Bitcoin climbs back above $75,000
Bitcoin moved back above $75,000 after the U.S. open on Monday, recovering from a weekend dip. TradingView data showed BTC/USD up about 0.8%. The pair had slipped to $73,500 on Sunday, a level last seen on Aug. 21. The move came as tech stocks also found buyers after an early sell-off tied to Nvidia.
Nvidia news rattles stocks, then buyers step in
Nvidia shares fell around 6% to $170.24 in early Monday trading. Reports said CEO Jensen Huang may have been the target of a Chinese intelligence effort, a claim Beijing denied. The stock later rebounded to a session high of $179.92. Dan Ives of Yorkville Ives & Co. warned the episode could weigh on Nvidia for a while and likely invite congressional scrutiny. Former SEC chair Gary Gensler said the board would face tough choices after its internal review. Even so, the Nasdaq Composite gained 2.5% in the first hour, suggesting investors were willing to step back in.
Oil and market correlations
Falling oil prices helped risk assets. U.S. WTI crude dropped to $86.19 per barrel, its lowest since Sep. 1, before recovering to around $88.20. Economist Robin Brooks repeated that gold, Bitcoin and the S&P 500 have shown a negative correlation to oil since the September attack on Saudi Arabia’s East-West Pipeline. He argued that a drop in oil prices can lift these risk assets, even if the relationship weakens over time.
Bitcoin’s technical test
Bitcoin traded in a narrow band between its 21-week and 50-week simple moving averages on Monday. Those levels sat at $73,078 and $75,492. Keith Alan, cofounder of Material Indicators, said thin order books and the broader market structure leave room for another push lower before a breakout is confirmed. He pointed to the 200-week SMA at $67,755 as a possible test. I think the key word is possible, not certain, and he noted the weekly view is starting to look more constructive. Crypto liquidations remained high. CoinGlass put the 24-hour total at $1.2 billion as of 5 p.m. UTC.
