Bitcoin fell 3% over the past 24 hours, briefly slipping below $61,000 and entering a dense zone of buy-side liquidity, where roughly $525 million in bids were stacked between $60,500 and $61,500. The move comes as liquidation activity intensified on both sides, signaling heightened volatility and uncertainty in the short term.
Price action weakens after rejection near $66,000
Bitcoin closed at $62,700 on Tuesday, marking its lowest daily finish since June 10. The drop formed a bearish candle that wiped out earlier gains, following a failed attempt to break resistance near $66,000 earlier in the week.
Current price action shows Bitcoin holding just above support near $60,500 but struggling to reclaim the $63,000 level. Momentum indicators have also softened, with the relative strength index cooling from previously overbought levels, suggesting the rally has lost steam for now.
Liquidity cluster forms key support zone
Trading data from Velo shows that approximately 8,366 BTC in bids were concentrated between $61,500 and $60,500. As Bitcoin dipped below $61,000, about $270 million in buy orders were executed, leaving the remaining liquidity concentrated closer to $60,500.
This dense cluster of demand is acting as a temporary floor, with traders stepping in at what they see as a value zone. At the same time, forced liquidations have cleared out overleveraged positions, a process that often stabilizes price action after sharp moves.
Liquidations reshape short-term positioning
CoinGlass data recorded more than $125 million in long position liquidations within a single hour, easing immediate downside pressure. Following this flush, roughly $1.2 billion in short positions have built up near $63,500.
Further up, around $65,000, another $2.4 billion in short positions remain exposed. These levels are now key zones to watch, as any upward movement could trigger short covering and accelerate price gains.
Macro pressure and ETF outflows weigh on sentiment
Broader conditions continue to influence the market. U.S. spot Bitcoin ETFs have seen approximately $3.1 billion in net outflows so far in 2026, reflecting cautious sentiment. BlackRock’s IBIT alone recorded $96.66 million in outflows on June 18.
Corporate buying has also slowed, with a firm chaired by Michael Saylor reporting its smallest Bitcoin purchase of the year at 520 BTC. This more measured approach aligns with tighter financial conditions, as the Federal Reserve maintains a hawkish stance and markets price benchmark interest rates near 4% into late 2026.
Fear dominates market outlook
Sentiment indicators reflect the cautious mood. The Fear and Greed Index currently sits at 20, firmly in “fear” territory, underscoring the reluctance among traders to take aggressive positions.
Outlook hinges on $60,500 support
For now, the $60,500 level remains the most critical support, where both spot demand and leveraged exposure are heavily concentrated. If this zone holds, it could provide a base for stabilization and a potential rebound. However, failure to maintain this level may expose Bitcoin to further downside as the market continues its consolidation phase.
Worried about Bitcoin’s volatility and liquidations? Learn key liquidation-avoidance strategies to protect your positions in turbulent markets today.
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