Bitcoin (BTC) Price: BTC Bounces Above $65,000 as Dollar Weakens and Double-Bottom Pattern Forms

TLDR

• Bitcoin bounced above $65,000 on Wednesday as Asian equities rallied and the U.S. dollar weakened
• The broader crypto market is testing a potential double-bottom pattern, with 10% upside if it holds or 25% downside if it fails
• Bitcoin’s weekly RSI fell to 25.71, levels not seen since July 2022, signaling deeply oversold conditions
• Trump did not mention crypto in his State of the Union address, and crypto gains faded during his speech
• Put options worth $230 million expiring March 6 are concentrated at $58,000, reflecting demand for downside protection

Bitcoin rose above $65,000 on Wednesday as a weaker U.S. dollar and a rally in Asian equities gave crypto markets their first clean bounce in weeks.

BTC climbed as high as $66,000 during early Asian trading hours, its biggest intraday gain since February 13. The price later settled around $65,400 as gains faded during President Trump’s State of the Union address.

Ether rose more than 2.5% to around $1,906. Solana gained as much as 7% and XRP added around 3.5% over the same period.

The broader crypto market cap had dropped to $2.19 trillion earlier this week, nearly retesting the lows hit during the February 5 crash.

Analysts at FxPro say the market is forming a potential double-bottom pattern. If the level holds, there is roughly 10% upside. If it fails, FxPro’s Alex Kuptsikevich warned of a further 25% decline.

Caroline Mauron of Orbit Markets called the early move a dip-buying response after an extended selloff. She said reaching $70,000 would be needed to shift the market narrative.

Oversold Signals Build

Bitcoin’s weekly RSI has dropped to 25.71, levels not seen since July 2022. Historically, RSI readings below 28 have marked turning points and discounted buying opportunities.

Bitcoin is also within 9% of its 200-week exponential moving average at $58,855, a level traders have pointed to as the start of a bottoming process in past cycles.

Analyst Rekt Capital offered a more cautious view. He said the confirmed daily close below the 200-EMA could turn that level into resistance on any future recovery.

Market resource Material Indicators flagged a $4.5 million spot purchase by large buyers on Tuesday, larger than the typical $1 to $2 million orders seen from that group.

Trump Speech Disappoints Crypto Markets

Gains began to fade even before Trump finished speaking. He did not mention digital assets during his address despite being seen as pro-crypto.

The Supreme Court earlier this week struck down Trump’s use of emergency powers to impose reciprocal tariffs, which had already contributed to a drop in crypto prices. Trump then said he would impose 15% global tariffs using a different legal authority.

The Bloomberg Dollar Spot Index edged lower after the speech, which has historically been a tailwind for Bitcoin, though the relationship has been inconsistent during this drawdown.

Put options worth nearly $230 million expiring March 6 are clustered at the $58,000 strike price. FalconX’s Sean McNulty said this reflects concerns over a potential U.S. strike on Iran, with Polymarket odds sitting at 48% by March 15.

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