Bitcoin, the leading cryptocurrency, has encountered significant selling pressure following a notable price decline. After reaching an all-time high during the April halving, Bitcoin’s value dropped, influenced heavily by miners’ actions. This decline brought the price down to $65,000, causing its market capitalization to fall below $1.3 trillion.
What Are Bitcoin ETFs Experiencing?
The price of Bitcoin fell to a one-month low, with the 50-day moving average indicating further potential declines. The expectation that the US will maintain higher interest rates has also contributed to ongoing BTC sales. The decline extended to Bitcoin ETFs, which saw an outflow of $620 million last week.
On June 17, US spot Bitcoin ETFs recorded a significant outflow, totaling $208 million. Data from LookonChain revealed that Fidelity’s FBTC experienced outflows of more than $80 million, while Grayscale’s GBTC saw outflows exceeding $60 million. Renowned analyst Rekt Capital noted Bitcoin’s failure to break through high levels ranging between $60,573 and $71,524.
When Will Bitcoin Regain Momentum?
The decline in Bitcoin’s price accelerated upon rejection from the accumulation range. To regain momentum, Bitcoin would need to surpass the $71,350 mark. However, the price has struggled to break below $67,183, suggesting resistance is forming at lower levels. Sellers are applying pressure and are prepared to sell at decreasing prices during any uptrend attempts.
Key Takeaways for Investors
- Bitcoin must surpass $71,350 to regain upward momentum.
- Price resistance is forming at increasingly lower levels, indicating persistent selling pressure.
- The current support level of $67,200 is weak, suggesting potential for continued decline.
- Investors should monitor interest rate expectations closely as they impact BTC sales.
- ETFs experienced significant outflows, reflecting broader market sentiment.
The continuous selling pressure and weak support levels suggest that Bitcoin’s downward trend might persist in the coming days. Investors should remain cautious and keep a close watch on market indicators and news that could affect Bitcoin’s price movements.