Bitcoin fell back toward $68,000 on Tuesday as a broader flight from risk assets swept across markets, mirroring weakness in U.S. technology stocks and a continued pullback in gold. Memecoins led declines among altcoins, while bitcoin’s market share remained confined to a multi-month range.

The crypto market tracked losses in tech-heavy equities, with bitcoin down 1.25% since midnight UTC. Nasdaq futures slipped 0.55% during the same window, and gold dropped 2.4%, extending its retreat from recent record highs.

Speculative tokens underperformed the majors. Memecoins including Pepe (PEPE), Dogecoin (DOGE) and Official Trump (TRUMP) declined between 3.5% and 4.5%, leading the slide across the altcoin complex.

The downturn in technology shares has been tied to mounting concerns about artificial intelligence and its potential to disrupt traditional industries. Over the past two weeks, bitcoin’s correlation with the Nasdaq has swung sharply higher, with the coefficient rising from -0.68 to +0.72 — a sign that BTC is once again moving in step with U.S. tech stocks.

Gold traded near $4,928 after failing to hold above the $5,000 threshold. The metal had surged to a record $5,600 on Jan. 28 before undergoing a steep 21.5% correction in the following days.

Derivatives positioning signals caution

Futures data reflect a continued reduction in risk exposure:

• Total crypto futures open interest dropped 1.5% over the past 24 hours to $93 billion, marking fresh multi-month lows.
• Exchanges liquidated $229 million in leveraged positions during that period, with long positions accounting for the bulk of forced closures.
• DOGE futures open interest slid 4%, leading declines among major tokens. PEPE, LINK and AVAX recorded 3% to 5% decreases.
• Open interest in HYPE futures fell to 44.45 million tokens — the lowest since early December — suggesting profit-taking after recent relative strength.
• Implied volatility for bitcoin and ether has retreated sharply from recent peaks, indicating that acute panic has subsided.
• On Deribit, put options on bitcoin and ether remain pricier than calls, reflecting lingering downside hedging, though positioning is less defensive than it was two weeks ago.

Altcoin trends

Altcoins continue to shadow bitcoin’s movements, with the bitcoin dominance ratio fluctuating between 57.4% and 60.1% since September, underscoring BTC’s steady share of total market capitalization.

A handful of tokens have diverged from the broader weakness. AI-focused MORPHO has climbed 23.5% over the past week, while privacy coin Zcash (ZEC) gained 19% during the same period.

Meanwhile, layer-1 token LayerZero (ZRO) has fallen 16% over the past week, losing traction despite announcing a partnership with Citadel Securities and Depository Trust & Clearing Corporation.

On shorter time frames, selling pressure persists. Tokens such as HYPE, SUI and ASTER have dropped between 3% and 4.8% since midnight UTC, as traders await a catalyst capable of reviving bullish momentum across the crypto market.