bitunix described the price action as a potential “fake breakout.” They noted, “The short-term setup has shifted into a choppy pullback, with markets watching whether BTC can stabilize within the $90,000–$91,000 support zone. On the upside, $93,200 has emerged as the new resistance band.”

ETF flows highlighted a familiar pattern: Bitcoin funds saw $58.5 million in inflows, while Ether products recorded $9.9 million in outflows. This reflects a continued rotation of capital toward Bitcoin, as institutional investors remain more comfortable adding BTC exposure amid macroeconomic uncertainty, while Ether faces modest, steady withdrawals.

Macro developments are also shaping risk sentiment. U.S. President Donald Trump signaled plans for tighter control over the Federal Reserve through key personnel decisions, indicating that he may announce his Fed Chair nominee early next year. Kevin Hassett, widely seen as dovish and supportive of lower rates, has been suggested as his preferred choice. Markets have started pricing in the possibility of a more accommodative framework in 2025, despite inflation remaining above target and the labor market showing little sign of cooling.

Investor sentiment received an additional boost from institutional developments. Vanguard opened access to crypto ETF trading for clients on December 2, reversing years of resistance to digital assets. Separately, Bank of America informed institutional clients that portfolios may allocate 1%–4% to cryptocurrencies.

The broader crypto market capitalization has climbed to $3.15 trillion, forming a higher local peak and indicating early attempts at trend formation, though caution persists below the $3.38 trillion threshold.