Yeliz Akmaca 
Monday’s AI-driven selloff in U.S. tech and software stocks proved short-lived. Equities rebounded on Tuesday, risk appetite partially returned, and Bitcoin moved back above the $65,000 level. Still, the real threshold remains below: $60,000.
The Dow Jones closed up 370 points, while the S&P 500 gained 0.77%. The swift recovery in equities appeared to ease the risk-reduction pressure seen across crypto markets. Bitcoin’s recent bleed slowed almost in tandem with the stock rebound. The timing does not look coincidental.
However, reclaiming $65,000 does not fully reset the broader structure. Bitcoin is still trading roughly 49% below its all-time high. That distance continues to frame sentiment.
Why Is $60,000 So Important?
Market participants remain focused on the $60,000 level. In recent weeks, this zone has acted as a defensive line. A sustained move below it could open the door toward the lower $50,000 range.
Meanwhile, on-chain data revealed a subtle but notable move. According to Material Indicators, a “mega whale” executed a $4.5 million spot purchase. The figure is not massive on its own, yet it stands meaningfully above the typical $1–2 million market orders usually seen from that class.
Such orders are often placed directly into liquidity, rather than passively waiting in the book. Alone, it does not confirm a reversal. Still, it signals that defensive positioning may be active.
Bitcoin has Weekly Closed below the 200-week EMA (black)
This technically means that the EMA has been lost as support and that price could turn it into resistance on any upcoming recovery
Historically across cycles, whenever Bitcoin performed a Weekly Close below the… https://t.co/ayxd81la0h pic.twitter.com/vMFUAvsTBM
— Rekt Capital (@rektcapital) February 23, 2026
Deeply Oversold Conditions
BTC weekly RSI dropped to 25.71, levels last seen during the severe bear phase of mid-2022. Historically, RSI readings below 28 have coincided with periods where the market searched for a bottom.
Galaxy Research described the current structure as nearing “all-time oversold territory,” rarely seen outside the darkest bear markets.
At the same time, price is trading within roughly 9% of its 200-week exponential moving average. In prior cycles, this level marked areas where bottoming processes began. Yet these reference levels do not guarantee identical outcomes.
Some analysts remain cautious. A confirmed daily close below the 200 EMA could turn that level into resistance during any recovery attempt, potentially accelerating downside pressure rather than easing it.
A Bottoming Process May Take Time
The broader market narrative suggests that a true bottom, if forming, may require time. Bitcoin analyst Brian Brookshire points to the importance of profit-loss supply equilibrium and price interaction with mining cost levels as structural markers of stabilization.
On the macro side, U.S. Federal Reserve policy expectations remain relevant. Potential rate cuts—whether under current leadership or future administration—could reintroduce liquidity into risk assets. Bitcoin has historically reacted early to such shifts, though timing remains uncertain.
For now, reclaiming $65,000 offers psychological relief. Yet $60,000 remains the structural pivot. The market appears to have paused its decline, but confirmation of direction likely requires further time and validation.
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