LMAX Digital volumes saw a healthy improvement from Monday. Total notional volume for Tuesday came in at $224 million, 19% below 30-day average volume.

Bitcoin volume printed $113 million, 37% below 30-day average volume. Ether volume came in at $46 million, 6% above 30-day average volume.

Looking at average position size over the past 30 days, we’re seeing average bitcoin position size at $7,819 and average position size for ether at $1,887.

Volatility remains subdued and continues to track at multi-month lows. We’re looking at average daily ranges in bitcoin and ether of $1,977 and $74 respectively.

Crypto is extending its recovery after Tuesday’s powerful breakout, with the move increasingly looking like a potentially defining moment for this cycle. Ethereum’s decisive break above the critical $1,850 resistance marks an important technical victory and opens the door for a more aggressive advance back above $2,000.

More broadly, the breakout strengthens the argument that the market has established its next major cycle low and is transitioning back into a longer-term bullish trend.

Attention now turns to Bitcoin, where the next major hurdle comes in around the June 15 high near $67,300. A sustained move above this level would reinforce the case for a broader structural shift higher.

A break through that resistance would likely attract fresh institutional and momentum-driven buying while increasing confidence in a renewed push toward the psychologically important $100,000 level and, ultimately, a retest of the record highs from late 2025.

The macro backdrop has become increasingly supportive following the softer-than-expected US inflation report, which has pushed Treasury yields and the US Dollar lower while improving appetite for risk assets across global markets.

While easier financial conditions have provided an additional tailwind for digital assets, crypto continues to demonstrate an ability to outperform on its own merits, with investors increasingly viewing the asset class as an attractive portfolio diversifier at a time when equity valuations remain elevated.

From a fundamental perspective, the pullback over the past several months appears to have strengthened the market rather than weakened it. Excessive leverage has been flushed out, and speculative projects lacking sustainable value have largely been washed away.

Capital is increasingly concentrating in higher-quality networks and protocols, leaving the sector on much firmer footing should broader investor participation continue to improve.

Looking ahead, regulatory developments remain an important catalyst. Market participants will be watching the renewed momentum behind efforts to advance the Clarity Act, with greater regulatory certainty viewed as a key ingredient for accelerating institutional adoption.

Combined with an improving macro backdrop and strengthening market structure, the medium-term outlook for digital assets continues to improve, particularly if Bitcoin can confirm the bullish technical shift with a decisive break above its next major resistance.