Bitcoin and other crypto slipped around the U.S. stock market open but quickly recovered, with BTC above $69,000. Analysts said bitcoin’s latest drawdown—the steepest since the 2024 halving—came on low spot trading volumes, suggesting retail investors have largely stepped aside while leveraged derivatives drive price moves. Following the usual pattern, crypto markets fell as U.S. stocks opened but recovered most losses in a similarly quick fashion. In mid-morning trade, bitcoin was around $69,200, down marginally from 24 hours earlier.
Ether underperformed, down 1.8%, with XRP and Solana softer. Wintermute said bitcoin is likely to remain in the current range as it is in price discovery. Kaiko noted that the drawdown occurred on low spot trading volumes, reinforcing the pattern of crowded positions influencing prices, and Wintermute cited last Friday’s rebound as a short squeeze in perpetual futures, underscoring how volatility returned after a period of complacency.
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