Bitcoin climbed about 7% to over $79,000 from weekend lows near $74,000. U.S. shares fell again in early trading.
Bitcoin recently changed hands at $77,100, down 2% in the past 24 hours. ether It got worse, falling to $2,260, or 4.7%.
The sell-off comes as both gold and silver have surged higher and appear to be truly rebounding from last Friday’s panic-stricken price action.
Meanwhile, U.S. stocks—particularly a host of AI-related stocks—are falling. Nvidia (NVDA), Oracle (ORCL), Broadcom (AVGO), Micron (MU) and Microsoft (MSTR) all fell 3%-5%, leading the Nasdaq down 1%.
Strategy (MSTR), the largest publicly traded Bitcoin holder, continues to hit new lows, falling more than 2%. Coinbase (COIN) and Bullish (BLSH) fell similarly.
Galaxy Digital (GLXY) shares fell more than 12% on disappointing fourth-quarter results. Stablecoin issuer Circle (CRCL) fell another 3.5%.
Shares of Bitcoin miners turned artificial intelligence infrastructure providers rose, led by TeraWulf (WULF), which rose 12% after acquiring two U.S. industrial sites that will more than double the company’s power generation capacity to 2.8 gigawatts. Cipher Mining ( CIFR ) rose 4% after announcing plans to raise $2 billion in the junk bond market to fund its Black Pearl data center in Texas, which will provide 300 megawatts of capacity under a long-term lease with Amazon Web Services.
dead cat bounce
Jake Ostrovskis, head of OTC trading at cryptocurrency trading firm Wintermute, said options flow suggests traders are preparing for a brief rebound from weekend lows below $75,000.
The lack of demand for upside exposure reflects conditions in April 2025, he added.
Ostrovskis noted that heavy demand for short-term downside protection distorts the options market, causing short-term volatility to be higher than longer-term contracts, a condition known as backwardation. The analyst said he is watching for when volatility cools and the options curve returns to contango as a signal of a bottom.
“I’ll feel more comfortable calling local lows then,” he said.
