This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency markets are highly volatile. Always do your own research before making any investment decisions.

According to Stealthex and Bitcoinfoundation, bitcoin plunged to an intraday low of $61,500 on June 4, 2026, slicing more than 51% off October 2025’s all-time high near $126,200. CoinDesk reported nearly $1 billion in crypto liquidations over the same period, with $386 million coming from bitcoin itself.

Recent Bitcoin Price Movements

Stealthex confirmed that on June 4, 2026, bitcoin opened near $64,100 before sliding to $61,500, which marked a 12% weekly slide from the $72,840 high. By session’s end, Bitcoinfoundation recorded a rebound to about $63,920—still down 4.4% for the day. Mudrex reported an even lower close at $63,500, translating into a 5.47% one-day dip.

Major Causes Behind the Bitcoin Crash

CoinDesk and Stealthex agree: nearly $1 billion in forced crypto liquidations struck first, wiping out $386 million in bitcoin positions alone. These margin calls escalated after a sharp retracement from the $72,840 high, flushing leveraged traders en masse. Mudrex points out that selling surged right as risk appetites faded. Also, Bitcoinfoundation’s analysis shows speculative and spot demand shrank by 501,000 BTC in just one month—the steepest drawdown since the Terra crisis in 2022.

Demand Drop Resembles Post-Terra Fallout

highlight that overall demand—combining speculative zeal and spot buying—fell by 501,000 BTC, a collapse last seen after TerraUSD’s implosion in May 2022. That kind of context makes the 2026 plunge feel familiar: leveraged bets are being unwound, macro uncertainty is high, and new capital is barely trickling in. Given the average investor cost basis is around $53,000, many still sit on paper gains, but overall confidence is starting to wobble. Stealthex notes bitcoin’s price is still well above pre-2024 halving levels—which suggests most capitulations are coming from newer buyers, drawn in during the last bull run.

Technical Analysis: Support and Resistance

Mudrex’s June 2026 technical review shows bitcoin grappling with major resistance at $74,000 and immediate support near $60,600. Currently, price action has been tightly wedged between $61,500 and $64,100—a narrow band where every rally faces aggressive selling. Should it break under $60,600, more stop-losses could unleash another selling wave. Bitcoinfoundation’s charts indicate that, with the average investor cost basis at $53,000, there’s still a buffer before widespread panic hits. According to Stealthex, since $61,500’s been tested twice this month, sellers would need to push below that floor to spark more pronounced losses. That makes $60,600 the immediate battleground. Meanwhile, rebounds keep running into resistance at $74,000—unless outside conditions shift fast.

Macro Headwinds and Market Sentiment

Macro uncertainty and tepid ETF inflows keep weighing on the market, according to Bitcoinfoundation and Stealthex. Since bitcoin’s October 2025 peak near $126,200, policy confusion in the US, sticky inflation, and a distinct risk-off mood have cooled speculative enthusiasm.

Will Bitcoin Go Back Up?

Stealthex and Bitcoinfoundation emphasize that following record highs, downtrends have historically lingered through slow, multi-month phases. In other words, sellers stay in charge unless a big macro shift or bullish catalyst changes the mood. Pattern analysis makes the next steps clear: any real recovery depends on a meaningful turnaround in sentiment or clear signs of resurgent demand. Because demand just dropped at its fastest monthly pace since May 2022, even those investors still ahead on cost basis will watch main supports closely for any return of confidence. Mudrex’s technicals suggest that unless there’s a convincing hold above $60,600, the risk of another leg down hangs over the market—unless forced liquidations and ETF outflows ease first.

Stealthex underscores that sudden rebounds and capitulations are often triggered by shocks: a new regulatory green light, a burst of ETF inflows, or global liquidity relief. Until some evident catalyst shows up, bitcoin’s likely to drift sideways or lower—as traders with high leverage continue unwinding on every failed bounce. Records from this year’s trading confirm that how bitcoin performs inside the $60,600–$74,000 window will be pivotal in revealing whether bears keep control in the months ahead.

Archives: Cycles, Corrections, and Historical Patterns

Bitcoinfoundation’s archives reveal a familiar story: sharp crashes have always followed feverish speculation—after the 2017 and 2021 peaks, and also during the deep drawdowns of 2022 and 2023. Every bubble top lured in leveraged buyers, who were then routed by macro or regulatory surprises, kicking off extended, choppy declines. For instance, when Terra collapsed in May 2022, bitcoin lost more than 55% in weeks and didn’t recover to set new highs for over a year.

Those curious about mining economics and capital allocation trends can check out Free bitcoin mining sites without investment: what works in 2026. Past cycles hammer home the same lesson: bitcoin drawdowns aren’t over quickly. Investors who recognize these patterns brace for multi-month swings, not just a acute dip-and-rebound. Savvy risk management remains crucial—According to Bitcoin falls below $60 , 000 , extending 50 % slide from…, each halving era cranks up both volatility and opportunity. These cycles supercharge both gains and losses—fast.

Why are altcoins sliding more than Bitcoin?

While data on specific altcoin drops this round isn’t available, Stealthex explains that when BTC plunges, investors tend to stampede out of higher-risk altcoins first, making their falls steeper as liquidity vanishes.

How Does Bitcoin Affect Ethereum Prices?

No direct numbers are cited, but Stealthex’s review of previous cycles shows bitcoin’s biggest moves typically set the tone across the market, including for Ethereum. Mudrex points out that both coins tend to tumble together whenever fear grips the market—mainly because institutional players often pull out of everything at once during market stress.

Should I Buy Bitcoin During a Crash?

Stealthex and Mudrex both urge investors to honestly assess their own risk tolerance, timelines, and cost basis before braving a crash. Market history spells this out: buying during wild selloffs can pay off big—if you can stomach swings of 10% or worse in a single day. Bitcoinfoundation’s data confirms the average investor cost basis is about $53,000, so anyone buying above that should brace for possible pain if another selling wave strikes.

What caused Bitcoin to fall below $70,000?

Stealthex and CoinDesk attribute bitcoin’s quick move under $70,000 to a domino effect of big liquidations, sudden demand shrinkage, and central macro worries. The cascade began after BTC lost hold at $72,840—setting off fresh risk aversion, ETF redemptions, and technical selling. According to Why Is Crypto Crashing? Bitcoin Falls Below $70K After St…, the journey into the $61,500–$64,100 range was no fluke, but a direct result of those pressures combining all at once.