Market Rebound: Bitcoin and Nasdaq Surge After Early Declines
A significant turnaround in risk markets on Tuesday has propelled bitcoin (BTC) to rise nearly 10% from its lowest point during the session, while the Nasdaq has also managed to recover into positive territory after experiencing a nearly 2% drop earlier in the day. This volatility comes as the U.S. imposes tariffs on imports from Mexico, Canada, and China, a situation that has weighed heavily on both stocks and cryptocurrencies for weeks.
Initially, markets reacted sharply to the implementation of these tariffs, with both stocks and crypto assets registering substantial losses. However, as the U.S. morning progressed, dip-buyers stepped in, helping to stabilize prices. With just over an hour remaining in the trading session, the Nasdaq has bounced back, now showing a 0.7% gain. The S&P 500 has also managed to recover from its earlier declines, reducing its loss to just 0.25%.
As of now, bitcoin is trading just above $88,000, reflecting a 1.5% increase over the past 24 hours. In contrast, Ether (ETH) has continued to lag behind, remaining flat at around $2,171 during the same timeframe.
Tuesday’s market activity marks another chapter in a tumultuous ten-day period for bitcoin. The cryptocurrency experienced a dramatic plunge of over 20% from February 21, dropping to just above $78,000. This was followed by a robust recovery of more than 20%, bringing it back up to about $95,000 in a span of three days. However, bitcoin faced another setback yesterday and this morning, falling to approximately $81,000.
A glance at crypto-related stocks shows a positive trend as well, with MicroStrategy (MSTR) up by 11%, Coinbase (COIN) rising by 4%, and Marathon Digital Holdings (MARA) gaining 5%.
