Bitcoin pushed back above $70,000 on Tuesday morning East Asian time, completing a swift recovery from a weekend selloff that briefly dragged the biggest digital asset down to around $65,000.
The move higher came as volatility in energy markets eased after crude rose sharply on fears of disruption in the Strait of Hormuz. Bitcoin plunged along with risk assets during the initial shock, but quickly stabilized in the mid-$60,000 range – given Wall Street’s insulation from the energy crisis – before climbing again as markets digested the geopolitical headlines.
Market maker Enflux said the cryptocurrency showed remarkable resilience despite the magnitude of the energy shock.
“Bitcoin dipped below 66k during the initial risk-off wave, but quickly stabilized back in the 66k to 68k range,” the firm said in a note to CoinDesk. “Relatively, it outperformed stocks and even some traditional hedges.”
Institutional demand also remains supportive.
U.S. spot bitcoin ETFs drew about $568 million in net inflows last week, after $787 million the week before, according to data from SoSoValue, pushing cumulative net inflows across the products to over $55 billion.
Early data from SoSoValue shows Monday’s US inflows were about $57 million, although not all issuers had reported by the time of publication.
Onchain and derivative indicators suggest that the market is stabilizing after recent volatility, although conviction is not yet fully restored.
“Overall, conditions are stabilizing, with momentum, ETF demand and profitability metrics improving modestly,” analysts at Glassnode wrote in a recent report. “However, capital flows remain soft, speculative participation is limited and broader conviction has not yet fully returned.”
Prediction markets also turned more bullish as bitcoin bounced back.
On Polymarket, odds that BTC will reach $75,000 in March jumped to around 56% on Monday from around 34% a day earlier, highlighting how quickly trader expectations changed as the cryptocurrency regained the $70,000 level.
