Bitcoin’s price has fallen by approximately 3.25% in the last 24 hours, settling at $3,690 on June 8.
Despite this decline, the BTC/USD pair is performing better than the broader crypto market, which has seen a 3.75% drop in the same period.
Two main factors are driving Bitcoin’s lower prices today: better-than-expected job data in the United States and a slight reduction in the BTC supply held by its wealthiest investors.
The primary reason for Bitcoin’s price drop today is the robust U.S. employment report for May.
Nonfarm payrolls surged by 272,000, surpassing all 77 estimates in Bloomberg’s economist survey.
This positive data led to a surge in Treasury yields, with both two-year and 10-year yields rising by about 12 basis points.
As a result, stocks declined, with the benchmark S&P 500 Index down around 0.3%, while the dollar strengthened.
Higher yields typically indicate increased borrowing costs, leading to a reduced appetite for risk.
Consequently, investors tend to move away from riskier assets like stocks and cryptocurrencies in favor of safer investments.
Another factor contributing to Bitcoin’s price decline is a slight dip in the BTC supply held by its wealthiest holders.
Notably, the Bitcoin supply held by “whales” with at least 100,000 BTC has decreased by 0.2% in the last 48 hours.
This suggests that these investors are either redistributing their holdings into smaller addresses or cashing out altogether.
However, other Bitcoin supply cohorts, such as those holding 10,000-100,000 BTC and 1,000-10,000 BTC, have been accumulating in recent months
From a technical perspective, Bitcoin’s decline today started after testing its interim resistance level at around $70,000.
Since mid-March, Bitcoin has been unable to close decisively above this level.
This resistance level appears to be the neckline of Bitcoin’s prevailing inverse-head-and-shoulders (IH&S) pattern.
This classic bullish reversal setup resolves when the price breaks above the neckline and rises by the maximum distance between the pattern’s lowest point and the neckline.
If the IH&S pattern plays out as intended, Bitcoin’s primary upside target for July is over $90,000.
Conversely, a pullback from the neckline could send BTC price toward its 50-day exponential moving average (50-day EMA) at around $66,740.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
If Bitcoin rebounds swiftly from its recent dip to $71,000 on June 6, over a billion dollars worth of short positions will be liquidated.
On June 7, Bitcoin fell by 3.33% to $68,507 before slightly recovering above the crucial $69,000 level.
This decline occurred amid broader macroeconomic uncertainty following the United States Employment Situation Summary Report, which revealed higher-than-expected job growth in May.
In addition to Bitcoin’s drop, Ether also fell by 3.58% over 24 hours, while several altcoins like Solana, Dogecoin, and Pepe experienced significant declines of 5.61%, 8.70%, and 9.99%, respectively, according to CoinMarketCap data.
This market plunge resulted in a $409.51 million liquidation of both short and long positions across the board, based on CoinGlass data, with $56.71 million being long positions in Bitcoin.
However, just two days before this price decline, on June 5 and 6, Bitcoin was trading between $70,000 and $71,662.
Many traders were optimistic that it might inch closer to its all-time high of $73,679.
Currently, traders are betting that Bitcoin’s price may not rebound quickly.
If Bitcoin returns to $71,000, $1.38 billion in long positions will be wiped out, indicating that futures traders expect further price declines.
This comes as investors question why Bitcoin’s price hasn’t surpassed its March all-time highs, despite a 19-day streak of positive inflows into Bitcoin exchange-traded funds (ETFs).
On June 7, Cointelegraph reported that analysts highlighted the impact of multiple factors on Bitcoin’s price, noting that ETFs alone do not have enough influence.
“ETF flows are fantastic, but they are not strong enough to exceed the entire ecosystem selling (yet),” Capriole Investments founder Charles Edwards told Cointelegraph.
Crypto trader Christopher Inks also emphasized that “the market is made up of spot, futures, ETFs, and options.”
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
Bitcoin hovered around $69,000 on June 8 as traders recovered from a sudden sell-off.
Data from Cointelegraph Markets Pro and TradingView indicated that Bitcoin’s price stabilized as the weekend approached.
The largest cryptocurrency experienced abrupt volatility at the start of the Wall Street session, driven by what was termed “schizophrenic” U.S. employment data.
This was exacerbated by a decline in altcoins, following market reactions to a livestream by pseudonymous investor Roaring Kitty.
BTC/USD hit local lows of $68,450 on Bitstamp, while Ether, the largest altcoin, briefly dipped below $3,600.
Reflecting on the past 24 hours, trading firm QCP Capital described the U.S. session as “doubly strange.”
“It was confusing enough to trigger a risk-off ahead of US inflation numbers and FOMC next Wed,” QCP wrote in a Telegram channel update.
They referred to the upcoming macroeconomic data releases, including the Consumer Price Index (CPI) and the Federal Reserve’s meeting to decide on interest rate policy.
QCP continued, “Followed by a Roaring Kitty live stream which had almost a million viewers, during which GME stock price crashed.
“It was probably not a coincidence that Alts and Memecoins started collapsing as well with over $40 billion wiped in market cap.”
READ MORE: Sky Mavis Recovers $5.7 Million from Ronin Bridge Hack with Aid of Norwegian Authorities
Despite the turmoil, QCP viewed the local lows on BTC and ETH as a buying opportunity, anticipating future Federal Reserve actions might favor risk assets.
Analyzing key levels, the crypto market focused on the monthly open around $67,500 as a critical support level if weakness persisted.
“Lots of coins are at do or die levels IMO, these are the types of trades I like,” popular trader Crypto Chase noted on X.
“If we lose all these levels, we lose the current HTF bullish bias to a degree IMO. BTC holding 64-65K would be the last hope before destruction.”
A potential positive aspect was the leverage flush in Bitcoin and Ether.
“Bitcoin lost approximately $1.3B in Open Interest on this flush.
$ETH also lost about $800M for a total of well over $2B for just BTC & ETH combined,” observed fellow trader Daan Crypto Trades.
Previously, Cointelegraph had reported on global liquidity trends already supporting a potential BTC price breakout to all-time highs.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
Despite a notable short interest, MicroStrategy, led by Michael Saylor, continues to witness significant attention from investors, holding $6.9 billion in major short positions as reported by institutions.
As per data from investment research firm Fintel, as of June 6, MicroStrategy features prominently with 18 short positions on Fintel’s “The Big Shorts” list, a compilation of substantial short positions disclosed to the U.S. Securities and Exchange Commission.
The largest of these short positions against MicroStrategy stands at about $2.4 billion, ranking as the 27th-largest net short position among institutions.
This figure is notably less than Amazon’s highest net short position of $3.59 billion, while the largest net short position in the U.S. targets the SPDR S&P 500 Trust ETF, valued at a staggering $114.06 billion.
Despite this backdrop of aggressive short-selling, the sentiment among short-sellers seems to be changing.
The short-interest ratio for MicroStrategy’s stock has halved over the past six months, plummeting from 3.1 days to 1.5 days, indicating a decrease in short-seller interest and reduced risk of a short squeeze.
This ratio measures the average number of days required for short sellers to cover their positions, with a lower figure suggesting waning interest.
Amid these dynamics, MicroStrategy’s stock performance has been robust.
READ MORE: Meta Faces 11 Complaints Over AI Data Use Without Consent, Potential EU Privacy Violations
According to Google Finance, since December 2023, the stock price has surged from $570 to $1,656, effectively tripling in value.
This rally coincides with developments in the cryptocurrency sector, where the launch of spot Bitcoin ETFs in 2024 led investment firm Kerrisdale Capital to speculate on the decreasing necessity of trading MicroStrategy shares as a proxy for Bitcoin exposure.
Kerrisdale Capital highlighted this shift in a March 28 analyst note, stating, “The days when MicroStrategy shares represented a rare, unique way to gain access to Bitcoin are long over.”
This sentiment reflects a broader market adjustment to new financial products that offer direct exposure to Bitcoin, potentially diminishing MicroStrategy’s appeal as an indirect investment option.
Adding to the narrative of success, a recent report by Cointelegraph highlighted that MicroStrategy has substantially outperformed Bitcoin itself over the past year.
The stock has risen by approximately 469%, compared to a 168% increase in Bitcoin’s value, underscoring a period of significant financial growth for the firm amidst a challenging and evolving investment landscape.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
On June 8, Bitcoin hovered around $69,000, recovering from a sudden drop. Data from Cointelegraph Markets Pro and TradingView showed Bitcoin’s price stabilizing over the weekend.
The largest cryptocurrency experienced sudden volatility at the prior Wall Street open due to “schizophrenic” U.S. employment data.
This was exacerbated by a sharp decline in altcoins, triggered by market reactions to a livestream by pseudonymous investor Roaring Kitty.
BTC/USD saw local lows of $68,450 on Bitstamp, while Ether, the largest altcoin, briefly fell below $3,600.
In response to these events, trading firm QCP Capital described the U.S. session as “doubly strange.”
“It was confusing enough to trigger a risk-off ahead of US inflation numbers and FOMC next Wed,” QCP Capital wrote in its latest update to Telegram channel subscribers.
QCP referred to next week’s macro data releases, including the Consumer Price Index (CPI) and the Federal Reserve meeting to determine interest rate policy.
“Followed by a Roaring Kitty live stream which had almost a million viewers, during which GME stock price crashed,” it continued.
“It was probably not a coincidence that Alts and Memecoins started collapsing as well with over $40 billion wiped in market cap.”
Despite this, the firm saw local lows on BTC and ETH as “a good opportunity to buy the dip” given potential future Fed moves that might benefit risk assets.
Regarding key BTC price levels, analysts highlighted the monthly open around $67,500 as crucial support if weakness continues.
“Lots of coins are at do or die levels IMO, these are the types of trades I like,” popular trader Crypto Chase wrote on X.
“If we lose all these levels, we lose the current HTF bullish bias to a degree IMO. BTC holding 64-65K would be the last hope before destruction.”
A potential positive sign emerged with a leverage flush across Bitcoin and Ether.
“Bitcoin lost approximately $1.3B in Open Interest on this flush. $ETH also lost about $800M for a total of well over $2B for just BTC & ETH combined,” trader Daan Crypto Trades noted.
Previously, Cointelegraph reported on global liquidity trends already supporting a BTC price breakout to all-time highs.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
Bitcoin, Ether, and the broader altcoin market faced a decline following the release of U.S. employment data on June 7, which exceeded expectations.
However, traders view this downturn as a temporary “shakeout” before the market resumes its upward trend.
“Strong sell-off into support. Alts suffered more,” pseudonymous crypto trader il Capo of Crypto shared with their 848,000 followers on X on June 7.
They described the situation as a “shakeout,” where many investors sell-off simultaneously due to market or economic uncertainty.
The U.S. Employment Situation Summary Report revealed a higher-than-expected job increase, contradicting crypto analysts’ predictions that a weaker report would pressure decisions to lower inflation, potentially pushing Bitcoin to new highs.
“A weaker surprise could bring back rate cuts, and next week, we will get the CPI inflation report.
“If CPI [year-on-year] is 3.3% or lower, it will likely push Bitcoin to new all-time highs,” said Markus Thielen, head of research at 10x Research, on June 5.
Despite the surprising data, Thielen does not attribute the crypto market drop directly to the employment report.
“Crypto sold off at the end of Friday without a determining catalyst,” he stated in a June 7 report viewed by Cointelegraph, noting that the data was “mixed:”
“US employment data was mixed, with the unemployment rate climbing to 4.0% but an upside surprise in the number of jobs added. This was entirely due to an increase in part-time workers.”
Traders are closely monitoring key support levels.
The U.S. added 272,000 jobs in May, while the unemployment rate increased by 0.1%, according to the U.S. Bureau of Labor Statistics.
il Capo of Crypto noted that if the key “support levels hold, we should see bullish continuation soon.”
Bitcoin fell 1.99% over the past 24 hours, dropping to $69,410.
Ether declined by 3.22%, while altcoins experienced even more significant losses: Pepe plunged 10.54%, Solana dropped 4.89%, and Dogecoin tumbled 7.88%, according to CoinMarketCap data.
Other traders suggest the market’s peak is still ahead and see the decline as a buying opportunity.
“The real bull market hasn’t even started yet,” pseudonymous crypto trader Kaleo claimed in a June 7 X post.
“Small dip just before the weekend, not what I expected but we ball anyway,” pseudonymous crypto trader Jelle wrote on the same day.
“Bought some dips for a quick turnaround trade,” added Jelle.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
The U.S. economy’s robust labor market, highlighted by the latest nonfarm payrolls report, could exert downward pressure on Bitcoin prices.
The report, which excludes agricultural employment, showed that job creation in May surpassed expectations, potentially signaling a stronger economic outlook.
This development might lead investors to anticipate tighter monetary policy, as they shift focus towards more traditional assets, potentially impacting Bitcoin negatively.
According to Bitfinex analysts, “If the NFP exceeds expectations significantly, it could signal a stronger economy, possibly leading to fears of tightening monetary policy.
This might put downward pressure on Bitcoin as investors rebalance toward traditional assets.”
Indeed, the nonfarm payrolls for May revealed the addition of 272,000 jobs, well above the forecasted 182,000.
This could reduce the appeal of riskier assets like Bitcoin, which might struggle to maintain its value, possibly dropping below the $70,000 mark by the week’s close.
In Europe, economic maneuvers also painted a complex financial landscape.
The European Central Bank (ECB) reduced its benchmark lending rate from 4% to 3.75%, its first cut in five years, just ahead of the EU-wide elections.
Bitfinex analysts suggested that this rate cut could weaken the euro, thereby boosting the attractiveness of Bitcoin and other alternative assets.
READ MORE: Robinhood Expands into Crypto with $200 Million Bitstamp Acquisition Amid SEC Scrutiny
They noted, “The rate cut could weaken the euro, potentially leading to higher demand for alternative assets like Bitcoin.
“The increased liquidity from this monetary easing could also support risk assets, including cryptocurrencies.”
The price movements of Bitcoin were relatively flat, though it experienced a slight drop by 0.8% around midday UTC, trading at $71,186, according to CoinMarketCap.
However, positive trends in institutional inflows, particularly from U.S. spot Bitcoin ETFs, might yet bolster Bitcoin’s market position.
These ETFs have already seen significant inflows, amassing over $1.54 billion this week alone, indicating a strong investor confidence that could push Bitcoin’s price above the $70,000 threshold.
On June 5, U.S. Bitcoin ETFs reported inflows of $488.1 million, and an even more impressive $886.6 million on June 4, marking some of the highest single-day gains this year.
As of mid-February, Bitcoin ETFs represented about 75% of new investments into the cryptocurrency as it breached the $50,000 level, underscoring the significant impact of institutional investment on Bitcoin’s market dynamics.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
Bitcoin‘s price maintained a steady position at $71,000 on June 7, even as analytical tools indicated potential tests of lower price levels soon.
The day’s trading data, as per Cointelegraph Markets Pro and TradingView, highlighted a bounce in Bitcoin’s value after it touched intraday lows of $70,120 on Bitstamp, just before the daily trading session concluded.
This trend of quick recoveries from lower values persisted throughout the week, marked by sharp downturns and subsequent rebounds.
A significant dip occurred on June 5 when Bitcoin’s price momentarily dropped to $69,600, only to recover later.
Material Indicators, a trading resource, noted this pattern, suggesting an impending test of the $69,000 support level.
They shared, “Both Trend Precognition algos are showing new #TradingSignals indicating that it may be time to retest local support,” in a social media post.
Keith Alan, co-founder of Material Indicators, expressed optimism about reaching this key support level, stating, “For me, a move back to $71.6k invalidates, and a hot Unemployment Report in the morning could be a catalyst for a move like that.”
He further emphasized the psychological significance of the $69,000 level, suggesting that its breach could confirm a bullish support-resistance flip.
Further adding to the analysis, Alan highlighted the impact of upcoming U.S. unemployment data, known to affect Bitcoin’s volatility.
During June 6 trading, Skew, a prominent trader, reported substantial Bitcoin sales on exchanges like Binance and Coinbase, including a single transaction of 2,000 BTC on Coinbase.
READ MORE: Robinhood Expands into Crypto with $200 Million Bitstamp Acquisition Amid SEC Scrutiny
Despite these sales, the market showed resilience, with bulls stepping in to prevent a further slide, as Skew had earlier warned could have more severe implications for Bitcoin’s pricing trend.
Michaël van de Poppe, CEO of MNTrading, noted that despite signs of strength, Bitcoin had not yet managed to exit its established trading range.
He remarked on social media, “Bitcoin is still stuck within the range, but very heavily ready for a breakout upwards to a new all-time high,” signaling a cautious optimism for a forthcoming surge.
Alan pointed to market manipulation by large investors, or ‘whales’, as a significant factor restraining Bitcoin’s ascent towards record highs.
He accused them of keeping prices low to protect their short positions, particularly noting a concentration of short positions between $71,500 and $75,000.
CoinGlass data indicated that $71,900 was a key focus for traders, representing a significant point of liquidity just above the current market price.
This observation suggests that Bitcoin’s price movements remain closely watched, with various factors influencing its short-term trajectory.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
Bitcoin saw a 5.9% increase between June 2 and 5, peaking at $71,746, supported by almost $1 billion in inflows into U.S.-based spot Bitcoin exchange-traded funds (ETFs).
This indicates strong demand from institutional investors. Despite favorable conditions like a more crypto-friendly stance from U.S. lawmakers, Bitcoin couldn’t break the $72,000 barrier.
Bitcoin’s bullish momentum was partly due to the significant unrealized losses in the U.S. banking sector. However, regulatory uncertainty persists.
According to Matt Hougan, Bitwise’s chief investment officer, this uncertainty has kept financial advisers from increasing their crypto exposure.
Hougan believes the U.S. is moving toward regulatory clarity, starting with the Democrats’ vote to repeal the SEC’s Staff Accounting Bulletin 121.
The SEC’s approval of spot Ether ETFs suggests a softer stance towards crypto.
Yet, U.S. President Joe Biden’s veto of the SAB 121 repeal indicates that “crypto still has a long way to go,” Hougan notes.
An FDIC report states that U.S. financial institutions are currently facing $517 billion in accounting losses due to higher rates impacting their residential mortgage-backed securities, with 64 banks near insolvency in the first quarter of 2024.
Arthur Hayes, BitMEX co-founder, argued that printing more money could be a solution, favoring scarce assets like Bitcoin.
Hayes links Bitcoin’s 43% bull run starting in March 2023 to the collapses of Silicon Valley Bank and Silvergate Bank.
READ MORE: Bitcoin Surges to Two-Week Highs Amid Fresh Institutional Inflows and ETF Approvals
He suggests a similar pattern could occur in 2024. However, even if the Federal Reserve injects liquidity to prevent widespread bankruptcy, Bitcoin’s price might first decline if the stock and bond markets suffer.
Before the March 2023 rally, Bitcoin’s price dropped to $19,559, reflecting market uncertainty similar to movements in the U.S. two-year Treasury yield.
This indicates that traders were willing to trade yield for the security of a government-backed asset.
Investors might anticipate a price correction before another Bitcoin rally, although the consistent inflows into U.S. spot Bitcoin ETFs, totaling over $52 billion since January, could prevent this.
Additionally, the strong performance of U.S. tech stocks, such as Nvidia, pushed the S&P 500 index to an intraday all-time high of 5,342 on June 5. UBS analysts expect the Fed to cut rates twice this year, creating a “healthy backdrop for stocks,” according to CNBC.
This strong stock market performance might reduce incentives for alternative assets like Bitcoin.
GameStop’s 32% surge, driven by influencers and social media posts, may also divert interest from cryptocurrencies.
In summary, while Bitcoin could reach a new all-time high in 2024, the current comfort with fixed-income and stock market investments reduces the immediate incentive for a push above $71,000.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
Bitcoin might be on its way to hitting the significant $100,000 mark as the “digital gold” narrative strengthens amid an impending banking crisis in the United States.
According to the Federal Deposit Insurance Corporation’s (FDIC) quarterly report published on May 29, at least 63 U.S. banks faced insolvency in the first quarter of 2024, an increase from 52 banks in the third quarter of 2023.
These banks collectively hold $517 billion in unrealized losses, a $39 billion rise from the previous quarter, marking the ninth consecutive quarter of unusually high losses. The FDIC report noted:
“Higher unrealized losses on residential mortgage-backed securities, resulting from higher mortgage rates in the first quarter, drove the overall increase.
:This is the ninth straight quarter of unusually high unrealized losses since the Federal Reserve began to raise interest rates in the first quarter of 2022.”
Concerns about the U.S. banking system escalated after the collapse of Silicon Valley Bank (SVB) and the liquidation of Silvergate Bank in March 2023.
New York regulators also shut down Signature Bank shortly after Silvergate’s liquidation.
In response, the Federal Reserve introduced the Bank Term Funding Program (BTFP), offering banks loans up to a year with “qualifying assets” as collateral.
BitMEX co-founder Arthur Hayes claimed this emergency measure initiated the Bitcoin bull run in 2023. Hayes remarked at Korea Blockchain Week:
READ MORE: Bitcoin to Reach $150,000 by Early September, Says Crypto Trader Peter Brandt
“Me and the rest of the market rightly saw through this as basically them admitting that they caused this problem — the structure of the banking system — and this is one of the ways you can fix it, which is: print more money.”
Bitcoin surged 26% from $21,900 to $28,054 during the week of March 13, 2023.
Jamie Coutts, chief crypto analyst at Realvision, highlighted the FDIC report’s validation of his price action model, anticipating Bitcoin to solidify above $63,000 before further gains. Coutts noted on June 4:
“After some nice coiling pricing action since March, my boring Bitcoin Trend model triggers. DXY down, Yields and Corp Spreads are lower.
“Can you smell that, son? That’s the smell of central bank liquidity in the air…”
Crypto analyst Trader Tardigrade also predicted a breakout to $100,000, stating on June 5:
“I’m not surprised that Bitcoin has broken out the recent Bull Pennant after the Breakout of Bull Flag. Both Bull Pennant and Bull Flag are promising chart patterns.
“The next surge could reach over $100k.”
Inflows from U.S. spot Bitcoin exchange-traded funds (ETFs) could further boost Bitcoin’s momentum. U.S. Bitcoin ETFs have seen net positive inflows for fifteen consecutive days as of June 4.
Despite the bullish outlook, Bitcoin faces significant resistance at $72,000, where breaking above could liquidate over $922 million in leveraged short positions, according to Coinglass data.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.