Bitcoin Slumps Below $63K as Sellers Reclaim Dominance

Bitcoin (BTC) has fallen below $63,000 despite improving inflation data and strong stock market gains. The cryptocurrency's failure to benefit from this positive news has raised concerns among traders. Sellers have repeatedly rejected attempts to reclaim $65,000, with technical indicators turning bearish.

The 50-month EMA near $65,827 now acts as resistance for BTC, a situation similar to the one that occurred during Bitcoin's 2022 bear market. Meanwhile, rising long positions have increased liquidation risks near $61,000, according to Glassnode.

Rekt Capital warned that Bitcoin needs a weekly close above $63,220 to avoid further breakdown risks. If this level is not reclaimed, the cryptocurrency could see deeper losses. Despite these concerns, some traders remain bullish on BTC's future price action, with one predicting it will reach $200,000.