Bitcoin hovered near $61,750 as selling pressure persisted across the crypto market, with analysts pointing to a new concern on top of ETF outflows and weak sentiment: SpaceX’s planned public offering. The worry is simple. A giant IPO arriving during a soft market could draw risk capital away from digital assets and tighten liquidity even more.
Market data showed Bitcoin down about 14% over the past week, while total crypto market capitalization slipped another 1.1% in the last 24 hours to $2.2 trillion. Positioning in derivatives also kept shrinking. Bitcoin open interest fell 0.57% to roughly $45 billion, a sign that traders were still cutting exposure rather than adding fresh bets. Sentiment remained deeply negative as well, with Alternative’s Crypto Fear & Greed Index at 9, keeping the market in extreme fear.
Spot Bitcoin ETFs extend a four-week stretch of outflows
Institutional demand has weakened noticeably. Data from SoSoValue showed U.S. spot Bitcoin ETFs posted net outflows of $168.8 million so far this week. The previous three weeks saw withdrawals of $1.72 billion, $1.42 billion, and $1.26 billion, bringing the four-week total to about $4.57 billion. Over the same period, combined assets under management for spot Bitcoin ETFs dropped from $104.29 billion in mid-May to $77.58 billion by June 9.
On-chain data has not yet shown the kind of washout often seen near major cycle lows. In a June 10 market update, CryptoQuant said realized losses reached about 187,000 BTC over the last 30 days. That was below the roughly 400,000 BTC seen during the February panic and far below the 1.2 million BTC recorded after the FTX collapse. The firm said major bottoms have historically formed after sellers are exhausted, and current data does not show that phase has arrived.
Technical levels remain fragile below key support
Bitcoin is trading close to the Murrey Math support zone around $62,500. A break below the nearby $59,375 level could open the door to deeper losses. Momentum indicators still lean bearish. MACD remains in negative territory after a recent bearish crossover, and the widening gap between the MACD and signal lines suggests downside momentum has not faded in a meaningful way.
Analysts say SpaceX could compete with crypto for risk capital
That backdrop has pushed attention toward SpaceX’s expected market debut. Reuters reported that the Elon Musk-founded aerospace company is preparing a public offering worth about $75 billion at an estimated valuation of roughly $1.75 trillion. About 30% of the deal could be reserved for retail investors, a large allocation for an offering of that size.
Some market participants believe the listing could absorb funds that might otherwise reach crypto. GSR global head of over-the-counter trading Spencer Hallarn told Reuters, “Crypto is a funding currency for a lot of this. We’ve got to find $75 billion for this IPO, and it’s got to come from somewhere.” INDIGO chief executive Thomas Puech also told Reuters that the deal could pull money away from digital assets in the short term because both markets are competing for the same pool of risk capital.
Puech added that artificial intelligence-related investments currently look more attractive to many growth-focused investors. Reuters noted there is no direct evidence showing recent Bitcoin ETF outflows have been redirected into SpaceX shares. Even so, analysts said the timing of the IPO could create another headwind for digital assets while institutional demand is already soft and market sentiment remains weak.
With ETF withdrawals still building, open interest falling, and on-chain data not yet pointing to seller exhaustion, Bitcoin remains exposed to shifts in liquidity. If SpaceX moves ahead with its listing, traders will be watching whether capital rotates out of crypto and into one of the largest public offerings in the market.