Bitcoin slides to $67,312 as traders favor $55,000 over $84,000

Bitcoin traders have flipped bearish, now assigning a 53 percent chance the asset drops to $55,000 rather than recovering to $84,000.

Bitcoin fell 5 percent to $67,312, its lowest level in two months, as a wave of negative catalysts crushed near-term recovery hopes.

"The outflows look dramatic in isolation, but $3.4 billion from a $100 billion asset base is totally meaningless relative to normal ETF flow patterns," Eric Balchunas, senior ETF analyst at Bloomberg Intelligence, said. Cumulative net flows since spot Bitcoin ETFs launched remain near $57 billion, he noted.

The selling pressure has multiple sources. Strategy, the largest corporate Bitcoin holder, sold 32 BTC for $2.5 million between May 26 and May 31 — its first disclosed sale since 2022 — to fund preferred stock distributions, according to an SEC filing. While representing just 0.004 percent of its 843,706 BTC holdings, the symbolic weight hit hard: MSTR stock fell 5.85 percent Monday and another 6 percent Tuesday. Mt. Gox added to the pressure, moving roughly $739 million in Bitcoin from cold wallets Tuesday — its first on-chain transfer in over two months, Arkham Intelligence data shows. The defunct exchange faces an Oct. 31, 2026 deadline to repay remaining creditors.

U.S. spot Bitcoin ETFs recorded roughly $3.45 billion in withdrawals across 11 straight trading sessions through late May, the largest monthly ETF exodus of 2026. A single session saw $484 million in redemptions. The exodus has flipped year-to-date flows negative, meaning more funds have left the products than entered since Jan. 1.

A renewed flare-up in the U.S.-Iran conflict added a risk-off tone across markets. Iran suspended nuclear negotiations with the U.S. after Israel's escalating military operations in Lebanon, raising the risk of broader regional conflict. Brent crude held around $94.40 a barrel, and Treasuries sold off on concerns that higher energy costs would keep the Federal Reserve from cutting rates.

The confluence of selling has liquidated nearly $600 million in BTC long positions over the past 24 hours, per Coinglass. Prediction market users on Myriad now see a 53 percent probability of a drop to $55,000, up from 38 percent a week ago. A move to that level would represent a 19 percent decline from current prices and mark Bitcoin's lowest since early 2025. With ETF outflows showing no sign of abating and no bullish catalyst on the horizon, traders are bracing for further downside.

This article is for informational purposes only and does not constitute investment advice.