Markets
Crypto Market Watch: Bitcoin (BTC) Price Briefly Breaks Below the $60,000 Mark in a Drop of 4.61%
Bitcoin’s value briefly fell below $60,000 before stabilizing above it. BTC saw a decline of over 4.50%. The cryptocurrency peaked at $70,000 in the first week of June, but has been steadily declining since then. The decline began on June 22, with the price hitting a low of $58,580. Since then, Bitcoin has regained some value, currently hovering around $60,500.
Edul Patel, CEO of Mudrex, said: “The price of Bitcoin fell to $59,000, the lowest point in six weeks. There are several reasons for this drop. The German government, which transferred nearly 6,500 BTC, as reported by Arkham Intelligence on June 19, withdrew BTC on the downside Yesterday, Mt. Gox announced that it would return $8.5 billion in BTC to customers affected by the 2014 hack. As the price of Bitcoin increased by more than l ‘8,000% since 2014, this could introduce some selling pressure for BTC.
He further added, “The decline in BTC price also coincides with outflows from spot Bitcoin ETFs. However, BTC has since recovered and is trading above the $61,000 level. The next immediate resistance lies at the of $61,400 and support is at the $60,800 level. Investors and traders should closely monitor market developments.”
CoinSwitch Markets Desk said it was an unusual day in the crypto ecosystem. At one point Bitcoin (BTC) fell by more than 8%, altcoins showed resilience, holding their positions while BTC’s dominance declined by almost 1%.
They added: “Despite having a bearish trend for the last 18 days, BTC seems to have found support at $58.5k USD. Before the daily closing candle, it managed a slight bounce above $60k USD. Bitcoin fell below the USD 60k threshold only once after the end of February this year.” Some analysts predict that actual Bitcoin sales may be less significant than the market currently expects.
The CoinDCX research team claims that the market currently appears stable with empty open interest and zero, even negative, funding rates. Technical indicators remain strong on longer time frames. Newly released tokens continue to perform better than older coins.
Rajagopal Menon, vice president of WazirX, says Bitcoin price has undergone a significant correction after failing to consolidate above $70,000, retesting its March high of $73,700. He said: “With a 6.5% retracement over the past week, BTC is now trading just above the $60,000 support. The rapid decline has pushed the Relative Strength Index (RSI) into ‘oversold’ territory, historically preceding rebounds , which some analysts see as potential buying opportunities.”
Menon added: “Despite significant losses, Solana is trading at $134, up 5.5%. Trading volume remains robust, exceeding $2.8 billion in the past 24 hours. Solana alone has saw inflows of more than $2.7 million, suggesting that investors see potential value in SOL despite recent price declines.”