Bitcoin drops below $70,000 for first time in two months

Bitcoin (BTC) fell below the $70,000 level on Tuesday for the first time in two months, as sellers continued to dominate the market.

Data from TradingView showed Bitcoin dropping to an intraday low of $69,631 on the Bitstamp exchange.

After failing to keep pace with gains in equity markets, Bitcoin widened its performance gap versus other risk assets, declining around 2% on the day.

The drop inflicted significant losses on bullish traders, with total liquidations across Bitcoin and altcoin positions approaching $800 million over the past 24 hours, according to CoinGlass data.

The cryptocurrency has lost roughly 4% over the past 24 hours and remains more than 44% below its all-time high above $126,000, reached in late 2025.

US President Donald Trump said on Monday that talks with Iran remain ongoing despite reports suggesting Tehran had suspended indirect negotiations with Washington aimed at ending hostilities, a development that contributed to a modest decline in oil prices.

Investors continue to treat any signs of progress toward ending the US-Israeli conflict with Iran cautiously, given the fragile ceasefire agreement reached between Washington and Tehran in early April.

Likewise, Lebanon’s announcement on Monday of a limited ceasefire between Iran-backed Hezbollah and Israel failed to provide meaningful momentum to financial markets.

Markets focus on US economic data

Later today, the US Department of Labor is scheduled to release job openings data ahead of Friday’s closely watched monthly employment report, as markets continue to price in the possibility that the Federal Reserve’s next move could be a rate hike.

Economists surveyed by Reuters expect Friday’s report to show that the US economy added 85,000 jobs in May, while the unemployment rate is projected to remain unchanged at 4.3%.

Mounting pressures push prices lower

The sharp correction has been driven by a combination of factors, including fresh on-chain supply pressure, symbolic selling activity by major corporate holders, and continued macroeconomic headwinds.

Together, these factors have rapidly eroded investor confidence, turning what initially appeared to be a consolidation phase into a decisive break below key support levels.

This triggered an accelerated wave of forced liquidations, with more than $767 million wiped out from leveraged positions over the past 24 hours. Stop-loss orders were also activated across the market, intensifying selling pressure throughout the cryptocurrency sector.

What is behind the decline?

Bitcoin’s latest drop below $70,000 was driven by fresh supply concerns stemming from wallet transfers linked to Mt. Gox, along with a symbolic sale by Strategy Inc. involving 32 Bitcoin.

These developments revived fears of additional supply entering the market and dealt a blow to the long-standing “never sell Bitcoin” narrative that had enjoyed strong support among corporations and institutional investors, further fueling bearish sentiment and accelerating downside momentum.

Strategy records its first Bitcoin sale since 2022

Strategy Inc. disclosed that it sold 32 Bitcoin between May 26 and May 31 for approximately $2.5 million, at an average price of about $77,135 per coin, according to a filing submitted to the US Securities and Exchange Commission (SEC) on June 1.

The company said the proceeds were used to fund preferred stock dividend payments.

Although Strategy still holds more than 843,000 Bitcoin, the transaction — small in size but significant in symbolism — challenged the narrative long promoted by its former CEO and prominent Bitcoin advocate, Michael Saylor, that the company would “never sell Bitcoin.”

The news added to negative market sentiment and coincided with widespread unwinding of leveraged positions, increasing pressure on prices and contributing to Bitcoin’s continued decline.