Bitcoin turns positive after overnight sell-off briefly pulls it below $56,000

Tech stocks struggled in U.S. trading Tuesday, with the sector coming off its worst day since September 2022, while two readings of manufacturing production showed signs of weakness, rekindling fears about the health of the economy. Japan’s Nikkei 225 and the broad-based Topix finished Wednesday trading with their worst one-day loss since the Aug. 5 sell-off.

Lately, bitcoin’s moves are sometimes more muted than stocks’ during U.S. hours on big market days. James Davies, co-founder at crypto trading platform Crypto Valley Exchange, explained that traders react “more dynamically” to macro events during Asia trading.