Bitcoin rebounds to $64K after AI-led selloff triggers crypto rout. Here’s what experts say

Over the past 24 hours, Bitcoin gained 1.77%, while Ethereum rose 0.93% to trade at $1,843. Among major altcoins, BNB, XRP, Solana, Hyperliquid, Dogecoin, and Cardano advanced up to 4.81%.

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Piyush Walke, Derivatives Research Analyst, Delta Exchange, said a broad risk-off sentiment pushed Bitcoin below $63K as the AI-driven selloff spread from equities to cryptocurrencies. Bitcoin briefly dropped to $62.5K before recovering to around $64K. However, the rebound lacked strength, with the price failing to form higher highs and slipping back below the 50-day moving average, keeping the broader downtrend intact.

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Meanwhile, Bitcoin spot ETFs are on track for modest outflows this week after ending an eight-week streak of heavy outflows last week, Walke further said.
In the past week, Bitcoin was down 0.25% whereas Ethereum was up 2.47%. Among the major altcoins, BNB, XRP, Solana, Tron, Hyperliquid and Cardano fell upto 10.59%.Nischal Shetty, Founder, WazirX said crypto markets experienced a volatile but constructive week, with macroeconomic developments continuing to drive sentiment. Early weakness, triggered by rising geopolitical tensions and higher oil prices, pushed.

“Bitcoin briefly below $62,500 as investors adopted a risk-off approach. However, softer-than-expected U.S. inflation data later in the week eased concerns around further interest rate hikes, helping both Bitcoin and Ethereum recover.”

Despite renewed optimism, markets remain cautious as investors await further clarity on U.S. regulation and upcoming macroeconomic signals, Shetty further said.

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Market perspective

Harish Vatnani, Head of Trade, ZebPay

Bitcoin broke resistance of $64,200 and hit $65,600. Fresh geopolitical tensions and US market sell off triggered profit booking. Ethereum hit a fresh high of $1,946 levels and seen some profit booking in line with the US market sell off. The daily RSI maintained above the 50 marks, reflecting bullish momentum.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

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