The token briefly dropped to the $59,000 range before demand returned, but the broader market is still nursing steep weekly losses. Despite a strong Micron outlook lifting equities and oil prices continuing to retreat, cryptocurrencies failed to join the rebound.

Crypto markets came under heavy pressure this week, with bitcoin slipping below $60,000 even as the tech stocks that had earlier dragged it lower staged a strong comeback.

Bitcoin touched roughly $59,200 late Wednesday before rebounding to around $60,700 on Thursday. It remains down 2.9% over the past 24 hours and 5.4% for the week, according to CoinDesk data.

Losses across major tokens were more severe. Ether fell 2.8% to $1,616, extending its weekly decline to 7.9%. XRP dropped to $1.07, down 9.2% on the week, while Solana slid to $68. Dogecoin and Hyperliquid’s HYPE led declines, falling 11.9% and 11.7%, respectively. Tron was the only major asset to post gains, rising 1.9% over the same period.

Meanwhile, the AI-driven trade that had weighed on crypto earlier in the week reversed direction overnight.

Micron, the largest U.S. memory chipmaker, surged about 15% after delivering a sales forecast that beat Wall Street expectations, restoring optimism around AI spending. Nasdaq 100 futures rose 1.8%, South Korea’s Kospi jumped as much as 6%, and Brent crude fell below $73 per barrel as supply resumed through the Strait of Hormuz.

Crypto’s weakness now appears largely self-driven. The break below $60,000 reflects ongoing outflows from U.S. spot bitcoin ETFs, a more hawkish Federal Reserve stance, and a U.S. dollar that has climbed to a seven-month high, according to FxPro chief market analyst Alex Kuptsikevich.

A stronger dollar makes bitcoin and other dollar-denominated assets more expensive for overseas investors, often pulling capital away from risk assets.

FxPro also warned of a longer-term risk, noting that bitcoin is trading near its 200-week moving average—a key trendline representing roughly four years of price data.

Historically, moves to this level have led to extended downturns rather than quick recoveries, lasting about nine months in 2015, six months in 2018, and nearly six quarters following the 2022 market collapse. This pattern points to the possibility of a prolonged “crypto winter.”

In the near term, Kuptsikevich highlighted the $61,800 to $62,000 range as a key zone, where clustered orders could either drive a rebound through short covering or act as resistance.

If downside pressure persists, $55,000 could emerge as a potential cycle low. He emphasized that traders should prioritize risk management over trying to anticipate direction.

Attention now turns to upcoming U.S. inflation data, particularly the Federal Reserve’s preferred gauge.

A stronger reading would reinforce the Fed’s hawkish stance and a firm dollar, adding further pressure on crypto markets. A weaker print could provide some relief. For now, crypto is no longer reacting to oil or geopolitical headlines that shaped earlier market moves in June, instead facing headwinds from ETF outflows and weak demand that equity gains have yet to offset.