Bitcoin slides below $60,000 as $1.5 bn liquidations hit market

Bitcoin dropped to $59,800, slipping below the $60,000 psychological barrier after more than $1.5 billion in crypto liquidations wiped out leveraged positions [1]. The move threatens short‑term buying momentum and puts the market on edge as inflation fears and a $10 billion options expiry loom.

What drove the slide

A cascade of liquidations erased roughly $1.5 billion in leveraged crypto exposure, with Bitcoin alone accounting for about $665 million of losses [1]. Long positions lost $1.2 billion while short traders shed $270 million, indicating that forced sells dominated the market. The liquidation heatmap shows a dense cluster of long contracts just above $60,200–$60,400, which were cleared as price fell below $58,500, leaving thinner downside leverage under $58,000 [1].

Macro pressure amplified the sell‑off. Recent US personal consumption expenditures (PCE) data showed inflation accelerating to 4.1% in May, reviving expectations that the Federal Reserve may keep rates higher for longer [1]. At the same time, nearly $10 billion of Bitcoin options on Deribit are set to expire on June 26, with most contracts out‑of‑the‑money, prompting market makers to hedge by selling spot Bitcoin [1].

Technical picture and on‑chain context

Bitcoin remains below all major exponential moving averages (20‑, 50‑, 100‑, and 200‑day), with the 20‑day EMA near $63,800 acting as the nearest resistance [1]. The daily RSI has recovered to about 31, still well below the neutral 50 level, while the 4‑hour RSI sits near 37, indicating weak buying pressure [1]. Glassnode’s MVRV pricing band places the 1.0 level at $53,390, close to the $54,000 downside target identified by a rounded‑top and bear‑flag pattern on the four‑hour chart [2]. If Bitcoin breaches $54,000, the next technical support aligns with the 0.8 MVRV band around $42,700, a historic bear‑market bottom zone [2].

Spot Bitcoin ETFs have recorded net outflows exceeding 40,000 BTC (about $3 billion) over recent weeks, stripping a major source of institutional buying [1]. Meanwhile, speculative demand metrics from CryptoQuant show short‑term holder conviction falling from –2.4% in mid‑March to roughly –24% year‑on‑year, suggesting recent buyers are entering at much lower prices [1].

What to watch

• $60,000 – reclaiming this level would ease short‑term pressure and could trigger buying near the $60,200–$60,400 liquidation cluster.
• $54,000 – a break below this rounded‑top target would confirm the bearish setup and could lead to the 0.8 MVRV band near $42,700.
• June 26 options expiry – the outcome of the $10 billion Deribit contracts may add further directional bias.

The confluence of massive liquidations, tightening monetary expectations, and a looming options expiry has pushed Bitcoin into a fragile zone. Whether price can rebound above $60,000 or slides toward the $54,000 technical target will hinge on the next wave of institutional flows and macro data.