Bitcoin Retraces to $61.8K as $426M Liquidations Hit; Tonight’s CPI May Set Direction
Bitcoin retraced to around $61,784 (-1.3% in 24h) after dipping to $59,353 on June 6. The broader market stayed weak, and Ethereum also fell to about $1,641 (-1.27%).
Over the past 24 hours, total crypto liquidations reached roughly $425.68M, with longs accounting for over 80% of forced exits. This suggests traders leaning toward a rebound were repeatedly shaken out, and support has not formed convincingly.
Key catalysts are stacking up. Tonight’s U.S. CPI (May) is the main event for volatility. If CPI beats expectations (market looks for about 3.6% YoY versus April’s 3.8%), it could further reduce odds of near-term rate cuts, pressuring risk assets—including Bitcoin.
Fed/monetary-policy pressure is also noted: CME FedWatch currently implies a very high chance (99%) of keeping rates unchanged at 3.5%–3.75%. Additionally, reports mention a hawkish posture from Fed Chair Kevin Warsh, keeping market uncertainty elevated.
On the flows side, U.S. spot Bitcoin ETFs recorded the largest single-week outflow on record: about $3.4B, with 13 straight sessions of net outflows mentioned. A sell-off signal is also linked to Strategy (MSTR) BTC actions.
Other coins mirrored the soft tone: SOL traded near $65 (-0.78%), while XRP fell to about $1.133 (-1.91%), approaching the $1.10 level. Fear & Greed is at 9 (“extreme fear”). Traders are largely waiting for CPI: cooler-than-expected inflation could trigger a rebound attempt in Bitcoin, while a surprise upside print could re-test the $59,353 bottom.
Bearish
The article frames a bearish setup dominated by (1) weak price action in Bitcoin and ETH, (2) heavy liquidation skew toward longs, and (3) macro/event risk that can extend the downtrend. With total liquidations around $425.68M and long positions comprising ~80%+, the market is actively deleveraging—often a sign that rallies may fail until positioning resets.
Tonight’s U.S. CPI is a direct volatility trigger. A hotter-than-expected CPI would likely reinforce the “rates stay higher for longer” narrative, reduce rate-cut hopes, and typically pressure Bitcoin (especially when ETF flows are already negative). The mention of U.S. spot Bitcoin ETF outflows—about $3.4B in a single week and 13 straight net-outflow sessions—adds structural selling pressure beyond spot trading.
Short-term, traders may remain range-bound or grind lower as they wait for CPI confirmation, and any upside miss in inflation can quickly pull the market back toward the recent $59,353 low. Long-term, the outlook hinges on whether CPI and subsequent Fed guidance restore expectations for easing. If inflation cools and ETF outflows stabilize, the selling pressure could ease and allow a recovery—similar to prior “deleveraging + catalyst” phases where positioning clears first, then direction follows the macro data.