economy
Bitcoin needs to reclaim $75,000 to herald a risk-on recovery, charts show
The two prior times when the bitcoin-to-S&P-500 relative line made a key low, it also marked major lows for the SPX — March 2020 and Oct. 2022.
TL;DR
- Bitcoin is exhibiting a potential cup-and-handle chart pattern, similar to one from late 2025 to early 2026.
- A prior breakout in mid-January failed, leading to a three-week decline.
- Bitcoin has bounced from oversold levels, with its RSI rising but not yet overbought.
- The cryptocurrency is attempting to extend from its 50-day moving average and prior breakout zone.
- Reclaiming the $75,000 level is crucial as it represents the neckline of a previous bearish formation.
- The Bitcoin vs. S&P 500 relative line has bounced from oversold levels, suggesting a potential risk-on environment.
- Key lows in the BTC/SPX relative line have previously coincided with major lows in the S&P 500.