Bitcoin Price Today: Dips Below $60,700 – What’s Behind the Decline?

Bitcoin has faced a setback with a 3.38% decrease in its price, now resting at $60,780, causing its market capitalization to fall to $1.19 trillion. The trading range for Bitcoin over the past 24 hours has fluctuated between $60,584.34 and $63,151.44.

The market dominance of Bitcoin has also experienced a slight decline, dropping by 0.46% to 53.18%. Several factors have contributed to the recent decline in Bitcoin prices.

Spot Bitcoin ETFs in the U.S. witnessed total daily net outflows of $13.62 million, reversing the trend of positive inflows seen over the previous five days. Notably, Grayscale’s GBTC recorded net outflows of $32.38 million, while Bitwise’s BITB saw a loss of $6.76 million. The overall trading volume for these 11 spot bitcoin ETF funds remained below $1 billion, significantly lower than the daily volume observed in March 2024, which ranged between $8 to $10 billion.

A significant transfer of 1,800 BTC, valued at $114 million, to Binance by a large holder or institution, as reported by Whale Alert, led to a drop in Bitcoin’s price from $63,800 to $62,900. This entity had previously withdrawn 6,725 BTC, equivalent to $437 million, from Binance and OKX. In the past five days, it transferred 3,481 BTC, valued at $217 million, back to Binance at an average price of $62,300, holding a total of 7,867 BTC, worth around $494 million.

The German government has been actively liquidating its Bitcoin holdings, with over 1,500 BTC moved on Monday, July 1, and a total of 2,700 BTC sold since June. Additionally, Bitcoin miners have sold more than 2,300 BTC, valued at approximately $145 million, in the last 72 hours, following the fourth Halving event which reduced block rewards.

Despite the recent price drop, there are positive forecasts for Bitcoin’s future. Geoffrey Kendrick, head of forex and digital assets research at Standard Chartered Bank, predicts that Bitcoin could reach its all-time high in August, with a potential rise to $100,000 by the U.S. presidential election in November. He suggests that both regulation and mining would be more favorable under a Trump administration.

As of now, Bitcoin is trading at $60,760, reflecting a 3.51% decrease in the past 24 hours. However, trading volume has surged to $22.5 billion, with a market cap of $1.19 trillion.