Why is Bitcoin down today? BTC slips below $64K

Bitcoin’s price is down today; it’s the lowest in over a month. As Bitcoin’s price dipped below $64K, the total crypto market capitalization declined by over $70 billion. Bulls are struggling to maintain market stability as the negative crypto weekend kicks in.

Also Read: Bitcoin faces an ‘extended level of FUD’ – Santiment reports

Bitcoin saw a 2.30% decline on June 21, hitting $63,500, marking its lowest point in more than a month. Currently, the value of Bitcoin (BTC) stands at $63,730.01. This represents a slight decrease of 0.4% compared to an hour ago and a 1.3% decline since yesterday. The current value of BTC is 4.0% lower than its value a week ago.

Bitcoin market crashes

Last week on Friday, the crypto market experienced a significant drop towards $65K, but fortunately, the bulls swiftly regained control over the market during the weekend. However, as soon as the new week began, BTC bears regained control and thwarted any hopes of a quick recovery.

Furthermore, Bitcoin liquidations are on the rise, indicating that many futures traders are experiencing significant losses. However, the decline is certainly not limited to Bitcoin alone.

Source: CoinGecko

Conversely, Bulls might find solace in the fact that indicators monitored by analysis firm Santiment reveal that crowd sentiment for BTC has entered its fourth consecutive week of “extreme negative” readings.

The Weighted Sentiment Index by Santiment analyzes bitcoin mentions on X (formerly Twitter), evaluating the ratio of positive to negative comments and trading volumes to understand the overall sentiment of the crowd towards bitcoin. The index has remained in negative territory since May 23, with a reading of -0.73 as of Friday.

The crypto market faces historic declines

Additionally, data from Google Trends indicates a decrease in retail search interest. The tool helps users to analyze and compare search volumes. When a line is trending downward, it indicates that the popularity of a search term is declining compared to other popular terms. According to data, global searches for “bitcoin” have been consistently declining since March 2024.

Source: Goggle Trends

The altcoin market is also experiencing a downturn, particularly in the case of meme coins. Major cryptocurrencies such as BNB experienced a significant setback. It experienced a 4.2% decrease this week, while Solana (SOL) saw a more significant drop of 11%. TON has experienced a significant decrease of 10.6%, while ADA has also seen a notable drop of 9.3%.

Surprisingly, Ripple’s XRP has increased by 2.4% over the last seven days despite the unfavorable market conditions for other major alternative cryptocurrencies. This is in spite of the company’s ongoing legal battles in California and the significant case involving the US Securities and Exchange Commission.

Spot ETFs take huge loses

In recent weeks, BTC prices have declined due to a combination of factors, including significant sales by large holders, the strength of the dollar, and the attractiveness of the strong U.S. technology index market to investors.

Today, Bitcoin’s losses align with its decreasing market share in the crypto industry.

Remarkably, the Bitcoin Dominance Index (BTC.D) experienced a slight decrease of 0.48% on June 21, reaching 55.19%. This decline has been ongoing since the local peak of 56.29%, which was reached three days ago.

Source: Trading View

Outflow activity from U.S.-listed spot bitcoin exchange-traded funds (ETFs) has also reached its lowest point since late April, with $900 million leaving the products so far this week. These figures are approaching the $1.2 billion mark in total net outflows during the trading sessions from April 24 to May 2.

Also Read: Traders bet big on $100K Bitcoin calls, eyeing major rally in 2025

Some traders anticipate that Bitcoin may reach the $60,000 level in the near term, as there are currently limited growth catalysts. However, the long-term outlook remains positive.

Cryptopolitan Reporting by Florence Muchai