Bitcoin was back above $70,000 on Tuesday morning ET, recovering quickly from a weekend sell-off that once dragged the largest digital asset to around $65,000.
Oil prices were higher as energy market volatility eased as crude prices soared amid fears of disruption in the Strait of Hormuz. Bitcoin fell along with risk assets during the initial shock, but soon stabilized in the mid-$60,000 range (given Wall Street’s immunity from the energy crisis) before climbing again as the market digested geopolitical headlines.
Market maker Enflux said that despite the magnitude of the energy shock, cryptocurrencies have shown significant resilience.
“Bitcoin fell below 66k in the initial risk-off wave, but quickly stabilized back into the 66k to 68k range,” the firm said in a note to CoinDesk. “Relatively speaking, it performed better than stocks and even some traditional hedging tools.”
Institutional demand also remains supportive.
Data from SoSoValue shows that the U.S. spot Bitcoin ETF attracted about $568 million in net inflows last week, compared with $787 million the previous week, pushing the product’s cumulative net inflows to more than $55 billion.
Early data from SoSoValue showed U.S. inflows of about $57 million on Monday, but not all issuers had reported them by press time.
On-chain and derivatives indicators suggest that the market is stabilizing after recent volatility, although confidence has not yet fully returned.
“Overall, things are stabilizing, with momentum, ETF demand and profitability metrics improving slightly,” Glassnode analysts wrote in a recent note. “However, capital flows remain weak, speculative participation is limited and broader belief has yet to fully return.”
As Bitcoin rebounds, prediction markets have become more bullish.
On Polymarket, the likelihood of BTC reaching $75,000 in March jumped from about 34% the previous day to about 56% on Monday, underscoring how quickly trader expectations have changed as the cryptocurrency returns to $70,000 levels.
