Between 02:15 and 02:30 UTC on June 5, 2026, BTC fell 0.74% within 15 minutes. The price ranged from 62,700.9 to 63,267.9 USDT, with a swing of 0.90%. This period was in the early part of the Asian trading session, when liquidity was relatively thin, amplifying price volatility. The market continued to be driven by the extreme panic sentiment seen in recent days.
The main drivers behind this move were a combination of systematic selloffs after a technical support level broke and an escalation in geopolitical risks. On June 4, BTC fell below the TBO support level of $63,913. The technical structure continued to deteriorate, and since early June, within 22 days, multiple short-term support levels were breached in succession. Meanwhile, tensions in the Middle East continued to escalate, with ongoing conflict between the U.S. and Iran. Oil prices broke above $90 per barrel; the high oil price weakened expectations of Fed rate cuts. The market is worried that 2026 may see persistently high interest rates, or even possible rate hikes, causing a significant decline in risk-asset appetite.
In addition, sustained net outflows from ETF flows further intensified a vacuum in spot-market buy pressure. In May alone, ETF outflows were about $1.5 billion. Over the following two weeks, cumulative outflows exceeded $2.5 billion, reflecting insufficient confidence among institutional investors. The cascade liquidation effect in the derivatives market continued to build momentum: in early June, the amount liquidated from long positions exceeded $873 million, including $363 million in Bitcoin derivatives liquidations. Excessively high funding rates and algorithm triggers for leveraged long positions led to selloffs. On-chain data shows that exchange balances declined in sync with price drops, indicating that the selling pressure came from existing holders rather than new sell orders.
Currently, RSI has dropped to 10.00, an extreme oversold level. The probability of a technical rebound is rising, but with macro liquidity tightening and geopolitical risks not yet eased, upside space for the rebound remains limited. If tensions in the Middle East further escalate or ETF outflows continue, BTC could fall below the $60,000 level. Investors should watch key medium-term support at $62,250, ETF fund flows, and macro news developments, and be alert to the risk of volatility amplification during overnight position adjustments and low-liquidity periods.
