Bitcoin moved back above $65,000 on Friday, offering some relief after days of heavy selling across global markets. The rebound came as the sharp sell-off in technology stocks began to slow, easing pressure on risky assets including cryptocurrencies.
The world’s largest digital currency rose about 4.4 percent to $65,894, recovering part of its earlier losses. During the session, bitcoin had fallen nearly 5 percent to touch a low near $60,000. Despite the bounce, it is still on track for its weakest weekly performance since late 2022, with a drop of almost 14 percent so far this week.
Market still under pressure
Cryptocurrencies have struggled for months following a major crash last October that pushed bitcoin sharply lower from its record peak. Investor confidence has remained fragile, and prices are still close to their lowest levels since early October 2024, just before a strong rally linked to rising optimism around crypto-friendly political signals in the US.
Market analysts say the recent fall reflects investors pulling money out of crowded trades. Chris Weston of Pepperstone said bitcoin has been sliding since October 2025, raising questions about whether it signalled wider market stress or simply moved with it. He noted that large positions are now being unwound quickly as traders reduce risk.
Ethereum, the second-largest cryptocurrency, also recovered slightly. It climbed about 4 percent to around $1,921 after earlier falling close to a 10-month low near $1,752. Even with the rebound, ether is set for a weekly loss of nearly 16 percent and remains down roughly 35 percent this year.
Trillions wiped from crypto market
The broader crypto market has lost around $2 trillion in value since reaching a peak of $4.379 trillion in early October, according to CoinGecko. More than $1 trillion has disappeared in the past month alone, showing how quickly sentiment has turned.
Weakness in stocks and precious metals has also affected digital assets. Gold and silver have seen sharp swings due to speculative trading, while bitcoin has often moved in line with the technology sector, especially during periods of strong interest in artificial intelligence.
Joshua Chu of the Hong Kong Web3 Association said the drop towards $60,000 does not signal the end of crypto, but rather highlights the risks taken by investors who borrowed heavily and expected prices to keep rising. He said the recent correction shows how important risk control is during volatile periods.
Meanwhile, Deutsche Bank analysts reported that US spot bitcoin exchange-traded funds saw outflows of more than $3 billion in January, after heavy withdrawals in the previous two months. Analysts say it remains unclear whether bitcoin’s move back above $65,000 signals a stronger recovery ahead, as market uncertainty continues.
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