According to The Block's crypto price page, bitcoin rose 3% to $63,168 in the 24 hours leading up to 10:25 p.m. ET on Sunday. Ethereum gained 6.5% to $1,687, while Solana advanced 4.7% to $66.3 over the same period. Despite the rebound, bitcoin remains down roughly 15% over the past week and has underperformed many other risk assets.<\/p>\n
Min Jung, associate researcher at Presto Research, characterized bitcoin\u2019s latest move as a \u201cclassic oversold relief rally.\u201d Jung said bitcoin\u2019s roughly 5% rebound on Sunday morning may be partly due to the market having become oversold after last week\u2019s sharp selloff, suggesting that a significant amount of negative news may have been priced in over the weekend.<\/p>\n
Recent pressure on bitcoin has been attributed to several factors, including large outflows from crypto spot exchange-traded funds, sales by Strategy against its previous \u201cnever sell\u201d narrative, and ongoing tensions between the U.S. and Iran. During the downturn, bitcoin fell to its lowest level in more than two months.<\/p>\n
Alongside bitcoin\u2019s partial recovery, Strategy Chairman Michael Saylor posted a Strategy bitcoin acquisition tracker chart on Sunday morning with the caption \u201cA good time to add more dots,\u201d widely interpreted as a signal that the firm may disclose a new BTC purchase in the coming week.<\/p>\n
Bitcoin\u2019s rebound coincided with a sharp decline in South Korea\u2019s stock market. The benchmark KOSPI index fell more than 8% after the Monday market open, triggering a circuit breaker halt. Semiconductor-related stocks led the drop, with Samsung down 7.3% and SK Hynix losing 4%.<\/p>\n
BTSE COO Jeff Mei said traders may be reducing exposure to tech stocks as risks from a potential prolonged U.S.-Iran conflict, high oil prices, and interest rate hikes continue to weigh on markets. Although there is structural overlap between South Korea\u2019s retail equity and cryptocurrency markets, analysts said a major capital migration from domestic stocks to digital assets is unlikely.<\/p>\n
\u201cThe KOSPI's plunge didn't cause bitcoin's rebound, but it highlights the same macro forces driving risk markets,\u201d Zeus Research Analyst Dominick John said. He cited a deeply oversold setup, short-covering, and renewed institutional optimism as factors supporting bitcoin. John added that bitcoin holding above the key $60,000 support zone keeps the bullish structure intact, though rising geopolitical tensions or weakening macro conditions could still pressure support levels and shift sentiment.<\/p>\n
Other Asian equity markets also retreated on Monday morning. Japan\u2019s Nikkei 225 Index fell 4%, Taiwan\u2019s TAIEX slid 4.25%, and the Shanghai Composite dropped 1%. Analysts noted that digital assets face similar macroeconomic headwinds, including growing anticipation of a Federal Reserve rate hike, supported by April U.S. data showing job openings at their highest level in nearly two years, and heightened geopolitical tensions following Iran\u2019s ballistic missile launches at Israel and subsequent Israeli airstrikes.<\/p>\n
What were the key price moves in major cryptocurrencies?<\/strong> Why do analysts describe bitcoin\u2019s move as a relief rally?<\/strong> How did South Korean and other Asian equity markets perform?<\/strong> What macro factors are influencing both crypto and equity markets?<\/strong>
Bitcoin rose 3% to $63,168 in the 24 hours to 10:25 p.m. ET on Sunday, Ethereum gained 6.5% to $1,687, and Solana increased 4.7% to $66.3.<\/p>\n
Analysts, including Min Jung, said bitcoin\u2019s rebound followed oversold conditions after a sharp selloff, with much of the negative news already priced in, indicating a relief rally rather than a confirmed trend reversal.<\/p>\n
South Korea\u2019s KOSPI fell more than 8%, triggering a circuit breaker, with notable declines in Samsung and SK Hynix. Japan\u2019s Nikkei 225 dropped 4%, Taiwan\u2019s TAIEX slid 4.25%, and the Shanghai Composite declined 1%.<\/p>\n
Analysts pointed to expectations of a Federal Reserve rate hike, high oil prices, and escalating geopolitical tensions between the U.S., Iran, and Israel as key headwinds affecting risk assets, including both digital assets and equities.<\/p>\n