Vikram Subburaj, CEO Giottus.com
Bitcoin remained under pressure on Monday and traded below the key $60,000 level. At the time of writing, it was trading in the region of $59,500-60,000. The cryptocurrency has now continued its sharp decline from the $73,000 level in early June. The decline was mainly driven by continued selling through spot Bitcoin ETFs in the US. Investors also remained cautious as expectations grew that the US Federal Reserve could keep interest rates high for longer due to persistent inflation. This has reduced appetite for riskier assets such as cryptocurrencies.
From a technical perspective, Bitcoin continues to trade in a vulnerable range. Immediate support is expected around $58,500-59,000, and a break below this zone could open the next key support at $55,000. On the other hand, the first resistance remains $61,500-62,000, followed by a stronger level at $64,000, which bulls need to clear to signal a meaningful recovery.
On-chain data paints a more balanced picture than the price action suggests. Despite the correction, long-term holders continue to accumulate coins while exchange balances remain relatively stable. This indicates that the bulk of selling pressure continues to come from institutional fund flows rather than widespread retail capitulation. Order book data also points to significant liquidity accumulations in the $60,000-$61,000 region, making it an important battleground in the near term.
Institutional sentiment remains a key factor to watch. During June, US spot Bitcoin ETFs saw continued net outflows. However, official net inflow data for June 28 and 29 could not be independently verified. As a result, these figures are not included here. However, overall demand for ETFs continues to be weak, adding to the cautious tone towards digital assets.
The weakness spread to the broader cryptocurrency market. Ethereum traded around $1,570, BNB around $550, XRP around $1.05 and Solana around $72, with most large-cap altcoins broadly mirroring Bitcoin’s direction as investors continue to de-risk the entire sector.
Our advice: From an investment point of view, macroeconomic development remains the dominant driver. Expectations regarding future Federal Reserve policy, inflation data and any reversal in ETF flows are likely to dictate price action in the near term. Until institutional demand stabilizes and Bitcoin decisively reclaims the $62,000-$64,000 zone, the market is likely to remain range bound with a cautious bias.