Bitcoin bounces off new 2026 price lows: Will US stock weakness push BTC lower?

Bitcoin fell to new 2026 lows this week, influenced by significant spot Bitcoin ETF outflows totaling $1.8 billion in the past month. This decline coincided with a bearish monthly options expiry on March 29, 2026, which saw $1.5 billion in Bitcoin options contracts mature. The cryptocurrency's performance also diverged from AI-connected stocks, which have seen substantial gains, with some analysts noting that the unrealized losses within certain investment strategies may be contributing to the widening gap. The price drop occurred despite a general trend of increasing institutional interest in digital assets, as evidenced by the growing assets under management in Bitcoin ETFs. However, macroeconomic factors, including anticipated interest rate decisions from the US Federal Reserve, are also being closely watched by investors. The correlation between Bitcoin and traditional equity markets, particularly tech stocks, has become more pronounced in recent months, suggesting that broader market sentiment is increasingly impacting the cryptocurrency's valuation. Analysts are monitoring key support levels around $60,000, with a sustained break below this threshold potentially signaling further downside pressure. The market is also anticipating the upcoming Bitcoin halving event, historically a bullish catalyst, though its immediate impact remains uncertain amidst current market conditions.