- Bitcoin price dipped to $62,800 amid the latest market weakness.
- Analysts say $60,000 is key to the bulls’ short-term picture.
- BTC could dip to $50,000 amid a bear cross pattern.
Bitcoin’s price slide gathered momentum on Tuesday, with fresh losses to under $63,000 as the cryptocurrency’s vulnerability to macroeconomic pressures and global uncertainties continued.
Trading volume surged 25% as investors reacted to a confluence of events, and top altcoins followed suit.
Bitcoin drops below $63,000
Bitcoin extended its losses to lows of $62,700 on Tuesday, bringing total declines to nearly 29% in the past month.
The benchmark digital asset’s latest dump comes amid mounting concerns over President Trump’s latest tariffs, with investor jitters rippling through the crypto market.
Analysts have noted that these trade policies heighten fears of inflation, trade instability, and reduced global liquidity.
Risk assets like cryptocurrencies are under pressure, and escalating geopolitical tensions surrounding potential US strikes on Iran add to this weakness.
BTC’s struggle mirrors traditional stock indices, which also tumbled after Citrini research sparked a sell out in companies that work in delivery and payments with software stocks also falling on Monday.
Meanwhile, on-chain data shows Bitcoin continues to confront huge ETF outflows, with investors pulling capital from investment products across the market.
According to Farside Investors’ data, Bitcoin ETFs saw $203.8 million worth of outflow on Monday.
These factors have outweighed Strategy’s 100th Bitcoin purchase and have failed to stem the downside.
BTC traded at $63,030 at the time of writing, down 2.4% in the past 24 hours.
The top cryptocurrency is down 7% from last week’s peak near $68k.
What’s next for Bitcoin price?
This dip thrusts the pivotal $60,000 support level into sharp focus.
Bears have already tested this psychological and technical floor, with BTC rebounding off the level following the February 5 crash.
Analysts warn that further short-term pain could allow for a potential revisit to $50,000.
If selling accelerates, lower support levels will come into play.
However, chart patterns suggest Bitcoin could find a bottom as the 50-week moving average crosses below the 100-week average. Price recovery has historically followed such patterns.
At the moment, the chart indicates no such cross has occurred, and prices will likely head lower.
However, extreme oversold conditions suggest a potential sharp rebound is next.
Bullish catalysts, including macro shifts and ETF inflows, can change the direction of Bitcoin.
The $70,000 mark remains key, with a breakout likely to accelerate short-term recovery.
“For a durable breakout to materialise, the market will require a clear resurgence in spot demand and stronger institutional participation; until then, Bitcoin is likely to remain range-bound within its established absorption zone,” analysts at Bitfinex wrote in a research note.
