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The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
In a move reflecting the intense volatility of the crypto market, Bitcoin underwent a massive deleveraging event as it tested key support levels. The liquidity test at the $60,000 mark resulted in the erasure of leveraged positions valued between $1.6 billion and $3.0 billion. According to reports, futures open interest plunged by 8.5% to $111.4 billion following this significant market washout.
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Sign InThese sharp declines coincided with selling pressure on sector-linked equities, with MicroStrategy (MSTR) shares seeing notable pullbacks per market data. Compared to previous correction cycles, Coinglass data indicates that the volume of forced liquidations in the past 24 hours ranks among the highest this year, highlighting extreme market sensitivity at psychological support levels.
Traders should monitor price stability above the $60,000 threshold, with Bitcoin trading at $61,240 (at close 2026-06-05). Looking ahead, investors are awaiting the US ISM Manufacturing PMI data in early June, which could dictate the dollar's trajectory and the subsequent recovery path for cryptocurrencies.
Update: Options market data reveals parallel institutional optimism, with call options at the $80,000 strike price dominating open interest. According to reports, the notional value of these positions on Deribit is approximately $1.57 billion, signaling strong bets on a price recovery and a potential breakout toward new highs.
Update: The market witnessed the expiry of Bitcoin and Ether options worth $1.89 billion, intensifying volatility near key technical support levels. This coincided with a rise in crypto hedging demand driven by hopes for a Middle East ceasefire, which could potentially reshape trader risk appetite.