Bitcoin crashed to $59,000 amid the dollar rally: the DXY index hit a 13-month high
On the evening of June 24, the first cryptocurrency took a sharp dive, dropping to $59,060. This movement coincided with a strong strengthening of the US Dollar Index (DXY), which reached a 13-month peak. At the time of writing the analysis, BTC has partially recovered, trading around $61,700.
Most altcoins in the top 10 followed the flagship. Ethereum is holding around $1,650, BNB at $570, and SOL around $70. The overall picture indicates synchronized pressure on the market.
Liquidations and Fear: Market in the Red Zone
Over the past 24 hours, the volume of liquidations in the crypto market exceeded $1 billion, with $780 million coming from long positions. This is a classic sign of retail trader capitulation. The Fear and Greed Index has plummeted to 12 points — extreme fear territory, which historically often precedes a reversal.
Analysis: Whales Buying, Retail Panicking
Technical analyst Joao Wedson notes that Bitcoin is trying to exit the capitulation phase, but the "extreme scenario" of past cycles, where miners suffered colossal losses, has not yet materialized. However, CryptoQuant data points to a paradoxical dynamic: inflows to accumulation addresses have reached an all-time high. This means that large players are absorbing the supply that retail investors are panic-selling.
"Amid the panic selling by retail investors, large players are accumulating Bitcoin at record rates, and the psychological gap between the two sides is widening to extreme levels," CryptoQuant emphasizes.
Key Level: $63,000
MN Trading founder Michaël van de Poppe believes that for Bitcoin to return to an uptrend, it needs to close the week above the 200-week moving average (200-WMA), which is around $63,000. Until this threshold is breached, the market remains under pressure. Meanwhile, US spot Bitcoin ETFs closed in the red for the sixth consecutive week, recording a net outflow of $90.66 million as of June 18.
My Expert View: The rise in DXY is a bearish signal for all risk assets, and cryptocurrencies are no exception. However, record accumulation by whales amid retail panic is a classic "smart money" scenario. If Bitcoin holds above $60,000 and reclaims $63,000, we will see a strong bounce. If not, prepare for a test of the $55,000–$56,000 zone.