Cryptocurrency traders and analysts are forecasting that the price of Bitcoin (BTC) could fall as low as $60,000 U.S. in coming weeks as crypto miners reduce their stakes in the digital asset.
In recent days, Bitcoin’s price has dropped to $67,000 U.S. and tested its 50-day moving average as cryptocurrency miners adjust their positions in the largest crypto by market cap.
Miners have been selling the digital currency and taking profits ever since Bitcoin underwent a halving event this April, which is when the rewards for mining the crypto are cut in half.
Since the start of June, selling in Bitcoin among miners has risen to the largest daily volumes since late March of this year, before the halving event occurred, according to market data.
Bitcoin has also declined since the U.S. Federal Reserve on June 12 reduced its interest rate cut forecast for this year from three reductions to only one.
Other cryptocurrencies have also declined on the interest rate news, with digital tokens such as Solana (SOL) falling more than 10% over the past week.
Analysts say Bitcoin has also decoupled from the technology-laded Nasdaq index, having previously held a positive correlation with the index.
Traders and analysts say short-term sentiment towards cryptocurrencies has now turned bearish, with further declines likely.
So far in 2024, Bitcoin’s price has risen 52% to currently trade at $67,200 U.S.
