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Bitcoin has been on a strong run recently, breaking through key resistance levels and positioning itself near all-time highs. But the question remains: as equities, specifically the Nasdaq, approach a critical technical level, will broader market momentum slow and pull Bitcoin down with it?

Historically, Bitcoin and the Nasdaq have moved in tandem, particularly during major macroeconomic shifts or risk-on/risk-off environments. However, recent price action suggests that Bitcoin has started to carve out its own path. While not completely detached from equity markets, Bitcoin has shown growing signs of independence as its underlying fundamentals strengthen.

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For readers interested in this evolving relationship between Bitcoin and traditional markets, an article I wrote in early April explores the long-term outlook for Bitcoin amid recession fears. It makes the case for why Bitcoin may hold up better than many expect, especially in the digital asset era.

Keeping a close eye on equity indices like the Nasdaq remains important. These indices act as a compass for the broader market environment. When equity markets are under pressure, crypto assets often feel the impact — even if Bitcoin is showing signs of resilience.

At last look, the Nasdaq, based on the NQ futures chart, is trading right at the 0.62 Fibonacci retracement level from the December high to the April low. This level is historically significant. It’s where sellers may step in or where traders who bought earlier could take profits. That kind of activity can bring downward pressure across risk assets, including Bitcoin.

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From a structural standpoint, the difference between the Nasdaq and Bitcoin is clear. Bitcoin is trading above its March highs and is closing in on its all-time high — a sign of strong bullish momentum. In contrast, the Nasdaq remains below its March highs and is still trading under the lows seen around the election. This shows relatively weaker performance in the tech space.