Markets
Crypto bounces back from the brink as altcoin optimism returns despite pockets of weakness
BTC holds at $62,800 after last week's brush with $58,000, while LIT surges 50% and the Altcoin Season indicator hits its highest reading in three months.
By Oliver Knight, Omkar Godbole|Edited by Sheldon Reback
Jul 6, 2026, 10:44 a.m.
2 min read
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Bitcoin price (CoinDesk data)
Summary
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Bitcoin is trading at $62,800, recovering from a July 1 dip below $58,000 that raised concerns of a slide toward $50,000.
Both bitcoin and ether have dropped since midnight UTC, diverging from Nasdaq 100 and S&P 500 futures, which rose after the long weekend.
Lighter (LIT) is emerging as a focal point for traders seeking the next hyperliquid, rising 13.5% in 24 hours and more than 50% in a week as its decentralized derivatives exchange accumulates $40 billion in 30-day trading volume.
CoinMarketCap's Altcoin Season indicator climbed to 52/100, its highest in three months.
Bitcoin BTC$63,439.38 is trading at $62,800 on Monday, a notable turnaround from July 1 when it dipped below $58,000 to its lowest level since September 2024 and raised concerns of a slide toward $50,000.
Ether (ETH) staged a similar recovery, trading at $1,760 after bottoming out around $1,550 last week. The two largest cryptocurrencies spiked higher at Sunday's futures open, but have given back around 1% of those gains since midnight UTC.
The pullback represents a divergence from traditional markets, where Nasdaq 100 and S&P 500 index futures are trading up 1% and 0.5%, respectively, following the long weekend.
The altcoin market is split. Lighter (LIT) continues to impress, now up more than 50% over the past week, while MORPHO$1.9910 and ADA$0.1789 are both nursing losses of around 4% in the past 24 hours.
Derivatives positioning
The futures market is steady, with open interest in bitcoin BTC$63,439.38, ether (ETH), solana (SOL) and XRP (XRP) largely unchanged over the past 24 hours, likely due to the extended U.S. weekend.
Open interest in LTC$44.17 has jumped to 7.14 million tokens, the most since May 12. It is unclear whether the capital inflow is bullish or bearish. Key indicators are sending mixed signals: Positive funding rates point to bullish sentiment, yet the 24-hour cumulative volume delta (CVD) has turned negative, indicating sellers have been more aggressive by hitting market orders rather than posting passive limit orders.
Open interest in Lighter DEX’s LIT token is also rising, reaching one-month highs as the bullish tokenomics overhaul supports its price.
Bitcoin's and ether’s 30-day implied volatility indices, BVIV and EVIV, remain under pressure after double-digit weekly declines, reflecting continued supply of options. This points to expectations of calmer market conditions, which often accompany price upswings.
Still, on Deribit, BTC and ETH puts continue to trade at a premium to calls, signaling persistent downside concerns — although the gap has narrowed since early last month.
Volumes show no clear bias, as BTC’s $60K put and $70K call rank among the most traded strikes over the past 24 hours.
Token talk
Lighter's (LIT) barnstorming rally of late continued on Monday, adding 5% since midnight UTC and taking its 24-hour gain to 13.5%, building on momentum as traders look for the next hyperliquid (HYPE).
LIT is the native token of its namesake decentralized derivatives exchange, which has racked up $40 billion in trading volume over the past 30 days, according to DefiLlama.
It was also a strong start to the week for PYTH, up by 6% since midnight UTC as traders rotate bitcoin gains into more speculative altcoin bets.
CoinMarketCap's Altcoin Season indicator ticked up to 52/100 on Monday, the highest level in the past three months, suggesting optimism is returning to the altcoin sector.
However, that indicator is lagging as a result of poor performance from a portion of the market including JITO, BEAT and STABLE, each having lost between 5% and 13% over the past week with further losses on Monday.
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