Bitcoin Surges to $90K, Reaching This Milestone for the First Time Since Early March

Bitcoin Climbs to $90K, Fueled by U.S. Equities Rally on “Turnaround Tuesday”

Bitcoin (BTC) surged above the $90,000 mark for the first time since March 7, gaining over 5% in the last five days as its price moves increasingly separate from traditional equities.

On March 7, the S&P 500 was hovering above 5,700 points but has since dropped below 5,200, showing the divergence between bitcoin and traditional stock markets.

While the recent rally is promising, bitcoin remains down more than 5% year-to-date. However, it has made a substantial recovery since April 8, when it was down nearly 20% on the year and more than 30% below its January high of around $109,000. That marked the sharpest correction of this market cycle, surpassing the August 2024 dip when bitcoin fell to $49,000.

From a market structure standpoint, perpetual funding rates across exchanges are currently negative. This suggests short sellers are paying long holders to keep their positions open, potentially triggering a short squeeze that could accelerate price increases as shorts are forced to buy back their positions.

Adding to the bullish momentum, Monday saw over $380 million flow into U.S. spot bitcoin ETFs, marking the largest one-day inflow since January 30. With the Nasdaq rising more than 1% on what has been dubbed “Turnaround Tuesday,” bitcoin may continue its upward trajectory, although it faces significant technical resistance ahead.