Bitcoin approaches the $44,000 mark while U.S. stocks recover from their most significant three-month decline.

The overall cryptocurrency market surpassed $1.7 trillion on Wednesday, marking its first climb since May 2022. According to Business2Community experts, Bitcoin approached $44,000 early Thursday, recovering slightly from recent losses linked to a dip in U.S. stocks.

The S&P 500’s 1.42% decline affected assets like bitcoin, prompting analysts to suggest an overdue correction due to overbought market signals and options expiration pressures.

Bitcoin approaches the $44,000

Despite the market plunge, tokens like SOL and AVAX rebounded in early Asian hours, with SOL rising 15% in 24 hours and over 55% in a multi-week rally.

Optimism prevails for bitcoin due to expected ETF approval in the U.S. and the upcoming 2024 halving event, historically linked to crypto market bull runs.

Yet, indicators suggest a cooling period after a month-long rally, hinting at lower volatility around the holiday season. Rachel Lin, SynFutures‘ CEO, noted a consolidation trend for bitcoin and ether, mentioning a cooling Relative Strength Index (RSI) compared to its highly overbought state two weeks prior.

Bitcoin’s weekly RSI, previously at 82, now stands around 75, signaling a pullback from extreme levels.

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