Bitcoin has retreated below $64,000 after a brief recovery stalled near $64,500, as a wave of long liquidations and cautious positioning ahead of Federal Reserve minutes weighed on the market.
According to data from CoinGecko, the cryptocurrency climbed back above $64,000 following Monday's selloff but failed to extend gains beyond roughly $64,529. It then reversed course, sliding toward the $63,200 area, where another round of forced selling of long positions accelerated the decline.
The earlier drop from nearly $64,000 to around $62,000 was triggered by an SEC filing showing that Strategy sold 3,588 BTC—worth about $216 million—to fund dividend payments. The filing also revealed the company retains authorization to sell an additional $1.3 billion of Bitcoin, stoking concerns about potential supply overhang.
Bitcoin later recovered as futures demand picked up. Data from Hyblock indicated net futures buying rose to roughly $568 million, while spot buying reached about $143 million, the strongest cash-market support in several days. However, Tuesday's attempt to build on that recovery failed to attract fresh momentum.
Coinglass data shows $14 million of Bitcoin positions were liquidated over the past four hours, with longs accounting for $13.6 million of that total. In the one-hour window, $1.3 million was liquidated, almost entirely from longs. This suggests the rally did not simply fizzle due to waning buyer interest; as Bitcoin slipped from the high, crowded long positions came under pressure, and forced selling added speed to the decline.
Traders are also adopting a defensive stance ahead of the Federal Reserve's June meeting minutes on Wednesday. According to CME FedWatch, markets assign a 75.6% probability that interest rates will remain unchanged at 3.50% to 3.75% this month.
Bitcoin Price Analysis
Technical indicators suggest Bitcoin has reached a critical decision point after failing to establish itself above $64,000. On the 4-hour chart, the rejection near $64,500 pushed price back toward $63,200, a major high-volume node on the Volume Profile. The concentration of historical trading activity around this level indicates it has become a key battleground between buyers and sellers.
On the BTC/USDT liquidation heatmap, one of the largest nearby liquidity clusters sits around $63,200 to $63,300. Price has now retraced into that zone after the latest rejection, while sizable liquidation pools remain above the market between roughly $64,500 and $66,000, leaving room for another move higher if buyers regain control.
The failed push above $64,000 has also taken some heat out of the move. On the 4-hour chart, the Relative Strength Index (RSI) has slipped to around 56 after nearing overbought levels, showing that bullish pressure has cooled without turning into a full loss of momentum.
On the daily chart, Bitcoin has reclaimed its 20-day exponential moving average (EMA) near $62,600 but continues trading below the 50-day EMA around $65,600, while the 100-day and 200-day EMAs remain considerably higher near $69,000 and $75,400. This suggests the recent recovery has improved the short-term outlook but has yet to confirm a change in the medium-term trend.
While Bitcoin is still struggling to clear its higher moving averages, the daily chart is not entirely weak. Chaikin Money Flow has moved back near 0.10, indicating that buying pressure has started to improve after weeks of softer accumulation. However, the inability to hold above $64,000 also signals that buying demand has not yet been strong enough to overcome nearby resistance.
For broader market context, the Dow added 83 points as chip stocks rebounded, while Nasdaq futures jumped 310 points amid a broader recovery in equities. Meanwhile, Nvidia slipped below $200 as AI enthusiasm shifted to memory and CPU plays.
This article is for informational purposes only and does not constitute financial advice.
