"Bitcoin surges 7%…short-term retail buying may have driven the move"

Bitcoin (BTC) rebounded to $69,900 after posting a 7% jump in a short period from levels where it had been at risk of breaking below $65,000, raising the possibility that the rally was led by short-term retail buying.

According to on-chain analytics firm Santiment on the 2nd (local time), positive mentions on social media surged at a time when concerns were rising that Bitcoin’s price could slip below $65,000. Over the following roughly 2 hours and 20 minutes, Bitcoin climbed 7% to reach $69,900, though the uptrend briefly lost momentum at the $70,000 resistance level.

Santiment said, "This rebound may have been sparked by buying pressure centered on short-term retail investors," adding that "a sharp shift in sentiment translated into short-term price elasticity."

Market narrative is currently focused on military tensions among Iran, Israel and the United States. Volatility could increase depending on key news updates related to geopolitical risks.

Meanwhile, Bitcoin is trading at $68,745.42, up 4.21% from the previous day, according to CoinMarketCap.