Bitcoin Falls Below $62,000 as $1.5 Billion in Crypto Long Positions Are Liquidated

Bitcoin briefly dropped below $62,000 during Asian trading on June 4, marking one of its sharpest declines in recent months and triggering a wave of liquidations across the crypto market.

According to market data, more than $1.5 billion worth of leveraged crypto positions were wiped out over the past 24 hours. Over 208,000 traders were liquidated as prices fell rapidly across major digital assets.

Bitcoin accounted for more than $800 million of the losses, while Ethereum contributed another $386 million. The forced closing of leveraged positions added further pressure to the market and accelerated the decline.

ETF Outflows Continue to Weigh on Bitcoin

The latest drop comes as institutional demand remains weak. Investors have withdrawn roughly $1 billion from U.S. spot Bitcoin exchange-traded funds (ETFs) this week, extending a record streak of net outflows.

Persistent ETF withdrawals have raised concerns about reduced institutional participation at a time when the market is already facing heavy selling pressure.

AI Stocks and Gold Compete for Investor Capital

Analysts at Presto Research believe Bitcoin’s weakness is linked to broader market trends rather than a single crypto specific event. They noted that Bitcoin’s largest declines this year have often occurred alongside strong rallies in gold and artificial intelligence-related stocks.

According to the firm, investors have been shifting capital toward assets viewed as more attractive while reducing expectations for Federal Reserve interest rate cuts.

Presto Research said a meaningful Bitcoin recovery may depend on easing inflation concerns and renewed demand for risk-sensitive assets. Until then, competition from gold and AI investments could continue to limit buying interest in the cryptocurrency market.