Bitcoin rebounds to about $79,000 but crypto stocks remain under pressure

Trading just below $79,000 in midday U.S. trade Monday, bitcoin has bounced from its worst weekend level below $75,000 and was quoted at $78,978.19, though it remained more than 10% lower week-over-week. At $78,700, BTC was higher by about 2% over the past 24 hours and up 7% from its weakest price of the weekend.

Ether was trading around $2,367.57, up roughly 2% on the day but down about 19% from a week earlier. Adrian Fritz, chief investment strategist at 21shares, said the weekend move "broke key short-term support and stood out for its speed and depth, even by typical weekend standards." He said the sell-off was triggered by another round of forced deleveraging, with over $2 billion in crypto derivatives liquidated in a rapid burst, and added, "Liquidations in perps accelerated the downside momentum, rather than discretionary spot selling." U.S.

stocks traded higher Monday, with the Nasdaq and S&P 500 each ahead 0.6% and the Dow up 0.9%. Gold and silver were volatile and modestly down after a one-day sell-off on Friday described as the worst since 1980. Digital-asset-related stocks remained down: Robinhood (HOOD) was down 9%, Circle (CRCL) down 5%, and Coinbase (COIN) and MicroStrategy (MSTR) down 3%.

Bitcoin closed January with its fourth-consecutive month of losses, and tradfi analyst Ryan Detrick noted the DJIA was higher for a ninth-straight month in January, a run that ranks among the Dow's longest. Investors are awaiting this Friday's January U.S.

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