Bitcoin pushed above 68,000 dollars in early U.S. trading on Monday, rebounding from weekend volatility even as geopolitical tensions in the Middle East weighed on broader markets. The move came as U.S. equity indices opened with far milder losses than initially feared following U.S. strikes on Iran over the weekend.
At one stage overnight, futures tied to major U.S. indices had pointed to declines of more than 2 percent. However, roughly an hour into the cash session, the Nasdaq was down just 0.1 percent, while the S&P 500 and Dow Jones Industrial Average were posting only modest losses. The restrained equity reaction helped ease fears of a deeper risk off event.
Bitcoin traded near 68,600 dollars, marking a gain of more than 2 percent over the previous 24 hours. The recovery represents a notable turnaround from its weekend lows, when prices briefly dipped amid headlines of escalating military activity. Ether advanced around 1.4 percent, with Solana and XRP posting similar percentage gains.
Crypto related equities outperformed the broader market. Shares of Circle rose approximately 12 percent, while MicroStrategy climbed about 6 percent. Galaxy Digital gained close to 5 percent. The strength in crypto stocks suggested renewed investor appetite for digital asset exposure despite geopolitical uncertainty.
Commodities and currencies reflected lingering caution. Gold remained about 2 percent higher on the day, maintaining safe haven demand, while West Texas Intermediate crude oil was up roughly 7 percent following concerns about potential disruptions to Middle East energy supply routes. The U.S. dollar index strengthened by about 1 percent, recording one of its firmer sessions in recent weeks.
On the macroeconomic front, fresh data pointed to continued U.S. economic resilience. The ISM manufacturing purchasing managers index rose to 52.4 in February, signaling expansion and marking consecutive readings above the 50 threshold for the first time since late 2022. The Chicago Business Barometer also surprised to the upside, reaching 57.7 and indicating stronger activity growth than expected.
The combination of renewed manufacturing strength, hotter producer price data from last week and elevated oil prices has effectively removed expectations for a March interest rate cut ahead of the Federal Reserve’s upcoming policy meeting. Under typical conditions, fading rate cut hopes might weigh on risk assets, including cryptocurrencies.
However, market participants appear to have largely priced in tighter monetary conditions. Bitcoin’s resilience alongside a relatively calm equity open suggests that investors may be distinguishing between geopolitical shocks and underlying macro fundamentals.
With volatility elevated but contained, digital assets are once again demonstrating their ability to rebound quickly following headline driven sell offs. As markets digest both conflict developments and economic data, Bitcoin’s ability to hold above key levels near 68,000 dollars will remain closely watched by traders and institutional allocators alike.
