“Bitcoin rose to $67,100, a third day of strength,” said Alex Kuptsikevich, an analyst at broker FxPro. “The correction from the peak has removed overbought conditions on a daily timeframe, making room for growth and easing the psychological impact on potential buyers as many are more comfortable buying the asset after a drawdown.”

Bitcoin is crawling back to peak levels, supported by multiple factors. Among them is continued demand for spot Bitcoin exchange-traded funds (ETFs), which were approved in the U.S. in January and have ushered in a fresh wave of investor interest in crypto. Bitcoin’s “halving” also looms in April, when the issuance of new tokens will be cut in half, further supporting prices at a time when demand has been rising.

Wider risk sentiment also remains important for digital assets, which have shown themselves to be largely correlated to big swings in equities. The

Dow Jones Industrial Average

and

S&P 500

jumped back to record highs last week in a trend that provided support for Bitcoin and helped halt the crypto selloff.

Beyond Bitcoin,

Ether

—the second-largest crypto by market value—rose 3% to $3,450. Smaller tokens or altcoins were higher, with

Cardano

climbing 2% and

Polygon

up 3%. Memecoins were more muted, with

Dogecoin

and

Shiba Inu

falling 1% each.

Write to Jack Denton at jack.denton@barrons.com