Trading firm Wintermute’s options desk expects Bitcoin to remain confined to a tight $61,242–$63,563 range on Tuesday, citing rising correlations across crypto assets and a continued lack of fresh ETF inflows.
Crypto markets extended losses into midday U.S. trading, with Bitcoin struggling to hold above $60,000 after falling more than 3% over the past 24 hours. Ether, Solana, and XRP also declined in tandem, underscoring broad weakness across major tokens.
Selling pressure persisted even as equities recovered from an earlier dip, led by renewed strength in AI-linked stocks. The Nasdaq gained 0.8%, highlighting a growing divergence between tech equities and digital assets.
Crypto-related equities showed added stress. Strategy (MSTR) and its high-yield STRC preferred stock continued to slide, signaling mounting pressure across digital asset treasury structures. MSTR dropped another 7.3% to around a 2.5-year low near $96, marking a decline of more than 75% year over year, while STRC fell 6.35% to a record low below $82.
Market commentary around STRC has turned more critical, with analysts noting that its sharp decline challenges the product’s positioning as a stable, income-like instrument.
Separately, political headlines briefly intersected with markets after a planned signing of a U.S. housing bill was canceled. The legislation reportedly included a provision barring the Federal Reserve from issuing a central bank digital currency through 2030.
In digital credit markets, additional pressure emerged as preferred securities tied to crypto exposure continued to weaken. STRC and Strive’s SATA both traded below their $100 par value as Bitcoin remained under $61,000.
Equity markets, however, saw a mild rebound. The “Magnificent Seven” tech stocks rose, helping lift the S&P 500 and Nasdaq 100 by nearly 1%, even as crypto sentiment stayed fragile ahead of key earnings from Micron.
On the institutional front, Morgan Stanley expanded its digital asset strategy team with the hiring of former Anchorage Digital executive Joseph Medioli, reflecting ongoing Wall Street interest in blockchain infrastructure.
Macro data added further context, with weaker U.S. housing figures pushing Treasury yields lower. The 10-year yield slipped to 4.41%, while gold fell below $4,000 per ounce and oil eased toward $70, signaling a broader risk-off adjustment across markets.
Bitcoin briefly dipped to around $61,100 before stabilizing near $61,000, remaining largely flat on the day as traders grapple with thinning liquidity and uneven macro signals.
