Bitcoin breaks $60,000 to hit 20-month low as deleveraging sweeps markets

Bitcoin tumbled more than 5% to break below $60,000 for the first time since September 2024, erasing the entire Trump 2.0 rally as a sell-everything deleveraging swept across global markets.

Bitcoin fell 5.1% to $59,369 on June 24, its lowest level since September 2024, as a broad risk-off move swept across asset classes. The decline pushed the token below the June 5 intraday low of $59,125 and extended losses that have now erased more than half its value since the October 2025 all-time high of $126,000.

"Bitcoin is increasingly trading like an institutional risk asset, and when ETF allocators and corporate treasuries exit, the price follows," Marion Laboure, analyst at Deutsche Bank, said. The bank now forecasts two rate hikes in 2026, reversing earlier expectations for cuts, removing a key pillar of institutional demand for risk assets.

Spot Bitcoin ETFs have recorded six consecutive weeks of net outflows totaling roughly $6 billion, with $2.4 billion leaving in June alone, according to Coinglass data. Open interest across Bitcoin futures fell alongside the price, reflecting a broad unwind of leveraged positions. The selling extended to crypto-exposed equities: Strategy, the largest corporate Bitcoin holder, fell for five consecutive sessions and is down 26% over the past 30 days. The company sold 32 BTC for approximately $2.5 million in late May — its first sale since 2022 — to cover preferred stock distributions, shattering its "buy only, never sell" identity. Strive, the Bitcoin treasury company backed by Vivek Ramaswamy, is sitting on paper losses after purchasing 2,500 BTC at an average price of $74,092.

The decline pushed Bitcoin below the lowest band of the Rainbow Chart for only the second time in its history, entering the model's "Bitcoin Is Dead" zone around $62,500. Some analysts argued the breach reflects a structural shift in the market rather than a signal of Bitcoin's demise. "The exponential growth assumptions baked into this chart were calibrated to a retail-driven, illiquid asset, not a $1.25 trillion market with ETF flows and institutional balance sheets setting the marginal price," Markus Levin, co-founder of XYO, said.

The breakdown below $60,000 opens a path toward the $50,000 level, with the next major support at $55,000, according to technical analysts. A poor earnings reaction from Micron later today could accelerate selling if risk-off pressure intensifies on the Nasdaq. The broader selloff extended across commodities, with silver down 7.4%, gold falling 3% and WTI crude oil dropping 4%, as investors rotated into bonds, pushing yields lower by 6 to 9 basis points.

This article is for informational purposes only and does not constitute investment advice.