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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 violent sell-off sweeping through digital asset markets, Bitcoin has broken below the $60,000 psychological threshold for the first time since 2024, accelerating losses across the broader altcoin sector. According to reports, Ethereum fell below the $1,600 level, marking its lowest valuation since April 2025. These sharp declines are primarily driven by robust US economic data that bolstered dollar dominance and exerted direct pressure on high-risk assets.
This downturn reflects a significant deterioration in investor sentiment compared to previous sessions, with Coinbase (COIN) shares declining approximately 5% per market data, alongside persistent net outflows from spot Ethereum ETFs. In comparison to other altcoins, Zcash remains under heavy pressure after losing over 40% of its value recently, while the US Dollar Index (DXY) shows a notable climb that diminishes the appeal of cryptocurrencies as investment alternatives.
Traders should closely monitor Bitcoin's new psychological support levels as of the close on June 5, 2026, as the market looks for price stabilization above recent lows. Looking ahead at the economic calendar, upcoming speeches from Federal Reserve officials, including Chair Jerome Powell and Governor Waller, will be critical in determining the monetary policy path, serving as the primary catalyst for crypto market liquidity in the coming days.
Update: Recent technical analysis indicates deepening sell-side pressure on Ethereum following a bear flag breakdown, with analysts now eyeing downside targets at $1,400 and $1,070. These new support levels emerge as price action struggles to regain momentum amid increasing technical weakness on the charts.
Update: Selling pressure on Ethereum intensified following reports that a dormant wallet linked to co-founder Joseph Lubin moved 80,001 ETH, valued at over $121 million. This movement has sparked concerns among traders regarding a potential large-scale liquidation, further weighing on ETH prices during the current market downturn.
Update: Ethereum is struggling to maintain its footing above the $1,700 mark as aggressive selling pressure persists. Notably, the ongoing decline in Ethereum supply across exchanges has failed to trigger a price recovery, highlighting a significant divergence between reduced liquidity and weak market demand.
Update: Selling pressure intensified after a dormant whale liquidated 10,000 ETH, further straining immediate liquidity. Meanwhile, short sellers successfully locked in $5.8 million in profits, capitalizing on the weakening technical indicators that continue to weigh on the token's price action.