Bitcoin Falls Below $60K: A 20-Month Low Under Dual Pressure
Bitcoin broke below the critical $60,000 psychological level again today, hitting an intraday low of $59,023 — the lowest since October 2024, representing a nearly 20-month low. As of press time, BTC has recovered slightly to around $60,600, with 24-hour losses narrowing to about 3% and a 7-day decline of approximately 9%. This is the third time Bitcoin has fallen below $60K this year. Unlike the previous two dips, this sell-off occurs against a backdrop of sustained institutional capital outflows and a sharp shift in macro policy expectations, systematically undermining market confidence.
Structural Selling Pressure: Spot ETFs Record Historic Net Outflows
U.S. spot Bitcoin ETFs have been the primary driver of this decline. Since mid-May, ETFs have recorded net outflows for six consecutive weeks, with total outflows of approximately $5.94 billion over 30 days — the largest institutional withdrawal wave since their launch in January 2024. Notably, BlackRock's IBIT saw a single-day net outflow of $528 million on May 28, the highest daily figure on record. Total assets under management across Bitcoin ETFs have fallen from roughly $113 billion at the start of the year to about $77.5 billion, a decline of over 30%. According to The Block, on June 23, ETFs still recorded net outflows of approximately $113.8 million, indicating the institutional selling pressure has not yet materially reversed.
The ETF selling dynamic involves a feedback loop: when institutions redeem their shares, authorized participants must sell the corresponding Bitcoin directly on the secondary market, creating sustained spot selling pressure. CoinShares has characterized the situation as an 'emotional shock' rather than a structural breakdown of crypto fundamentals. Whether institutional selling pressure eases will be a key observation point for the market.
Macro Headwinds: Dovish Expectations Fade, Rate Hike Risks Emerge
Macro factors are also exerting significant pressure on Bitcoin. U.S. job openings in April surged to 7.62 million, far exceeding expectations and reaching the highest level in nearly two years, directly pushing the 10-year Treasury yield back above 4.45%. Cleveland Fed President Beth Hammack then publicly warned that if inflation remains elevated, the Fed may need to resume rate hikes. CME FedWatch data shows the market-implied probability of a rate hike before year-end has risen above 50%.
The 2025 bull run was built on expectations of Fed rate cuts and abundant liquidity. With that narrative reversing and real interest rates rising, institutional capital is now rotating toward bonds and cash, shunning high-risk assets like Bitcoin. In the near term, market attention will focus on upcoming U.S. inflation data and the Fed's next policy signals. A lower-than-expected CPI could provide a breather for Bitcoin, while sticky inflation would accelerate further downside. Until extreme fear subsides and ETF flows show a clear inflection, whether Bitcoin can hold the $60K line will likely determine the next direction of this bear cycle.
