Bitcoin falls to 2-month low as divergence to equities deepens
Summary
Bitcoin dropped to about $70,023, its lowest level in nearly two months, extending a 4% daily and 8% weekly decline and leaving it 44% below its October peak. The move contrasts sharply with U.S. equities, which are near record highs. Analysts say the split shows Bitcoin is currently behaving more like a high-beta risk asset than a hedge, with investors favoring stocks over crypto amid stronger returns and lower volatility. Market commentary suggests this rotation could become self-reinforcing for a time, though it may reverse if macro conditions improve. Bitcoin is also nearing a key long-term technical support/resistance area around its 200-week exponential moving average near $69,000.
