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The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
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Sign InIn a significant escalation of market volatility, Bitcoin has fallen to price levels seen prior to the Iran-US conflict, erasing recent geopolitical risk premiums. Spot Bitcoin ETFs have now marked their 11th consecutive day of net outflows, signaling a sustained retreat by institutional investors. According to reports, this downward momentum triggered a massive wave of forced selling, with total crypto long liquidations surging to $1.5 billion.
The downturn reflects broader fragility in risk assets following recent US inflation prints; per market data, the Core PCE Price Index rose 0.2% on May 28, 2026, meeting expectations but failing to provide a catalyst for a rebound. Compared to previous volatility cycles, the current 11-day streak of ETF withdrawals represents one of the most persistent periods of institutional selling pressure. Analysts suggest that the market is now re-pricing based on fundamental liquidity flows rather than purely speculative sentiment.
Investors should closely monitor whether Bitcoin can establish a floor at these pre-conflict levels to prevent further technical deterioration. According to the economic calendar, upcoming commentary from the Fed's Kashkari on May 29, 2026, will be a key focal point for assessing dollar strength. Bitcoin's near-term trajectory remains heavily dependent on a reversal in the current ETF outflow trend and a stabilization of global macro sentiment.
Update: Traders are now focusing on the critical $60,000 support level as a technical floor to prevent further deterioration, amid reports that approximately $2 trillion has been erased from the total crypto market cap. This massive value contraction underscores the sellers' control over rebound attempts, drawing comparisons to previous bear market cycles.
Update: Bitcoin has begun to show signs of relative stabilization as a new technical and psychological support floor forms around the $50,000 mark. This consolidation follows the aggressive liquidation wave, with traders now watching for the market's ability to hold this level to prevent further short-term technical deterioration.