Bitcoin fell to around $62,300 on June 19, a drop of nearly 3% in 24 hours. This decline was influenced by options expiration, liquidation of leveraged long positions, corporate selling expectations, and macroeconomic pressures, with market focus shifting to the $61,000 to $62,000 support zone.
Options expiration and liquidation amplify the decline.
Market data shows that approximately $2.13 billion worth of Bitcoin and Ethereum options contracts expired recently. CoinGlass data shows that approximately $136 million worth of Bitcoin positions were liquidated in the past 24 hours, of which approximately $122 million came from long positions.
After the price fell below $63,000, leveraged long positions were forced to liquidate, further increasing selling pressure. Meanwhile, the market was also digesting news that Strategy might sell $3 billion to $4 billion worth of Bitcoin, which exacerbated short-term sentiment pressure.
A stronger dollar coupled with selling pressure from miners
On the macro level, the strengthening dollar continues to weigh on risk assets. The report points out that the market is still assessing the impact of Federal Reserve Chairman Kevin Warsh's first policy meeting, and expectations for interest rates to remain high for an extended period have increased.
The mining sector is also facing additional pressure. Analysts show that Bitcoin has been trading below the network production cost of approximately $78,000 for five consecutive months, prompting some mining companies to sell their holdings to cover operating expenses and debt.
$61,000 to $62,000 becomes the focus
The market is currently closely watching the $61,000 to $62,000 range. Analysts believe that if this support level is breached, Bitcoin could fall further to around $59,000.
Liquidity distribution also highlights the importance of this price level. CoinGlass heatmaps show a dense liquidation zone between $63,500 and $65,000, with liquidity also concentrated around $62,100. A price rebound to the upper range could trigger short covering; a further break below could open up new liquidity zones below.
The upside resistance remains around $65,000.
The report mentions that the $64,950 and $66,700 levels correspond to recent significant retracement levels and the midpoint of the trading range, respectively, and also coincide with a concentrated liquidation area in the derivatives market. If prices fail to recover to this level, market attention to support levels below may continue to increase.
Additional information:The report also mentioned that recent ETF outflows and the continued shift of some funds to technology and AI stocks have weakened demand for Bitcoin during periods of macroeconomic uncertainty.
