Bitcoin recovered above $60,000 on Saturday after briefly falling below that key level,
as traders assessed the impact of a broad market selloff triggered by stronger-than-expected US employment data.
The world's largest cryptocurrency fell to $59,100 overnight, its lowest level since 2026, before rebounding more than $1,500. As of 7:25 AM Moscow time, Bitcoin was trading down 1.13% at $60,702.1 after buyers intensified near a closely watched support zone.
The decline occurred amid a sharp reassessment of expectations for the Federal Reserve following Friday's non-farm payrolls report. Strong labor market data prompted investors to scale back interest rate cut expectations, pushing up Treasury yields and the US dollar, putting pressure on risk assets.
The pressure extended well beyond cryptocurrencies. The Nasdaq 100 fell roughly 5%, its sharpest decline since April 2025, while semiconductor stocks suffered double-digit losses. The S&P 500 fell 2.6% as investors shifted away from speculative assets.
Heavy selling in the cryptocurrency market triggered a wave of leveraged position liquidations. CoinGlass data showed that approximately $1.6 billion in positions were liquidated in the past 24 hours, with long positions accounting for the bulk of the losses.
Bitcoin accounted for over $500 million of these liquidations, and Ethereum accounted for over $400 million.
Institutional flows also weighed on sentiment in recent sessions. US spot Bitcoin ETFs have seen significant outflows over the past two weeks, depriving the market of a key source of demand that helped support prices earlier this year.
Adding to investor concerns, Strategy's disclosure that it had sold Bitcoin for the first time since 2022 raised questions about one of the market's most prominent long-term holders. Although the transaction affected only a small portion of the company's holdings, the move fueled speculation about possible further sales.
Other digital assets remained under pressure despite Bitcoin's rebound. Ether has fallen more than 20% over the past week, while Solana, XRP, Dogecoin, and BNB have also seen double-digit declines over the same period.
Market participants are now closely monitoring the $60,000 level. A sustained break below this threshold could pave the way for further declines, while a successful defense could help stabilize sentiment after one of the most volatile weeks of 2026 in the crypto market.