Bitcoin stabilized near the $75,000 mark on Monday following a sharp market correction that saw liquidations of $1.8 billion in bullish leveraged positions. Despite the downturn, cooling macroeconomic risks and resilient derivatives data suggest the cryptocurrency is unlikely to breach its year-to-date low of $74,680.
- Macroeconomic Stability Supports Risk Assets
Investor sentiment remains surprisingly steady despite recent volatility in the tech and precious metals sectors. While silver prices plummeted 41% over a three-day window and gold’s market cap climbed to $33 trillion, Bitcoin has maintained a strategic foothold.
The U.S. 2-year Treasury yield held firm at 3.54%, indicating that a mass flight to safety has not yet materialized. Furthermore, the S&P 500 continues to trade near record highs, as markets anticipate a swift resolution to the current government funding impasse.
House Speaker Mike Johnson stated to Fox News that a budget agreement is expected imminently.
Derivatives Markets Show No Signs of Panic
Professional traders appear unfazed by the 40.8% decline from Bitcoin’s October 2025 peak of $126,220. Currently, the Bitcoin futures annualized premium sits at 3%. While lower than the typical neutral range of 5% to 10%, the figure remains positive.
Aggregate futures open interest remains robust at $40 billion. This suggests that while leverage has been flushed out, institutional interest in maintaining positions remains high.
Contextualizing ETF Outflows and Corporate Holdings
Concerns regarding $3.2 billion in net outflows from U.S. spot Bitcoin ETFs since mid-January have been described by analysts as overstated. These outflows represent a minor fraction of the total assets under management, suggesting long-term holders are staying the course.
Similarly, fears surrounding MicroStrategy (MSTR) and its Bitcoin reserves have cooled. The company reported $1.44 billion in cash reserves as of December 2025. These funds are dedicated to meeting interest and dividend obligations, effectively neutralizing the threat of forced liquidations.
Tech Sector Recovery
The broader “risk-on” sentiment is also receiving a boost from the artificial intelligence sector. After initial concerns over aggressive expansion costs, Oracle announced plans to raise $50 billion to meet surging cloud demand.
This move has helped stabilize tech valuations, providing a more favorable backdrop for Bitcoin to maintain its current support levels throughout 2026.
