BTC broke down through 70,000 in early trading after yesterday's 5% selloff sliced through 73,000, with March's value area low at 67,000 and the 66,000 long liquidation cluster as the next downside references. This week's job openings, non-farm payrolls, and unemployment prints will gauge the labor market following the soft Q1 GDP revision.
🔴 June 2, 7:29am ET
After a tight-range weekend with 73,000 holding as support, price broke down yesterday and fell 5%.
A brief consolidation around 71,000 gave way to a break through 70,000 with price still looking for a floor.
Gravity is high. Price rejected from 82,000 in early May and has been falling since.
After breaking through last week's value area, price is now searching for support.
Price has lost both the yearly VWAP and the anchored VWAP from the 60,000 local bottom.
Sellers are in control and the bear market rally that started in early April is over. The question now is where price finds support.
Price broke down below April's value area, with even March's point of control now overhead.
March's value area low at 67,000 and the Q1 point of control at 68,000 sit below as the next references after Q2's value area low failed to hold.
70,000 was a key level targeting long stops. The next long liquidation cluster sits below 66,000.
With open interest declining alongside CVD, this is primarily longs unwinding rather than aggressive short positioning.
With Bitcoin falling, dominance has round-tripped back to its level before the bear market rally that started in April. Recent relative strength in alts mostly reflects a bear market bottoming phase that already found a floor.
The question now is how the strong alt cohort fares in the face of Bitcoin weakness.
The labor market is this week's focus. Job openings today, with non-farm payrolls and unemployment Friday.
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The defining question for the New York session is whether price finds support at March's value area low at 67,000 and the Q1 point of control at 68,000, or whether the 66,000 long liquidation cluster pulls price down toward it now that the bear market rally from the April low is confirmed over.
Price has lost both the yearly VWAP and the anchored VWAP from the 60,000 local bottom, with sellers in control. Open interest is declining alongside CVD, suggesting longs unwinding rather than aggressive shorts. Bitcoin dominance has round-tripped back to pre-rally levels, with recent alt strength reflecting a bear market bottoming that already found a floor.
The cleanest tactical read: a bid at 67,000-68,000 with a reclaim of 70,000 sets up a potential bottoming attempt; a break and hold below 67,000 confirms the structural drift toward the 66,000 liquidation magnet, all into a week of job openings, non-farm payrolls, and unemployment prints...