Bitcoin’s price rebounded sharply on Wednesday, climbing more than 3% to trade above $66,000, as improving risk sentiment in U.S. equities and renewed ETF inflows helped crypto markets stabilize after a weak start to 2026.At the time of writing, Bitcoin (BTC) is trading around $66,800, extending its recovery as analysts point to a growing divergence between Bitcoin, stocks, and gold that has historically preceded major upside moves.Key TakeawaysBitcoin rose over 3%, reclaiming the $66,000 level alongside a rebound in U.S. equities.$258 million in net inflows into spot Bitcoin ETFs signaled renewed institutional demand.The Coinbase Premium Index flipped positive, suggesting U.S.-based buyers are stepping back in.Bitcoin’s correlation with stocks and gold is at multi-year lows, a pattern that has previously preceded strong BTC rallies.Bitcoin Tracks U.S. Equity ReboundBitcoin’s recovery closely mirrored gains in U.S. stock markets, where technology and AI-linked shares led a broad rebound. On Tuesday:The Nasdaq Composite gained 1.05%The S&P 500 rose 0.68%The Dow Jones Industrial Average added 421 points, up 0.86%Crypto-related equities also posted moderate gains, with Coinbase (COIN) rising 1.1% and Strategy (MSTR) up roughly 0.7%. The rebound in equities appears to have eased selling pressure across risk assets, including cryptocurrencies.Coinbase Premium and ETF Inflows Signal U.S. DemandOne of the strongest bullish signals came from the Bitcoin Coinbase Premium Index, which tracks the price difference between BTC on Coinbase and Binance. The metric turned positive for the first time since mid-January, indicating stronger buying pressure from U.S.-based investors.Analysts note that maintaining a positive premium is critical for sustaining upside momentum.Institutional interest also resurfaced, with spot Bitcoin ETFs recording $258 million in net inflows on Tuesday, reinforcing the view that recent price weakness may have been driven more by short-term de-risking than a structural shift in sentiment.Bitcoin–Gold and Stock Correlation Hits Multi-Year LowsDespite the short-term rebound, Bitcoin remains deeply disconnected from traditional risk assets. Over the past six months:Gold has surged roughly 50%The S&P 500 is up around 7%Bitcoin remains down more than 40% from its peakCurrent data shows Bitcoin’s correlation with the S&P 500 near 0.32, and negative correlation with gold around -0.45, marking the weakest relationship since the late-2022 FTX collapse.Onchain analytics firms argue that such extreme divergence has historically not persisted for long.“When an asset that is usually correlated breaks away this dramatically, it typically doesn’t stay disconnected forever,” analysts noted, adding that past episodes have often preceded significant upside for Bitcoin and altcoins.Liquidity, Not Narrative, Driving the DisconnectMarket participants caution against viewing the Bitcoin-versus-gold debate purely as a price comparison. Instead, liquidity conditions and leverage flows remain the dominant drivers.Analysts at QCP Capital argue that the divergence reflects position unwinds and leverage-driven selling, rather than a breakdown in Bitcoin’s long-term thesis.“Bitcoin still behaves like a long-term inflation hedge and an increasingly credible form of collateral,” the firm noted, emphasizing that adoption by institutions, banks, corporates, and even nation-states accelerated throughout 2025, according to Cointelegraph.
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