Bitcoin extended its Sunday rebound, rising roughly 7% from a late weekend low and approaching $71,000 as stocks and gold traded in a narrow range. Analysts point to waning seller fatigue, shifting correlations with gold, and improving ETF inflows as the primary drivers behind the move. The movement comes amid a risk-off backdrop influenced by geopolitical tensions and energy supply concerns.
Over the past five days, the spot Bitcoin ETF IBIT advanced about 3.75% while the iShares Expanded Tech-Sector Software ETF (IGV) fell roughly 2.45%, highlighting divergent momentum within risk assets. The price action has fed cautious optimism that the crypto market may be stabilizing after months of declines, with ETF demand viewed as a potential catalyst for further gains.
March ETF inflows have rebounded, with IBIT drawing nearly $1 billion after outflows exceeding $3 billion from November through February. Analysts say continued ETF demand could support Bitcoin through the second quarter. Moreover, a recent shift in the BTC–gold correlation toward positive territory, along with a softer dollar, suggests a nuanced shift in risk sentiment around geopolitical tensions.
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