Bitcoin suffers worst week of 2026, plunging 50% from record high

Bitcoin Posts Worst Week Since Early 2026 Amid Broad Crypto Selloff

Bitcoin plunged below $60,000 last week, touching an intraday low of $59,100 on June 5 — its lowest level of 2026 — before partially recovering to trade around $62,500 as of the weekend. The decline of roughly 19% in seven days marks the cryptocurrency’s worst weekly performance this year, erasing months of gains and dragging the broader digital asset market sharply lower.cryptonews

A Macro-Driven Meltdown

Unlike the industry-specific collapses that defined previous crypto downturns, the current selloff has been driven largely by macroeconomic forces. Escalating U.S.-Iran tensions, persistent inflation, a stronger dollar, and fading expectations for Federal Reserve rate cuts have combined to crush risk appetite across digital assets. Markets are now pricing a nearly 69% probability that the Fed will deliver zero rate cuts in 2026.economictimes

Bitcoin has now fallen approximately 50% from its October 2025 record high near $126,200. Strategy’s disclosure that it sold 32 BTC in late May — a small but symbolically jarring move from the company formerly known as MicroStrategy — accelerated the deleveraging. Coinglass data showed $1.75 billion in crypto liquidations within a single 24-hour window on June 5, with more than 351,000 traders wiped out.cryptorank

ETF Exodus and Altcoin Carnage

Spot Bitcoin ETFs endured 13 consecutive days of net outflows through June 3, shedding $4.3 billion and roughly 59,000 BTC in what Galaxy Research called the longest such streak since the funds launched in early 2024. Weekly outflows hit $1.72 billion in early June, the largest single-week exit since February 2025. The streak finally broke on June 5 when ETFs recorded a modest $3 million net inflow.beincrypto

Ethereum fell 9% on June 5 alone to $1,609, while Solana lost 6.2% and XRP shed 5.2%. The total cryptocurrency market capitalization has dropped to roughly $2.3 trillion.cryptoticker

Diverging Fortunes

The contrast with equities is stark. The S&P 500 closed at 7,405 on June 8, up more than 8% year-to-date, while Bitcoin is down over 42% over the past year. Liquidity has rotated toward AI-related stocks and other momentum trades, according to CNBC, leaving crypto without a compelling near-term catalyst.cnbc

QCP Capital warned that “the path of least resistance remains lower” until clearer signals emerge on geopolitics, monetary policy, or institutional demand. Bitcoin now sits at the lower boundary of its Power Law corridor — a level that has historically preceded rebounds but has yet to attract meaningful buying.tradingview