#MarketRebound As we move through February 2026, the #MarketRebound is becoming the defining narrative of the digital asset space. After a volatile start to the year that saw Bitcoin dip toward the $60,000 mark, the market is showing signs of structural resilience. This isn't just a "dead cat bounce"; it is a recovery driven by institutional maturation and the steady flow of capital into spot ETFs.
The total crypto market capitalization is currently stabilizing around $3.23 trillion. Analysts attribute this rebound to "exhausted selling"—where the weak hands have been flushed out, and long-term conviction holders are stepping back in. Unlike previous cycles, the 2026 rebound is anchored by real-world asset (RWA) tokenization and the integration of AI-driven DeFi protocols, which provide more fundamental value than pure speculation.
While Bitcoin dominance remains high at nearly 60%, the "Altcoin Season Index" suggests that liquidity is starting to rotate into high-performance ecosystems like Solana and Ethereum. However, caution remains. Investors are keeping a close eye on the U.S. Senate regarding the CLARITY Act, as regulatory milestones will likely determine if this rebound evolves into a sustained bull run. For now, the sentiment has shifted from "extreme fear" to "cautious optimism.