Bitcoin dropped toward the $60,000 level on Friday following the Wall Street open, extending its losing streak to six consecutive days as broader market pressure weighed on prices. The cryptocurrency fell around 5% on the day, briefly dipping below $60,000 and trading near $60,300 as the session progressed.
The decline has erased much of the gains recorded during the April and May rally, bringing Bitcoin back near its February lows. Market participants are now watching the $60,000 level as a key support zone that could determine short-term direction.
Bitcoin slides toward $60,000 as selling pressure persists
Market data showed a pattern of consistent lower highs throughout the week, pointing to continued control by sellers. Analysts described the move as a sharp correction following a period of gradual accumulation.
At the same time, some indicators suggest bearish momentum may be starting to fade. The price gap between U.S. and overseas platforms has narrowed, reflecting softer localized demand. Funding rates have also slipped close to negative territory, a condition that can signal that selling pressure is becoming crowded and potentially exhausted.
In derivatives markets, open interest in futures contracts has dropped by 12% over the week, while funding rates turned negative for the first time since April at around -0.01%. This setup can sometimes precede sharp reversals if sentiment shifts.
Signs of sustained selling with early weakening signals
On-chain data points to continued supply pressure, with more than 5,000 BTC moved to major exchanges in the past 24 hours, suggesting holders may be preparing to sell. The broader digital asset market has also weakened, losing roughly 8% of its total capitalization over the past week.
Exchange inflows and market-wide losses add pressure
Analysts noted that Bitcoin is now “front-running a key range low,” with its inability to form higher highs keeping downside risk in play. The $60,000 zone is increasingly seen as a critical point where short-term market structure could either stabilize or break lower.
Analysts focus on key support range
Macroeconomic developments in the United States have added to the pressure. The economy added 172,000 jobs in May, far exceeding expectations of 85,000, while April’s figure was revised higher by 64,000 jobs. The report marked one of the strongest labor readings in over a year.
The data has led to a sharp shift in expectations for Federal Reserve policy. According to CME Group data, traders are now pricing in a 15% chance of an interest rate hike by September, up from just 2% a week earlier. Stronger labor conditions typically reduce the likelihood of near-term rate cuts, dampening sentiment for risk-sensitive assets like Bitcoin.
Strong us data shifts rate expectations
Focus is now shifting to the upcoming Consumer Price Index (CPI) report due on June 12. The inflation reading is expected to play a key role in shaping the Federal Reserve’s next policy decisions and could act as the next major catalyst for Bitcoin and the broader crypto market.
Attention turns to inflation data
Worried as Bitcoin nears $60k support? Learn key Bitcoin trading strategies to navigate volatility and inflation-driven shocks.
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