Bitcoin fell below $68,000 on June 2 and briefly touched around $67,500, marking a 4.8% to 5.2% drop over the past 24 hours. The move erased a sharp climb from the day’s high of $71,800 and quickly spilled into derivatives markets, where total crypto liquidations climbed to roughly $800 million to $1 billion, most of them long positions.
At the time cited in the report, BTC was trading in the $67,500 to $68,000 range. The rapid decline pushed leveraged traders into forced exits and added fresh selling pressure. Traders are now watching the $67,000 to $68,000 area as a near-term support zone, while $70,000 remains the main resistance level overhead.
Coinbase premium points to weaker US demand
The sell-off did not come without warning. According to Coinglass data dated June 2, the Coinbase Bitcoin Premium Index, a gauge often used to track US institutional and dollar-based buying interest, fell to a recent low of -0.1323%. The index measures the percentage gap between BTC prices on Coinbase and the global average price. A positive reading usually suggests stronger US demand, while a negative reading signals softer buying or heavier selling pressure in the US market.
Market watchers noted that the index had stayed positive for an extended period in April. That changed in May, when the premium weakened and then slipped back into negative territory. The latest reading suggests both institutional and retail demand in the US has cooled, while buying activity in overseas markets has not been strong enough to lift Bitcoin on its own.
Macro uncertainty and institutional headlines add pressure
The source also tied the correction to weaker global risk appetite and uncertainty around geopolitics and macro policy. On top of that, headlines involving institutional activity, including news that Strategy sold Bitcoin, added pressure to market sentiment.
Analysts cited in the report said extended periods of negative premium have appeared before, especially during the 2022 to 2023 bear market and other correction phases. If the discount deepens, short-term downside pressure may remain in place. If it narrows quickly and turns positive again, that could indicate a recovery in US buying demand. ETF flows, funding rates, and Federal Reserve-related developments are among the signals the market is watching.