The crypto market is still struggling to fully shake off the fear that dominated most of April, even though Bitcoin and Ethereum prices have started to show signs of stabilization. The latest Crypto Fear & Greed Index from Alternative.me shows the market at 26, which keeps sentiment still in the fear zone. That is slightly better than last month’s extreme fear reading of 8.

Traders are no longer in panic mode, but they are also not confident enough to call the recovery safe and dive full-head on into Bitcoin and Ethereum.

Fear Has Eased, But Investors Are Still Not Comfortable

The crypto market opened May 2026 in a state of persistent anxiety, and the Fear & Greed Index chart shows just how fragile the recovery has been. At the start of April, the index was stuck in deep fear levels, with readings around 8 to 12 in the first week. That reading was due to heavy caution across the market, as Bitcoin and Ethereum struggled to recover from earlier selling pressure.

According to data from Alternative.me, the Crypto Fear & Greed Index is at a 26 reading on May 1, a three-point decline from the previous day’s reading of 29.

Fear And Greed Index. Source: Alternative.me

Sentiment improved gradually through the middle of the month, climbing into the 20s before briefly pushing into 46 and 67 on April 23 and April 27, respectively. Those two spikes were important because they showed that traders were beginning to respond to the rebound in prices when Bitcoin pushed above $78,000. 

However, the index has now fallen back to 26, meaning the market failed to hold the stronger sentiment seen last week. A move from 8 to 26 shows that extreme panic has eased, but a fall from 39 last week to 26 now shows that the confidence is not strong yet. 

Crypto Fear And Greed Index. Source: Alternative.me 

Can Bitcoin And Ethereum Recover?

Bitcoin posted a 12% gain across April, but the macro backdrop and profit-taking have prevented that momentum from translating into durable bullish sentiment. Nonetheless, Bitcoin has been the stronger side of recovery attempts in April. 

At the time of writing, Bitcoin is trading around $77,000, and it recently came close to breaking above $80,000 on Monday, April 27 before losing momentum. That rejection explains why fear is still high. The market still needs proof that the rebound can survive beyond short-term relief buying. A clean move above $80,000 would likely change the tone of the sentiment, and the Fear and Greed Index could start to flip positive.

Ethereum’s position is more complicated. ETH is trading at $2,274, with CoinMarketCap data showing a 24-hour gain of about 1% at the time of writing. That shows some short-term recovery, but Ethereum is still not leading the market in the same way Bitcoin is.

Bitcoin has benefited from stronger ETF inflows, while Ethereum has been more uneven with fewer inflows. In order for Ethereum to recover properly, it likely needs Bitcoin to first stabilize above resistance at $2,300. From here, the leading altcoin could start to post price recoveries in May.

Featured image created with Dall.E, chart from Tradingview.com

Gift Nifty surged nearly 400 points from its lows on Friday after the US Supreme Court struck down former President Donald Trump’s sweeping tariffs, a move that has also triggered a rally in US equities. The US top court rejected Trump’s use of the 1977 International Emergency Economic Powers Act to impose broad-based tariffs, ruling against one of the most controversial assertions of executive authority in recent years.

The decision has significant implications for global trade flows and financial markets that have been grappling with tariff-related uncertainty. Following the ruling, Wall Street’s main indices rallied on Friday, with investors interpreting the decision as a potential reset for global trade tensions.

Trump had made tariffs a central pillar of his economic and foreign policy agenda. Shortly after beginning his second term, he imposed levies under emergency powers legislation originally designed for national crises.

In April, under what he termed “Liberation Day” tariffs, a baseline duty of 10% was slapped on all imports into the United States, along with additional country-specific tariffs ranging from 15% to 50%. While several of these were later renegotiated and reduced, the broader tariff framework had remained in place.

The tariffs were projected to generate trillions of dollars in revenue over the next decade. However, they also sparked a global trade war, strained ties with key trading partners and contributed to heightened volatility in global financial markets.

The Supreme Court’s ruling effectively dismantles the legal foundation for those sweeping levies. This development could be a potential turning point in global trade dynamics, especially for export-oriented economies and multinational corporations that had adjusted supply chains around the tariff regime.

For India, the ruling comes at a crucial time when broader markets have been facing volatility due to Fed uncertainty and slump in IT stocks. Earlier this month, India and the United States reached an interim trade understanding aimed at easing tariff tensions.Under that arrangement, the US agreed to lower reciprocal tariffs on Indian goods to 18%, while India committed to reducing certain tariffs and non-tariff barriers on American imports. That agreement had already offered some relief to Indian markets, which had faced sustained pressure amid global trade uncertainties.

Now, with the broader tariff framework struck down, the landscape could shift again. It remains unclear how the US administration will respond and whether new trade measures could be introduced under different legal provisions.

Even by the standards of an institution that has set records for dysfunction in recent years, the Republican-led Congress in 2025 hit new lows for productivity.

Plagued by a razor-thin majority, intraparty divisions and a fear of doing anything that might draw President Trump’s ire, Speaker Mike Johnson toiled to keep the House running.

He left the chamber out of session for a nearly eight-week period that coincided with the longest government shutdown in history. He maneuvered to avoid politically difficult votes on canceling Mr. Trump’s tariffs, releasing the Epstein files and extending health care subsidies, ultimately prompting his own rank-and-file to team with Democrats to go around him and force action. And he presided over a free-for-all of censures and reprimands on the House floor as lawmakers’ frustrations boiled over.

Fed up with the toxicity and inertia, some Republicans, including once-loyal Trump allies like Representative Marjorie Taylor Greene of Georgia, headed for the exits, diminishing the majority’s already thin voting margin.

A look at some key metrics illustrates the cost and scale of the dysfunction.

The most basic: House members cast 362 votes in 2025, the second-lowest count in the last quarter century. The only other year in that time frame when the House cast fewer votes was 2020, when the COVID-19 pandemic hit the United States.

Roll call votes since 2001

Source: U.S. House of Representatives The New York Times

That was also the fewest votes cast in a nonelection year since 1990. Congressional leaders typically schedule less time in session in Washington during election years to allow lawmakers to return to their districts more frequently to campaign.

The record-low levels of activity in the House in 2025 contributed to the fact that very few bills were enacted into law.

Enacted bills passed by Congress since 2001

Notes: Chart shows bills that became public laws. Bills passed each January before a new session of Congress began are counted in the previous year. Bills that named government facilities, awarded congressional gold medals or appointed citizen members of the Smithsonian are excluded. Source: United States Congress The New York Times

The only other year since 2001 that Congress enacted fewer bills was 2023, a time of so much turbulence that far-right Republicans ousted their own speaker, Kevin McCarthy, for working with Democrats to pass spending legislation.

The lack of productivity that year could also be attributed to divided government: Republicans controlled the House, Democrats controlled the Senate and President Joseph R. Biden Jr. was running for re-election. But in 2025, Republicans had a governing trifecta in Washington, controlling both chambers of Congress and the White House.

While Congress moved uncharacteristically quickly to meet Mr. Trump’s demand that it deliver his tax cut and domestic policy law, Mr. Johnson also labored to quash measures the president opposed. He even resorted repeatedly to an arcane maneuver to ensure that the House would not be forced to vote on a measure to cancel his tariffs.

It was one example of how, under Mr. Johnson, the House marginalized itself last year, as Congress more broadly ceded its power to Mr. Trump.

The speaker also attempted to avoid votes on other measures the president opposed, including legislation to compel the Justice Department to disclose materials regarding Jeffrey Epstein, the convicted sex offender who died in prison in 2019; and a bipartisan bill to extend health care subsidies that expired at the end of 2025.

That generated so much resistance in his own ranks that it fueled a record number of successful efforts to go around Mr. Johnson and force legislation to the floor. That can be done by way of what is known as a discharge petition, which circumvents the normal process for bringing up a bill, which is controlled by the speaker, if a majority of House members sign a petition demanding it.

Historically, members of the majority were reluctant to embarrass their party’s leaders by using a discharge petition, and lawmakers feared retaliation for publicly supporting efforts to subvert the speaker. The efforts were viewed more as public statements of discontent than viable legislative vehicles. But in 2025, several succeeded and led to concrete action.

Discharge petitions that received at least 218 signatures since 2001

Source: United States Congress The New York Times

The Epstein measure was enacted last fall, and the House this month passed a bill to restore the health subsidies, though it has an uphill road to enactment in an election year.

As it has spun its wheels on legislation, the House has increasingly been consumed by partisan measures aimed at scolding and punishing each other. Official rebukes, once exceedingly rare and mostly reserved for egregious conduct or illegal acts, have become commonplace. Six of them came to the floor in 2025 for six different members.

Censures, reprimands and expulsions since 2001

Note: Only bills that underwent a floor vote or a procedural floor vote are shown. Source: United States Congress The New York Times

That number was on par with 2023, when members targeted four lawmakers, including George Santos, whom they expelled from Congress as he faced 23 federal criminal charges and was discovered to have lied to voters about much of his biography.

Ethereum is increasingly struggling to maintain a convincing bullish narrative as market sentiment continues to deteriorate. Price action remains fragile, and a growing number of analysts are openly discussing the possibility that Ethereum is transitioning into a broader bear market phase.

Repeated failures to sustain upside momentum have weakened confidence, while risk appetite across the crypto market continues to fade. As volatility persists and capital rotates defensively, ETH finds itself at the center of a debate between structural weakness in price and resilience beneath the surface.

According to a recent CryptoQuant report, Ethereum’s current state reflects a notable shift in supply behavior across exchanges. The Exchange Supply Ratio (ESR), which tracks the proportion of ETH held on centralized trading platforms, has been steadily declining across all major exchanges.

This trend signals that a smaller share of the circulating supply is readily available for immediate sale, a critical factor when evaluating supply-and-demand dynamics.

Historically, declining exchange balances suggest reduced selling pressure, as investors move assets into self-custody or long-term storage rather than preparing to liquidate. In the current environment, this structural change adds nuance to the bearish narrative.

Exchange Supply Declines Signal Structural Shift

The report highlights a pronounced decline in Ethereum’s Exchange Supply Ratio (ESR), reinforcing the view that supply dynamics are quietly shifting beneath the surface. Across all platforms, the ESR has fallen to approximately 0.137, one of its lowest readings since 2016.

This sustained drop reflects a steady outflow of ETH from exchanges into external wallets, signaling a reduced inclination toward immediate selling and a growing preference for long-term holding. Historically, similar patterns have emerged during re-accumulation phases or in transitional periods that follow extended volatility, often preceding more stable price behavior.

The trend is even more evident on Binance, where the ESR has declined to roughly 0.0325. As the exchange with the deepest liquidity, Binance’s balances serve as a key barometer for short-term supply conditions. The ongoing withdrawal of ETH from its wallets suggests a meaningful reduction in spot-side sellable supply, pointing to increased trader caution rather than aggressive distribution.

At the same time, Ethereum is trading near $2,960, a mid-range level that reflects a temporary equilibrium between buyers and sellers. The combination of falling exchange supply and relatively stable pricing indicates that the market is not under heavy selling pressure.

Instead, it appears to be entering a phase of liquidity absorption and strategic repositioning, where participants reduce exposure to short-term trades while preparing for a potential shift in market structure.

Ethereum Price Struggles Below Key Trend Levels

The daily ETH chart highlights a market that remains structurally fragile despite short-term stabilization. After failing to hold above the $3,200–$3,300 region, Ethereum has continued to print lower highs, confirming a loss of bullish momentum since late October. Price is currently trading around the $2,850–$2,900 area, a zone that has acted as a short-term demand pocket but lacks strong follow-through from buyers.

From a trend perspective, ETH remains below its short- and medium-term moving averages. The 50-day moving average has rolled over and is now acting as dynamic resistance, while the 100-day moving average is also trending lower.

The 200-day moving average sits higher, reinforcing the idea that Ethereum has shifted from a trending market into a corrective or distribution phase. As long as price remains capped below these levels, rallies are likely to be sold into rather than extended.

Volume dynamics reinforce this view. Recent rebounds have occurred on relatively muted volume compared to the heavy selling seen during prior breakdowns, suggesting reactive short covering rather than fresh demand.

Structurally, ETH needs to reclaim and hold above the $3,100–$3,200 range to rebuild a bullish case. Failure to do so keeps the risk tilted toward continued consolidation or a deeper corrective leg toward lower support levels.

Featured image from ChatGPT, chart from TradingView.com

Benchmark Sensex slipped by around 78 points to close at 84,482 on Thursday, marking its fourth consecutive day of decline. Amid the broader market weakness, six stocks from the BSE 200 index touched fresh 52-week lows. A 52-week low represents the lowest price a stock has traded at over the past year and is widely regarded by traders and investors as a key technical indicator for assessing a stock’s valuation and potential future price movement.

While the price of Ethereum is holding above $3,800 and is experiencing a renewed bullish action, there is also a noticeable newfound optimism among investors and traders. With ETH gradually regaining upside traction, a significant portion of ETH has been leaving crypto exchanges at a rapid rate.

Investors Are Pulling Ethereum In Droves

Ethereum’s recent price performance is witnessing a notable reaction from both investors and traders alike. An optimistic trend is currently being observed among these investors, showcasing renewed confidence in ETH’s price trajectory.

From the report shared by Merlijn The Trader, a crypto expert, it shows that Ethereum’s on-chain dynamics are tightening as exchange withdrawals surge to new highs. This withdrawal from crypto exchanges signals increasing investor conviction and a shift toward a long-term holding strategy.

What this implies is that more ETH are now being moved into self-custody or cold wallets and staking contracts. While investors are locking in for the long haul, this accelerating outflow is reducing the amount of supply that is available on crypto exchanges and can pave the way for a new stage of price growth in the face of increased scarcity.

After delving into the Ethereum Exchange Reserve metric, Merlijn The Trader highlighted that the overall ETH reserves have reached a new multi-year low.  The development suggests that supply is bleeding out and demand is heating up. According to the crypto expert, such movement of coins is how parabolas begin, suggesting that ETH might be nearing its parabola point.

Indicators are also reflecting the ongoing buying pressure around ETH by big money. Joe Swanson, a market expert and trader, has outlined a formation on Ethereum’s 4-hour timeframe chart that shows that bulls are gradually taking control of the price action.

Swanson stated that the price of ETH is exhibiting a Triple Bottom pattern, a classic sign that a breakout is on the horizon. As seen in the chart, this bullish chart formation is unfolding just close to the $3,750 price mark. In the event that the altcoin can move above the $4,000 level, a 10% upside move is highly likely to occur. With this anticipated leg-up, ETH’s value could reach around $4,280 in the short term. 

ETH Is Still Not Bearish

Even though Ethereum’s price has pulled back, its short-term outlook is still bullish. Examining its current trend, StockTrader_Max has predicted that ETH’s setup looks primed for a breakout. His prediction is backed by the fact that the chart is not displaying anything bearish.

Furthermore, the expert noted that Ethereum appears poised for a rise based on an Elliot Wave formation. As StockTrader_Max foresees a breakout, the analyst has debunked contradictory forecasts, calling them loads of rubbish. “There is nothing wrong with this chart; I have seen 0 invalidations or breakdowns,” the expert added.

ETH’s current setup increases the possibility of a $6,000 milestone in the following months. Thus, StockTrader_Max has warned investors to be careful of the analysts to listen to in the media, especially on X.

Featured image from Pxfuel, chart from Tradingview.com