The Crypto Fear and Greed Index rebounded from its recent lows, showing diminished concerns of a bear market. However, several crypto stocks have posted huge losses, and gold is surging towards an all-time high.

The constant market volatility has helped exhaust short-term and speculative traders, rebuilding a little stability. The latest US CPI report was better than expected, and it may help create interest rate cuts for a more long-term solution.

Have We Avoided a Crypto Bear Market?

Over the past few weeks, rumors of a bear market have circulated through the crypto space. Two weeks ago, the Crypto Fear and Greed Index reached its lowest level since the FTX collapse, and recession fears have kept markets reeling.

However, the Index now reports a significant rebound, and crypto traders are evidently regaining some confidence.

The pertinent question, then, is why has this happened. By all accounts, crypto investors have a lot of reasons to fear a bear market.

Several private firms that maintain significant Bitcoin holdings, like Metaplanet, MicroStrategy, and Marathon, all recorded double-digit percentage drops in their stock value this week.

Meanwhile, traditional assets like gold are spiking.

Gold is a risk-off asset, and cryptoassets are generally considered risk-on. If fears of an imminent recession define the TradFi market, this will have a negative impact on investments in the crypto space.

However, a few points could diminish fears of a crypto bear market. For one, the US CPI report for February was less bad than expected, which may help fuel future cuts to US interest rates.

Since the report dropped, Bitcoin and other cryptoassets recovered a little, and some corporate BTC holders like Tesla also posted a slight rebound. This optimism may or may not prove fragile, but it’s helped keep the market upright.

More importantly, the constant volatility in this market might be causing some benefits. As President Trump repeatedly flip-flopped on tariffs, crypto sentiment has yo-yoed between bear market fears and resurgent optimism.

This has exhausted most of the short-term and speculative traders in this market, at least for the time being.

In short, all capital markets are in chaos right now. Parts of the crypto market are showing cautious optimism, but all the ingredients of a bear market are still in play.

The industry has been agitating for interest rate cuts, but it may face serious hurdles. Ultimately, we’ll need a major bullish development to dispel these lingering market fears.

Celestia (TIA) has shown a recent recovery, reaching $3.60 after a 31% rise in the past 48 hours. This price action helped the altcoin recover most of its recent losses. 

However, despite the positive movement, further gains might be challenging as signs point to potential consolidation in the near future.

Celestia Is Heading In No Direction

The Bollinger Bands are closing in on a squeeze, signaling that volatility in Celestia’s price could be coming to an end. Historically, such squeezes have often been followed by periods of price stabilization, where the price moves sideways. 

This suggests that while TIA has seen some positive movement, it may struggle to pick a clear direction in the short term. During this time, TIA might hover between the support and resistance levels, awaiting stronger market cues to spark a breakout in either direction.

In terms of macro momentum, Celestia’s market sentiment is being influenced by the Chaikin Money Flow (CMF), which has remained below the zero line for the past few days. This indicator shows that capital inflows into Celestia have been relatively weak.

While the CMF’s position below the zero line typically signals bearish sentiment, the absence of strong volatility could prevent further declines. This lack of momentum may keep TIA from experiencing a sharp drop, but it also limits its ability to build on recent gains.

TIA Price Needs A Push

At the time of writing, Celestia’s price is holding steady at $3.60, comfortably above the $3.50 support level. However, it is still under the resistance of $3.83, which has historically been a challenging barrier for the altcoin. Despite the 31% rise over the last 48 hours, this resistance may continue to pose challenges for Celestia’s upward movement.

Given the current market conditions, Celestia is likely to face some struggle beneath the $3.83 resistance. The price could consolidate within a range between $3.83 and $3.50 until stronger market signals prompt a breakout. The consolidation phase may keep the price contained, delaying further price movement for the time being.

On the other hand, if Celestia successfully breaches the $3.83 resistance level, it could pave the way for further recovery, potentially driving the price to $4.50. A successful breakout beyond this level would invalidate the bearish-neutral outlook and could trigger a new phase of growth for Celestia.

Onyxcoin has taken a significant hit, plunging 15% over the past week amid broader market volatility. At press time, the altcoin exchanges hands at $0.0132, noting a 1% price dip amid the general market rally.

While other assets attempt to recover, XCN remains trapped in a strong bearish cycle, with technical indicators pointing to the possibility of further losses.

XCN Bears Dominate as Price Trades Under Major Resistance Zones

Readings from the XCN/USD one-day chart show the altcoin trading below its 20-day exponential moving average (EMA). This forms resistance above its price at $0.0137.

The 20-day EMA measures an asset’s average trading price over the past 20 days, giving more weight to recent prices for a smoother trend analysis. 

When the price falls below this key moving average, it signals weakening momentum and a downtrend as sellers gain control. This indicates that XCN could face further losses unless strong buying pressure reverses the decline.

Furthermore, the altcoin trades significantly below the Leading Spans A and B of its Ichimoku Cloud, supporting this bearish outlook.

This indicator measures the momentum of an asset’s market trends and identifies potential support/resistance levels. When the price falls below this cloud, the asset in question is witnessing a downtrend. In this scenario, the cloud also acts as a dynamic resistance zone, reinforcing the downtrend. 

For XCN, its Ichimoku Cloud forms dynamic resistance above its price at $0.0154 and $0.0300, highlighting the strong downward pressure on the coin’s price. 

XCN Bears in Control – Breakout or Breakdown Next?

XCN’s price has remained within a descending parallel channel that has kept its price in decline since January 25. With strengthening selling activity, the altcoin may stay in this bearish pattern and extend its decline.

If this happens, XCN’s price could plunge to $0.0117. 

However, if buying pressure gains momentum, XCN’s price could rally past the $0.0137 resistance of its 20-day EMA and attempt to cross $0.0154.