Bitcoin Above $60,000, Ether Up 8%: Why Crypto Investors’ Risk Appetite Has Reawakened

After a prolonged sell-off, sentiment on the market has noticeably improved. Cautious hope that the US Federal Reserve might cut its lending rate proved enough for crypto investors to grow bolder again and return to buying. Bitcoin and major altcoins turned upward, and the risk appetite that had nearly vanished in recent weeks began to come back. Still, it is too early to talk of a full-blown reversal: the rise looks cautious, and traders continue to act with an eye on macroeconomics and the regulator’s decisions.

What Happened During the Week

From June 26 to July 3, 2026, bitcoin gained about 2%. The first cryptocurrency rose back above $60,000, though as recently as Wednesday, July 1, it was trading below $58,000. The move was modest but important: it broke the downtrend and showed that crypto investors are ready to step back into positions at the very first positive signals. It is worth noting that similar bounces in recent months have often turned out to be short-lived, so even optimists took the rise with restraint and without excess euphoria. Trading volumes, meanwhile, remained moderate: the sharp surge in activity that usually accompanies the start of a strong trend is not yet visible. This once again underscores that this is more about feeling out a bottom than the start of a powerful new wave.

The main driver was not a loud headline but dry macro data. It was precisely the US economic figures that set the tone for the whole week and brought some buyers back to the market.

Weak US Labor Data Became the Catalyst

The push for growth came from fresh US employment statistics. According to the US Bureau of Labor Statistics, in June the number of jobs in the non-farm sector grew by only 57,000 — against a consensus forecast of 113,000. At the same time, unemployment fell from 4.3% to 4.2%.

A weak employment report is a signal of a cooling economy, and for crypto investors it paradoxically turned out to be good news. The weaker the statistics, the higher the chance that the regulator will ease policy. And cheap credit traditionally fuels risk appetite and pushes investors toward buying risky assets. A slowdown in hiring often becomes the first warning sign for the regulator, and traders quickly price this scenario into their expectations without waiting for official statements.

Why This Matters for the Fed Rate

The logic is simple. When the economy slows, the Fed tends to cut the rate to support business activity. A lower rate means cheaper money, which means investors have more incentive to put funds into profitable but risky instruments like cryptocurrencies.

That is precisely why the weak employment report muted fears about a near-term rate hike. Against this backdrop, some crypto investors reconsidered their sentiment: whereas many previously expected tightening, a softer scenario is now increasingly priced in. For the sector, this became a signal for cautious buying. That said, much depends on whether the next data confirm the emerging trend or whether it turns out to be ordinary statistical noise not followed by any real policy easing. Analysts remind us that the regulator makes decisions not on a single report but on a body of data over several months. So even weak statistics do not guarantee a quick rate cut and cheaper credit anytime soon.

How Other Altcoins Reacted

It was not only ether that posted gains. Riding the wave of general optimism, other large coins also rose: Solana, XRP, and BNB added value too, albeit more modestly than the leaders. This is a typical picture for a recovery phase — money first flows into bitcoin, then into ether, and only later does the wave reach the remaining altcoins.

That said, the movement across altcoins remained uneven. Some coins recovered almost their entire drop, while others barely budged. Such selectivity suggests that players are not yet ready to buy everything indiscriminately and prefer proven assets with high liquidity. The mass inflow of capital into small coins characteristic of a full-fledged bull cycle was not observed this week.

Ether Outperformed Bitcoin

The second-largest cryptocurrency by capitalization performed even better than the first. From June 26 to July 3, ether rose 7.95%, bouncing off a bottom around $1,500 and climbing above $1,700. The bulk of the growth came on Thursday, July 2, when ETH gained a full 5.64% in a single day.

Such dynamics suggest that crypto investors have again begun eyeing more volatile assets. When risk appetite grows, capital flows more readily from bitcoin into altcoins, and ether, as the liquid leader of the segment, usually benefits first. That said, it is too early for crypto investors to celebrate: a single successful bounce is not enough to reverse the whole industry. Nevertheless, ether’s leading performance is a good sign: broader recovery of the digital-asset segment usually begins precisely with it.

The Fear and Greed Index: Fear Still Rules

Despite the rise in prices, sentiment remains subdued. The Fear and Greed Index added eight points over the week, climbing to 21. This is still the zone of extreme fear, and it accurately reflects the real state of crypto investors’ minds.

Such a divergence — when prices rise but the index signals fear — is typical of an early recovery stage. Crypto investors do not yet believe in the durability of the rise and act warily. On the one hand, this limits the rally’s potential. On the other, it leaves room to run: as long as fear prevails on the market, there is room to grow if crypto investors finally come to believe in the reversal. History shows that the best entry points often occur exactly when fear, not greed, dominates sentiment — it is just that in such moments this is rarely obvious. Experienced crypto investors often use such phases to gradually build positions, whereas beginners, on the contrary, give in to panic and sell at local lows. That is why the sentiment index is more useful as an additional reference point than as a direct call to action: it merely reflects the mood of the crowd, while it is usually those who keep a cool head who earn.

Crypto Investors Returned to Buying

The key takeaway of the week: after a sell-off period, crypto investors decided to return to buying digital assets. This is not euphoria but rather cautious optimism — the buying is proceeding carefully, without hype and without a mass influx of new money into the market.

Importantly, the week was calm in political terms: there was no serious geopolitical news, and nothing prevented crypto investors from focusing on macroeconomics. In such an environment, even a small dose of positivity can turn the market around — which is what happened when crypto investors priced in the US business-activity statistics. Tellingly, the buying went mainly into large, liquid coins. Crypto investors chose reliability over the chase for high returns in small tokens, which also points to lingering caution.

Flows Into Spot ETFs

A separate health indicator is the flows into spot exchange-traded funds for bitcoin and ether. It is precisely through ETFs that the money of institutional players enters the arena, and their behavior often leads price movements. During the week of growth, inflows into the funds remained restrained, which only confirms the overall cautious mood.

As long as large players are in no hurry to build positions aggressively, a sustained rally is hard to expect. Moderate inflows support quotes but do not create the momentum that would take bitcoin and ether to new highs. It is the dynamics of the funds in the coming weeks that will show whether this is a full-fledged reversal or merely a temporary breather after the sell-offs.

What’s Next for the Market in the Near Term

Further dynamics largely depend on the Fed’s rhetoric. If signals of policy easing are confirmed, crypto investors’ risk appetite will keep growing, and the market will get a chance to consolidate above current levels. In an optimistic scenario, bitcoin will hold the $60,000 line, and ether will try to build on its success.

But relying on a single report is not advisable. US employment is just one factor, and the next batch of statistics could easily swing sentiment back. For now, crypto investors act situationally: stepping in on positive news and quickly taking profit at the first signs of weakness. Much will also depend on overall risk appetite in traditional markets: when stocks rise, capital more readily goes into digital assets too, and the link between stock indices and cryptocurrencies has only strengthened in recent months. Such a tactic of short trades is typical of an uncertain period, when there is no single trend yet and the news backdrop changes almost daily.

Risks and What to Watch

The main risk is disappointment over the rate. If the Fed takes a hawkish stance, crypto investors’ optimism will quickly fade, and the market will return to sell-offs. The extreme fear in the sentiment index indicates that confidence is still fragile.

What to watch: the Fed’s decisions and statements, fresh employment and inflation statistics, and flows into spot ETFs. An inflow of funds into the products will confirm that crypto investors are seriously returning to the market, while an outflow, conversely, will point to a return of caution. It is precisely these signals, not emotions, that will help crypto investors make well-considered decisions.

Conclusion

The week at the turn of June and July turned out well for cryptocurrencies. Weak US labor data revived hopes of a rate cut, and crypto investors seized the moment to return to buying. Bitcoin bounced back above $60,000, ether added nearly 8%, and risk appetite began to recover.

Nevertheless, it is premature to speak of a sustained reversal. The Fear and Greed Index is still in the zone of extreme fear, and the rise itself rests on cautious optimism. Much will be decided by the Fed’s stance: it is what will tell crypto investors whether to increase risk or retreat to defense again. Until then, the situation will most likely remain in a state of fragile equilibrium. In such conditions, it is wise for investors to maintain discipline, not give in to emotions, and closely watch macro signals rather than short-term jumps in quotes. Nor should technical levels be forgotten: a hold above $60,000 will strengthen the bulls’ position, while a return below $58,000 could quickly bring back sellers and cool the recent optimism.