Bitcoin recovered on Monday after a volatile trading week that briefly wiped out all its year-to-date gains as risk sentiment in the cryptocurrency market stabilized.
The world’s largest digital asset rose 1.7% to trade around $95,040, according to Bloomberg pricing.
The rebound follows a sharp correction driven by concerns that early optimism over the Trump administration’s crypto-friendly posture may not translate into immediate policy changes.
Analysts say the market is recalibrating expectations on regulatory relief and institutional adoption timelines.
Ether, the second-largest cryptocurrency by market value, climbed 3.8% to $3,189, extending support across major altcoins.
Broader crypto sentiment also improved as equities and technology-related assets gained momentum ahead of U.S. economic data releases later this week.
U.S. Federal Reserve officials continue to signal uncertainty on the potential for a December interest rate cut, adding another layer of caution to digital-asset markets.
Higher interest rates typically weigh on speculative assets such as cryptocurrencies.
Meanwhile, investors are monitoring U.S. legislative developments related to digital asset oversight and the White House’s evolving stance on cross-border cryptocurrency flows.
Market participants expect more clarity when Congress reconvenes on pending financial-sector reform proposals.
Despite recent volatility, Bitcoin remains well-supported by institutional positioning, ongoing exchange-traded product flows, and expectations for continued developments in blockchain-based financial infrastructure.
With markets awaiting the release of delayed U.S. economic indicators this week, analysts say price swings could persist as traders reassess risk appetite and liquidity conditions heading into year-end.