Bitcoin rebounds back over $36K as risk assets ease some losses

Bitcoin (BTC-USD) bounces back into positive territory as risk assets erase some earlier losses. Earlier on Monday, bitcoin (BTC-USD) reached as low as $32.8K per token, marking its lowest level seen since July, now changing hands just under $36K. Major U.S. stock market indices like the Dow Jones (DJI) -1.9%, S&P 500 (SP500) -2.1% and Nasdaq (COMP.IND) -2.1%, also extend losses from last week's correction. Stocks and bitcoin appear to be trading closely together as both asset classes rebound within a broader decline. Looking at the relatively strong correlation between bitcoin (BTC-USD) and the S&P, "crypto can be viewed as a leading barometer of global liquidity as it's the most speculative of all the risky asset classes. It has been leading S&P in both directions (with some noise obv, not perfect)," Spectra Markets President Brent Donnelly writes in a Twitter post. Donnelly makes a compelling point as bitcoin (BTC-USD) peaked at $69.4K in mid-Nov.