Bitcoin fell below $63,000 on Tuesday, as a mix of technical weakness, institutional outflows and leveraged selling added pressure to the broader cryptocurrency market.
At press time, Bitcoin was trading near $62,491, down about 3% over the past 24 hours. The global crypto market cap fell 3.47% to $2.14 trillion. Ether lost more than 6%, BNB fell more than 4%, while Solana and HYPE each fell more than 7%.
Bitcoin’s $66,000 rejection puts $62,000 support back in focus
The selling began after Bitcoin pushed towards the $65,500-$66,100 resistance zone on Monday, but failed to break through it. This rejection reversed short-term momentum and pushed the asset below a five-day ascending support trendline, which had formed after the price rally from the $62,000 region.
The breakdown accelerated the pullback towards $62,000. At press time, price action still suggested a bearish continuation around this support zone. This area now represents the immediate technical support of the market. A return above $65,000 would reestablish some near-term structure, but continued trading below this level allows sellers to maintain control after the resistance test fails.
ETF Outflows and $161 Million in Liquidations Bolster Bitcoin Selloff
Institutional demand seemed fragile even before the decline. US Bitcoin spot exchange-traded funds saw $68.18 million in net outflows on June 22. These withdrawals extended a seven-week buyback trend, reducing a significant source of demand in the spot market during a period of weakening price momentum.
The selling suggests that institutions were reducing their exposure before the latest decline rather than absorbing supply during the decline. Once Bitcoin fell below $63,000, stop-loss orders and leveraged positions added further downward pressure.
Long Bitcoin liquidations exceeded $161 million over 24 hours. Short liquidations totaled about $38 million, meaning bullish positions absorbed most of the forced closes during the market decline.
Falling Oil, Higher Yields and Strong Dollar Add to Crypto’s Problems
The crypto pullback follows a sharp drop in crude oil below $73 per barrel after Washington granted Iran a 60-day international oil sales license. Reports also indicated that Tehran could regain access to $12 billion in frozen funds under an ongoing deal with the United States.
At the same time, rising U.S. Treasury yields and a strengthening dollar have reinforced a defensive environment for risk assets. This left the crypto market without significant macro support. Attention now turns to the $60,000-$61,500 support range and the June 26 US PCE core inflation release.
Slowing inflation could ease pressure from the Federal Reserve’s hawkish expectations. A higher figure would preserve the restrictive context that already weighs on risk-sensitive markets.
