Bitcoin’s $75K encore gets a plot twist as stocks stage their own comeback 🪙

Bitcoin rebounded to $74,559 after touching its lowest level in more than two months, following a volatile week that included $1.2 billion in crypto derivatives liquidations over 24 hours. The cryptocurrency traded at $74,685 after an early dip to $73,667, with its weekly candle still open.

U.S. stocks also found their footing Monday as oil prices fell, with the S&P 500 up 1.9% and the Nasdaq Composite up 2.2% by 11:30 a.m. Eastern. Brent crude dropped 4.3% to about $94 a barrel, lifting the broader market even as Nvidia shares declined. The Bureau of Labor Statistics is due to release the October consumer price index tomorrow, following a stronger-than-expected jobs report that led traders to price in roughly an 80% chance of a quarter-point Federal Reserve interest rate hike in December.

About $1.04 billion of the crypto liquidations came from longs, or bets on higher prices. Bitcoin positions accounted for $324 million, nearly 87% of it in longs, according to a CoinGlass snapshot. Bitcoin had rallied from roughly $57,700 to $87,350 before sliding back toward $75,000.

The 50-week exponential moving average sits near $78,250, above the 200-week EMA at about $69,790. Bitcoin is trading below the faster average, while the Relative Strength Index stands at 47.8 and the Average Directional Index reads 21.9. Buyers have a slight edge on the chart’s directional indicators, though the ADX remains below the commonly used 25 threshold for a strong trend.

On the downside, $74,400 is the first area where buyers could step in, followed by $72,550 and the $69,000 area around the 200-week EMA. On a rebound, sellers could stall the move near $76,040 and the 50-week EMA around $78,250, with $80,360 back in play above that average.