Bitcoin has slipped below $60,000 for the first time since September, putting one of the market’s most closely watched price levels back in focus. TradingView data shows BTC/USD still searching for direction after a daily close under $60,000, with traders looking for a clear move back above that mark before treating the latest decline as a completed pullback.
$60,000 shifts from support to resistance
The immediate issue for the market is not a brief bounce but whether Bitcoin can reclaim $60,000 with conviction. Traders following the move say the level now stands as a major technical barrier in the near term. Short-term price action may also be shaped by the upcoming quarterly options expiry, which has added to the sense that the current session could remain unusually volatile.
Equity weakness adds pressure to risk assets
Bitcoin’s decline came as Asian equities faced heavier selling pressure, especially in South Korea, where circuit breakers were triggered after indexes tumbled 8%. US stocks held up better during the same stretch, with the S&P 500 and Dow Jones staying in positive territory at the time of reporting. Even so, the broader backdrop remains fragile because of steep losses across large-cap technology names.
Micron Technologies offered some relief after reporting stronger-than-expected results, helping risk appetite during intraday trading. That did little to change the wider retracement. Research cited from The Kobeissi Letter said several major technology stocks are now down more than 50% from their all-time highs, while shares of crypto exchange Coinbase have dropped 69% in the correction. Its view is that much of big tech has already moved into bear market territory.
PCE inflation data moves to the center of attention
QCP Capital said in its latest outlook that US inflation trends are likely to remain a primary driver for risk assets. The firm cited estimates of 3.30% for core PCE and 3.82% for headline PCE, both still well above the Federal Reserve’s inflation target. May PCE data showed the strongest annual increase since mid-2023, keeping markets alert to any shift in rate expectations.
PCE, or the Personal Consumption Expenditures price index, is one of the Fed’s preferred inflation gauges. Core PCE strips out more volatile categories such as food and energy. Analysts tracking the data say persistent inflation could keep pressure on both equities and crypto through changes in the interest-rate outlook.
Analysts watch the 200-week average at $62,243
Crypto analyst Michaël Van de Poppe said traders are closely monitoring whether Bitcoin’s short-term downside momentum will continue. He also pointed to Strategy, the company formerly known as MicroStrategy and the largest corporate holder of Bitcoin, along with its financing division Stretch, as signals worth watching for clues on the next move.
Van de Poppe said the sharp drop in Stretch and Bitcoin’s hesitation around $60,000 do not yet amount to a confirmed bearish signal. A bullish divergence is developing on the daily chart, but he stressed that the setup has not been confirmed. For now, the main technical level in focus is the $62,243 200-week simple moving average.