Bitcoin slumps below $68,000 following heightened bear activity

Bitcoin, the flagship cryptocurrency, has slumped below $68,000 as bears seize control of the market for now.

At the time of this report, Bitcoin is trading at $64,498, down 2.7% in the past 24 hours, and over $ 4,000 off the key $68,000 level. The fear and greed index is also heavily tilted towards fear amid steep market retractions and sell-offs.

The current bear season follows a tense geopolitical weather with the US and Iran on the verge of calling off the ceasefire. Reports of resumed military action between the two countries are resonating across markets as investors pull back from volatile investments like cryptocurrencies. Iran suspended negotiations over claims that the US violated the ceasefire, initially forcing Bitcoin to slump below $71,000. The Slump continued even after President Donald Trump commented on the issue, saying negotiations are still ongoing.

About $1.14 billion was liquidated in the Crypto market in the last 24 hours. Of that, about $944 million came from long positions, while $193 million came from short positions. Bitcoin’s market capitalisation shrank to $1.296 trillion, but it still remains the largest crypto asset by almost a trillion dollars.

Strategy Inc Selloffs Spark Bearish Sentiment

Michael Saylor’s Strategy, the world’s highest corporate holder of Bitcoin, sold its first tranche of Bitcoin in four years, partly sparking the selling pressure that led to Bitcoin’s slump. According to an 8-K filing, the company sold 32 Bitcoin between May 26 and May 31, 2026, at $77,135 per coin, raking in about $2.5 million.

Saylor selling Bitcoin to offset a company expense represents a departure from his “HODL” ideology, which teaches the crypto world never to sell their assets, no matter what.

The Selloff, coupled with the Geopolitical tensions from the US-Iran war, has forced investors to pull out their funds from risky assets for a while. The 11 Bitcoin Exchange-Traded Funds (ETFs) recorded their 10th consecutive day of outflows, the longest streak since their launch in 2024. The ETF’s took their biggest hit last week on Wednesday, recording an outflow of $733 million.

Bitcoin hit its all-time high of $126,080 in October Last year, surging past the psychological barrier of $100,000 the previous year. Despite positive predictions about the Donald Trump Presidency and prospective pro-crypto policies, Bitcoin is currently 49% down from its all-time high.

Crypto trader and Analyst Aralez predicts that Bitcoin could drop to as low as $40,000 in this latest bear run before surging to its next all-time high in the next bull run. This Bitcoin Bottom is anticipated to occur between now and the start of next year.

Last updated: June 4, 2026