Bitcoin surged back above the $64,000 mark in early U.S. trading on Tuesday, rebounding from recent volatility as risk assets made a broader comeback. As of the latest reports, Bitcoin was trading at approximately $64,200, reflecting a slight decline of 0.75% over the past 24 hours but significantly recovering from an earlier low of $62,500.
Other cryptocurrencies such as Ether and Solana also showed signs of recovery, narrowing their early losses. The correlation between cryptocurrencies and technology stocks continued to be evident, with the iShares Software Sector ETF, which tracks software shares, bouncing back by 1.7%. This upswing followed a period of concern regarding the potential impact of artificial intelligence tools on business models, with companies like Intuit and DocuSign announcing partnerships with AI firm Anthropic. These collaborations suggest that established firms may have the capacity to evolve alongside technological advancements rather than facing obsolescence.
In contrast, traditional safe-haven assets experienced a decline. Gold prices dropped by 1.5%, and crude oil slipped by 0.5%, as easing geopolitical tensions contributed to a more positive market environment. Notably, Iran’s deputy foreign minister indicated the country’s willingness to negotiate with the U.S., alleviating fears of an impending military conflict.
On the equity front, the tech-heavy Nasdaq 100 rose by 1.1%, while the S&P 500 posted a gain of 0.8%. Companies involved in high-performance computing and Bitcoin mining, which are increasingly linked to AI data center infrastructure, also saw significant gains. Stocks such as Bitdeer, Cipher Mining, Hut 8, and TeraWulf rallied between 6% and 10%.
However, much of the broader crypto landscape remained relatively flat, with several prominent firms including Coinbase, Marathon Digital Holdings, and MicroStrategy experiencing declines ranging from 0.5% to 1%. Despite mixed results, the market sentiment appeared to lean toward optimism as investors adjusted to the current economic environment.
