Bitcoin $60K Support Tested as Crypto Market Faces Heavy Selloff
Bitcoin $60K support is back in focus after a sharp global market selloff. The world’s largest cryptocurrency dipped to a 16-month low near $60,000. However, prices later recovered slightly as trading remained volatile. The token last traded around $64,000 after swinging between gains and losses. Earlier in the session, it touched roughly $60,008. That level marked its weakest point since October 2024.
Risky Positions Unwind Across Markets
Investors have started to exit risky bets across asset classes. As a result, crypto prices have faced heavy pressure. Analysts say large positions are being unwound quickly. Chris Weston from Pepperstone noted that crowded trades are now reversing. Therefore, markets are seeing sharp swings and sudden losses. This shift has also affected ether and other digital assets.
Ether climbed slightly to about $1,891 after earlier hitting a 10-month low near $1,751. Even so, weekly losses remain steep. Both major tokens are still down significantly this year.
Trillions Wiped From Crypto Market
The global crypto market has lost nearly $2 trillion since early October. Data from CoinGecko shows more than $1 trillion vanished in just the past month. As a result, investor confidence has weakened. Bitcoin is on track for a 16% weekly drop. Its losses for the year now stand near 27%. Meanwhile, ether could end the week down about 17%, with yearly losses around 36%.
Tech Selloff and ETF Outflows Add Pressure
Bitcoin often moves with the tech sector. For example, prices rose earlier alongside excitement about artificial intelligence stocks. However, the recent tech selloff has pulled crypto down as well. Analysts say some investors treated bitcoin as a one-way bet. Now, those positions are being corrected. As a result, volatility has returned across the market. In addition, U.S. spot bitcoin ETFs saw heavy outflows. Deutsche Bank estimates more than $3 billion left these funds in January. That follows outflows of about $2 billion in December and $7 billion in November.
