Bitcoin re-tests $65,300 floor for third time since February
In brief
- Bitcoin dropped to $65,300 overnight, marking third test of February 6 bottom since late February
- Price recovered to $67,000 area before U.S. stock market open, repeating earlier re-test pattern
- Previous two re-tests led to rallies above $70,000 and eventual May peak near $83,000
Testing support levels
Bitcoin overnight fell to $65,300, but has since bounced back to the $67,000 area. The move marks a critical juncture for the market. This is the third time bitcoin has dropped to the mid-$60,000 range since its February 6 bottom.
The previous two re-tests of that February 6 bottom — February 24 and March 29 — worked out for the bulls, with prices quickly recovering back above $70,000 and eventually to $83,000 by mid-May. Whether this third test follows the same script remains the open question.
Broader market backdrop
U.S. stock index futures are little changed after another round of record highs on Tuesday. The price of oil and bond yields are both modestly higher. Traditional markets remain anchored near record levels, setting the tone for risk appetite more broadly.
