Cryptocurrencies: “Bitcoin Makes a Comeback”

Crypto enthusiasts are seeing a glimmer of hope. Bitcoin has left its lows behind. Demand for crypto ETNs is picking up. However, due to geopolitical uncertainties, many expect volatility to remain high.

April 23, 2026. FRANKFURT (Deutsche Börse). Cryptocurrencies are on the rebound—especially Bitcoin. The drivers behind the recent upward trend: positive sentiment surrounding tech stocks and a slight easing of tensions in the Iran conflict. U.S. President Trump has unexpectedly extended the ceasefire with Iran. Purchases by MicroStrategy are cited as another reason. The company, led by Michael Saylor, is said to have bought Bitcoin again.  

Bitcoin is trading at just under $78,000 on Thursday morning. It hit a low of under $61,000 in February, but reached an all-time high of nearly $126,000 in October of last year. Ethereum has also recovered somewhat and is now trading at $2,340. However, its losses relative to its all-time high are even greater. The situation looks even worse for Solana, which is down 70 percent from its record high.

“Market volatility at elevated levels in the short term”

According to Andre Dragosch of Bitwise, the rise in Bitcoin is also due to increased uncertainty about the future of the dominant reserve currency—the U.S. dollar. The war in Iran has weakened the existing petrodollar system and boosted alternative stores of value like Bitcoin. “The fact that Bitcoin is now accepted for toll payments in the Strait of Hormuz speaks volumes.”

According to Dragosch, the Bitwise “Cryptoasset Sentiment Index” has now reached its highest level since January 2026 and signals a slightly bullish sentiment. “This points to a return of general risk appetite.” However, renewed geopolitical tensions—particularly around the Strait of Hormuz—are likely to keep market volatility at an elevated level in the short term.

“Interest Rate Cuts Pushed Into the Future”

Since the start of the year, Bitcoin is still down 11 percent. Dovile Silenskyte of the issuer WisdomTree attributes this to the general macroeconomic environment. “Interest rates remain relatively high, and expectations regarding rate cuts have shifted further into the future,” she explains. Nevertheless, Bitcoin’s volatility is not unusual. “The annualized 90-day volatility remains at just under 60 percent, which is largely in line with the long-term historical average.”  

Inflows Return for the First Time

The recovery is also reflected in the ETN market: “Investment products for digital assets recorded inflows of $1.4 billion last week, marking the third consecutive positive week and the strongest figure since January,” reports issuer CoinShares. According to WisdomTree, inflows into physical Bitcoin ETNs had already resumed in March. For the first quarter, however, WisdomTree still reports outflows of just under $500 million for the U.S., with inflows of a similar magnitude for Europe.

Trading Picks Up Again

The recent rise in cryptocurrency prices is also making itself felt in crypto-ETN trading. “For about a week and a half now, we’ve been seeing increased demand for crypto-ETNs,” reports Janis Völker of Lang & Schwarz. The clear focus: Bitcoin, followed by Ethereum. The smaller coins played no role. ICF trader Ivo Orlemann also reports slightly more buying. Particularly in demand among ICF clients: the Invesco Physical Bitcoin (XS2376095068).