Bitcoin slipped below $76,000 on Thursday as a sharp selloff in U.S. technology stocks spilled over into crypto markets.
Tech rout drags bitcoin lower
About an hour after the 9:30 a.m. ET opening bell, U.S. stocks had lost roughly $2.3 trillion in market value.
Losses briefly widened to about $3 trillion as the S&P 500 touched an intraday low near 7,394 points, down about 3.83%.
AI chip stocks took the worst of it, with Micron and AMD suffering double-digit declines while Nvidia fell 8%.
Bitcoin traded around $75,908 as of 1600 GMT, after swinging between a 24-hour low of $75,525 and a high of $80,874.
Crypto stocks weren’t spared either, as Coinbase dropped 7.8% and Strategy fell 8.3%.
Leverage gets flushed out
More than $1 billion in derivatives positions were liquidated over 24 hours, most of them long bets on higher prices, according to CoinGlass data.
Bitcoin futures open interest tumbled below $26 billion, its lowest since mid-September, from $28 billion earlier in the session.
A CryptoQuant gauge of how closely bitcoin tracks the S&P 500 also turned positive for the first time in data going back to 2015.
CryptoQuant contributor Darkfost wrote:
“It means that BTC has spent more and more time moving in line with the stock market, both up and down.”
“It means that BTC has spent more and more time moving in line with the stock market, both up and down.”
Gold, meanwhile, caught a safe-haven bid and rose 1.1% to $4,116 per ounce.
Traders eye key support
Glassnode places support between $73,000 and $76,000, a band that holds the average cost of newer buyers and the 200-day average.
U.S. spot bitcoin ETFs took in about $75 million on Wednesday, according to SoSoValue.
Into The Cryptoverse founder Benjamin Cowen wrote on X:
“If the NASDAQ can go back to the summer lows, then so can Bitcoin.”
“If the NASDAQ can go back to the summer lows, then so can Bitcoin.”
MN Capital founder Michaël van de Poppe struck a calmer tone on X:
“Nothing really changed; the only difference is that the likelihood of sweeping $75,000 has increased.”
“Nothing really changed; the only difference is that the likelihood of sweeping $75,000 has increased.”
