Bitcoin rebounds on Trump remarks and reports of US-Iran contacts… Ethereum sees a 'short squeeze,' while XRP sends mixed sell signals [Soo-hyun Lee’s Coin Radar]

<Soo-hyun Lee’s Coin Radar> is a weekly column that tracks trends in the digital-asset (cryptocurrency) market and explains the drivers behind them. Going beyond a simple price roundup, it offers a multidimensional analysis of global macro issues and investor positioning, providing insights to help gauge market direction.

Major coins

1. Bitcoin (BTC)

Bitcoin rebounded this week, briefly reclaiming the $70,000 level. As of the 6th, it was still trading around $71,000.

One key driver of the advance was US President Donald Trump’s remarks on regulation. On the 4th (local time), Trump wrote on Truth Social, the social-media platform he created, about stablecoin regulation, criticizing that “the banking sector is effectively holding the crypto market structure bill (CLARITY Act.) hostage.” He stressed that “banks must reach an agreement with the crypto industry, and Congress should pass the bill quickly.”

The comments improved sentiment by fueling expectations that the regulatory environment could be reshaped in a more industry-friendly way. Interest intensified further after it emerged that, just ahead of the remarks, Trump held a private meeting with Coinbase CEO Brian Armstrong.

Geopolitical developments also influenced sentiment alongside political moves. On the 5th, The New York Times reported that Iranian intelligence authorities had conveyed—via indirect contact with the CIA—their willingness to discuss conditions to end the conflict. As the news spread, expectations for easing Middle East tensions grew. With risk appetite recovering, Bitcoin rebounded about 8%.

Still, investor sentiment has not fully recovered. In the options market, put options are trading at a premium about 10% higher than calls, indicating investors are still hedging downside risk.

On-chain indicators point to a similar tone. According to Glassnode, about 43% of Bitcoin currently in circulation is sitting at an unrealized loss based on purchase price. That compares with about 30% in late January, when Bitcoin was near $90,000—suggesting the volume of underwater supply has increased sharply. As a result, analysts say even if prices rebound, there may be supply from holders looking to sell at breakeven.

In the near term, the $70,000–$72,000 range is seen as a key resistance zone. Ayush Jindal, an analyst at NewsBTC, said “Bitcoin needs to break above and hold this zone for further gains.” Christopher Lewis, an analyst at DailyForex, also said “whether it clears $72,000 could be a key signal confirming buyers’ dominance.” Longer term, $60,000 is still viewed as a strong support level.

2. Ethereum (ETH)

Ethereum also rebounded this week, trading above $2,000. As of the 6th on CoinMarketCap, it was changing hands around $2,080.

Analysts say a short squeeze helped drive the move. According to investment outlet FXEmpire, Ethereum rose about 9% in a day, breaking above a key resistance level around $2,150, while volume climbed about 24%.

Large-scale short liquidations occurred in the process. Over roughly 24 hours, some $430 million in short positions were closed out, including about $100 million in Ethereum shorts. Forced liquidations of short positions amplified upward pressure.

A sharp pickup in market activity also stands out. According to CryptoQuant, Binance’s Ethereum turnover recently hit a six-month high. The amount of Ethereum traded over the past 30 days totaled about 29.6 million coins, the highest level since September last year.

Rising turnover means the same asset is changing hands multiple times over a short period—often seen when volatility increases or investors reposition.

On the outlook, the $2,100 zone is being cited as a key level. FXEmpire said buying interest in that area could open room for a move up to $2,750. FXStreet, meanwhile, flagged $2,150 as near-term resistance and projected that a breakout could lift prices to $2,300. However, if $2,000 fails, a drop toward $1,900 cannot be ruled out.

3. XRP (XRP)

XRP traded around $1.40 this week, posting a relatively limited upswing compared with other major coins. As of the 6th, it was trading at $1.41 on CoinMarketCap.

The relatively muted move appears to reflect on-chain data indicating mounting selling pressure. Glassnode data show that XRP’s exchange net position change indicator, which had pointed to outflows for about two weeks, has recently turned positive. In general, rising exchange inflows are interpreted as a signal of sell-side preparation.

Network activity also appears to be slowing. The number of payment transactions on the XRP Ledger (XRPL) fell about 53%, to roughly 1.03 million from 2.18 million. Trading volume on the XRPL decentralized exchange (DEX) also plunged about 83%, to $5.09 million from $30.85 million.

However, the derivatives market is sending another signal. XRP futures open interest rose about 18% from March 2 to 5, and funding rates shifted from negative to positive territory, indicating an increase in long positioning.

More recently, as prices moved sideways, both open interest and funding rates have declined again, suggesting some leveraged positions are being unwound.

In terms of price levels, the $1.41–$1.47 range is being cited as a key pivot. Crypto outlet BeInCrypto said that a breakout could complete a cup-and-handle pattern, with a target at $1.59 and then potential to extend into the $1.70 range. However, it noted support at $1.37–$1.33 must hold, and a drop below $1.26 could invalidate the bullish structure.

Issue coin

1. Sui (SUI)

Among altcoins, Sui drew attention this week. After rising as high as around $0.98 on the 5th—nearing the $1 mark—it has since given back most of the gains and is trading around $0.95.

A key catalyst for the move was a stablecoin launch event. On the 5th, Sui introduced its native stablecoin, Sui Dollar (USDsui), on mainnet. The market reacted quickly after launch, pushing Sui up about 6% over roughly 24 hours, though it later surrendered most of the advance.

Sui Dollar is issued by Bridge, a subsidiary of payments firm Stripe. Built on Bridge’s “Open Issuance” platform, it is designed as a digital dollar aimed at global payments and scalable finance. With the launch, it became usable across Sui-based DeFi services such as Slush, Bluefin, and Scallop, and it also supports interoperability with other stablecoins. In that sense, the event is being viewed as meaningful for ecosystem expansion.

Still, there is also a cautious view on near-term price action. Market participants say that while stablecoin adoption and DeFi expansion are positive over the long run, it is difficult to conclude the token has shifted into a strong uptrend yet. Technically, the area around $1 is highlighted as a major resistance level. If it fails to break above that zone, analysts say range-bound trading could persist for the time being.

Soo-hyun Lee, reporter at Bloomingbit shlee@bloomingbit.io