Bitcoin dropped below $63,000 and touched $62,200 on Monday after Iran denied holding talks with the United States, deepening a weekly slide of more than 4%. Rising leverage in futures markets and chart patterns pointing toward $60,000 add to the pressure on the price.
Bitcoin fell below $63,000 again on Monday and dipped to $62,200 for the second time in a few days, dragging Ether below $1,850 alongside it. The cryptocurrency is now down more than 4% over the past week, with its market cap sliding to $1.250 trillion and its dominance over other coins slipping below 56.5%.
A volatile week around the Fed meeting
The pressure built up over several days. Bitcoin defended $64,000 and jumped to $65,600 earlier last week, before a second rejection pushed it under $62,800 ahead of the Fed's meeting, where officials held rates unchanged. The coin then spiked to $65,400 on Friday, only for sellers to drive it back down to $62,400 within hours.
A weekend relief rally followed after President Trump canceled planned attacks against Iran and floated a deal to reopen the Strait of Hormuz, but the bounce stalled at $63,700.
Iran's denial deflates the rally
Brent crude dropped more than 5.33% to around $80 a barrel following Trump's comments on Iran, but the relief proved short-lived once Iran denied any negotiations were taking place. Iranian Foreign Ministry spokesperson Esmaeil Baghaei said: "We are not currently holding any talks with the American side." Bitcoin then slid to $62,229 after $146.66 million in liquidations, trading near $62,560 and down 1.35% on the day.
Traders pile on leverage
Even as prices fell, activity picked up. Spot trading volume climbed 15.87%. Perpetual futures open interest jumped 27.46% to $377.89 billion, a sign that more leveraged bets are entering the market. Trader The Martini Guy says liquidation heatmaps show Bitcoin trapped between a support zone near $62,000 and a cluster of short liquidations near $64,000, with the next break in either direction likely to set the market's direction.
Chart patterns point toward $60,000
Technical analysis at Crypto Daily notes Bitcoin has broken below its bull market trendline and is now breaking down below the 50-day moving average, a pattern that preceded major declines the last two times it appeared. A head-and-shoulders measured move could bring the price down to around $60,400. The descending channel on the weekly chart points to $55,000 and below if the $60,000 support fails to hold. A feared cross-down in the weekly Stochastic RSI, if confirmed after this week, could trigger a decline of similar scale to Bitcoin's past two bear flags.
Sources: CryptoPotato, Coinpedia Fintech News, Crypto Daily™
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