Bitcoin It has fallen back below $75,000, underscoring the fragility of its rebound to a six-week high in early Asian trade.
Prices rose to $75,912 early Tuesday, the highest level since February 4, according to CoinDesk data. 10x Research pointed to activity in derivatives markets as the main driver of the rally. Specifically, the end of a large number of bearish bets related to $60,000 puts could fuel the upside.
Additionally, when these puts are closed, the market maker on the other side of the trade needs to rebalance their exposure. This process may involve the purchase of Bitcoin, which could generate flows that quickly push the spot price of BTC above $75,000.
But the gains faded just as quickly, suggesting the move was driven more by the removal of downside hedges than new conviction from buyers. According to 10x Research, the early gains were not accompanied by significant bullish buying on the upside, which typically indicates traders are positioning themselves for further upside.
The wider market has followed suit, with major tokens including Ethereum (ETH), Ripple (XRP), Solana (SOL), BNB , and other stocks retreated from their respective Asian session highs. The CoinDesk 20 index is currently trading at 2,162 points, compared with 2,202 points earlier on Tuesday.
Resistance holds
BTC’s rapid pullback marks a failure to maintain gains above $74,400, a level that was support in early April last year and has now become resistance. This level previously stalled the sell-off in early April 2025 and paved the way for a fresh rally to all-time highs above $126,000 in October.
The inability to hold above $74,400 suggests traders are keeping a close eye on this level, which could serve as a short-term cap for the market.
This behavior highlights how technical reference points from previous market cycles continue to influence trader psychology. Even a brief break above $75,000 would trigger selling pressure, suggesting market participants remain cautious about chasing higher without a clear catalyst.