Bitcoin traded unevenly on Tuesday, hovering around the $62,000 level as pressure in global technology stocks dragged on broader markets. The cryptocurrency briefly dipped below $62,000 twice before stabilizing near $62,500.
U.S. equities moved lower alongside the weakness. The S&P 500 fell about 1% while the Nasdaq Composite dropped 1.3% by mid-session, reflecting continued strain stemming from losses in Asian tech shares.
Focus shifts to Micron earnings
Market attention is centered on Micron Technology’s upcoming third-quarter earnings report, due Wednesday. The semiconductor company has become a key gauge for sentiment tied to artificial intelligence-driven growth.
With its valuation near $1.2 trillion, expectations are high. The company has guided for revenue of roughly $33.5 billion, implying a sharp year-over-year increase of more than 260%. Traders are closely watching whether Micron can meet or exceed these projections, as weaker guidance could dampen enthusiasm across risk-driven markets.
Global pressures and market volatility build
In Asia, South Korea’s stock market declined amid debates over proposed taxes on unrealized gains and elevated levels of margin trading. The resulting volatility contributed to sharp swings, with the S&P 500 rebounding about 60 points from its session low as short-term trades unwound.
Bitcoin remained stuck in a narrow range during this period, reflecting caution across markets.
Liquidations surge as leverage unwinds
The tight trading range triggered a wave of forced position closures in crypto markets. Around $700 million in liquidations were recorded over 24 hours, with total rolling liquidations nearing $1 billion during the day.
More than 144,000 leveraged traders were wiped out, with long positions accounting for the majority of losses. Over $595 million came from bullish bets compared with about $118 million from short positions, highlighting how heavily the market had been positioned for upside.
ETF outflows weaken support
A major driver behind the selling pressure has been sustained outflows from U.S. spot Bitcoin ETFs. Over the past 30 days, these funds have recorded net withdrawals totaling $6.35 billion.
This steady capital drain has reduced a key source of buying support, leaving Bitcoin more exposed to sudden shifts in sentiment and liquidity.
Stronger link to equities raises risks
Bitcoin’s price movements are increasingly aligned with traditional markets. Its 30-day correlation with the S&P 500 reached 0.74 earlier in 2026, underscoring how closely it now tracks equity trends.
As a result, continued weakness in tech stocks is placing direct downward pressure on cryptocurrency valuations.
Market awaits decisive catalyst
With leverage reduced and volatility elevated, markets appear positioned for a sharper move. The direction may hinge on Micron’s earnings and forward guidance.
A strong report could restore confidence in the AI-driven rally, while any disappointment may reinforce concerns that the trade has become overstretched, potentially triggering further declines across both equities and digital assets.
Curious how macro shifts move BTC? Deepen your insight with our guide on Bitcoin volatility and market reactions.
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