Bitcoin (BTC), the leading cryptocurrency, experienced a significant drop of over 3% in the past 24 hours, falling from $68,337 to $66,304. This decline coincided with Bitcoin ETFs witnessing outflows amounting to $226.21 million in a single day.
The recent volatility in BTC’s price saw it briefly recovering to $68,000 on Thursday before dropping to $66,304. This downward trend followed the Federal Reserve’s decision to keep the interest rate steady at 5.25% to 5.50%, impacting BTC’s performance in the market.
Earlier in the week, Bitcoin surged close to $72,000 but failed to maintain its momentum, leading to a sharp decline. Despite reaching a peak of $73,798 in March, the cryptocurrency has struggled to surpass this level due to significant inflows into U.S. exchange-traded funds (ETFs).
On June 13, Bitcoin ETFs experienced outflows totaling $226.21 million in a single day. Grayscale Investments’ GBTC saw a $62 million outflow, while Fidelity’s FBTC faced a $106 million outflow, marking its second since inception. In contrast, BlackRock’s Bitcoin ETF recorded an $18 million inflow, deviating from the overall withdrawal trend. Currently, IBIT manages $17.63 billion in Bitcoin ETF assets.
Analyzing the potential price levels for BTC, it is currently trading at $67,045 with a daily trading volume of approximately $26.70 billion. Following the June 14 flash crash, Bitcoin fell below the ascending parallel channel, breaking key support levels. BTC is now striving to remain above the 100-day EMA at $67,128, as a drop below this could result in further declines towards crucial levels at $65,500 and $64,800.
If Bitcoin breaches below $64,500, it could enter a bearish phase targeting a low of $63,000. Further decline may lead BTC towards the $60,000 demand zone, representing a 15% decrease from its all-time high price.
To initiate a recovery, bulls must push the price above the 50-day EMA at $67,800, with key resistance levels at $68,500 and $69,250. Sustaining above these levels could trigger more gains up to $72,500 and potentially a new all-time high between $74,000 and $74,500.
