Key Highlights
- BTC recorded its sharpest weekly decline since the November 2022 FTX implosion, plummeting 16% beneath the $60,000 threshold
- Escalating military tensions between the United States and Iran triggered an additional 3% decline on June 9
- The cryptocurrency breached its 200-week moving average, signaling potential bear market conditions
- US spot Bitcoin ETFs have experienced withdrawals exceeding $5.5 billion during an unbroken 13-day outflow streak
- Market analyst Ted Pillows forecasts potential decline to the $50,000–$52,000 range before establishing a cycle low
Bitcoin tumbled beneath the $60,000 mark this past Friday, concluding its most devastating week since the FTX exchange implosion in November 2022. The cryptocurrency experienced a 16% collapse across seven trading days, representing the most severe weekly downturn witnessed in more than two years.
As of this writing, BTC was changing hands near $61,500, remaining more than 50% below its record peak above $126,000.
The selloff accelerated dramatically on June 9 following US Central Command’s announcement of “self-defense” military operations targeting Iran. These strikes came in response to an incident involving a downed US Army Apache helicopter near the strategically vital Strait of Hormuz. Bitcoin dropped 3% immediately following the announcement, touching $61,766.
President Trump addressed the incident via Truth Social, declaring: “The United States must, of necessity, respond to this attack.” Iranian officials have rejected claims they deliberately targeted the aircraft.
Cryptocurrency long position liquidations reached $136 million during the 24-hour period after the military news broke, with Bitcoin representing the lion’s share of these forced closures, per CoinGlass analytics.
Strategy’s Unexpected Sale and Technical Breakdown
Compounding the bearish sentiment, Strategy Inc. — Michael Saylor’s Bitcoin-accumulating enterprise — liquidated a modest portion of its cryptocurrency reserves, challenging the widespread assumption that the company would maintain indefinite holding. While Strategy rapidly purchased 1,550 BTC for approximately $101 million, investor confidence had already sustained damage.
Bitcoin additionally dropped below its 200-week moving average during the past week, a technical threshold closely monitored by market participants. Paul Howard from crypto trading operation Wincent characterized it as “important confirmation that markets may have entered a bear phase.”
Griffin Ardern, co-founder at Primal Fund, noted that longer-duration options contracts are not yet displaying the bullish positioning typically observed at authentic market troughs. “I believe there is further downside,” he stated. “We are still some way off a proper bottom.”
Retail Accumulation While Whales Retreat
Blockchain analytics from Santiment reveal a divergence between smaller and larger Bitcoin holders. Addresses containing less than 0.01 BTC expanded their holdings by 0.36% throughout the previous two weeks, despite BTC’s struggle to maintain the $60,000 level. Conversely, wallets holding between 10 and 10,000 BTC decreased their positions by 0.20%.
Analyst Ted Pillows shared his perspective on X, emphasizing that no Bitcoin cycle bottom throughout history has materialized above the “Realized Price,” which presently stands at $53,000. He projected BTC will “most likely drop towards $50,000–$52,000 before a cycle bottom.”
United States-listed spot Bitcoin ETFs have now registered $5.5 billion in aggregate net withdrawals spanning 13 consecutive trading sessions.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
