Markets
Crypto Market Watch: Bitcoin (BTC) Price Briefly Dips Below $60,000 Mark Amid 4.61% Drop
Bitcoin’s value briefly fell below $60,000 before stabilizing above it. BTC witnessed a drop 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 reaching a low of $58,580. Since then, Bitcoin has regained some value, currently trading around $60,500.
Edul Patel, CEO of Mudrex said: “The price of Bitcoin has dropped to $59,000, the lowest point in six weeks. There are several reasons for this decline. The German government, which transferred almost 6,500 BTC, as reported by Arkham Intelligence in June 19, withdrawn BTC fell. 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 has risen more than 8,000% since 2014, this could introduce a 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 is at the of $61,400 and support is at the $60,800 level. Investors and traders should closely monitor market developments.”
CoinSwitch Markets Desk stated that it was an unusual day in the crypto ecosystem. Bitcoin (BTC) plummeted more than 8% at one point, altcoins showed resilience, holding their positions as BTC’s dominance declined by nearly 1%.
They added: “Despite being in a downtrend for the last 18 days, BTC appears to have found support at $58.5K. Before the daily closing candle, it managed a slight recovery above $60K. Bitcoin fell below the $60,000 mark only once after the end of February this year.” Some analysts predict that actual Bitcoin sales may be less significant than the market currently predicts.
The CoinDCX research team states that currently the market appears stable, with open interest released and funding rates reset, even going negative. Technical indicators remain strong on higher time frames. Newly released tokens continue to perform better than older coins.
Rajagopal Menon, vice president at WazirX, says Bitcoin price has corrected significantly after failing to consolidate above $70,000, retesting its March ATH of $73,700. He said: “With a 6.5 percent pullback last week, BTC is now trading just above the $60,000 support. The rapid decline has pushed the Relative Strength Index (RSI) into ‘ oversold’, historically preceding recoveries, 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, surpassing $2.8 billion in the last 24 hours. Solana alone has seen inflows of more than $2.7 million, suggesting that investors see potential value in SOL despite recent price declines.”