Key Takeaways
- • Bitcoin collapsed 5% to $60,750 on Friday, touching a low of $59,764.90—its lowest level since October 2024—leaving the cryptocurrency down 17% for the week and 52% below its October 2025 all-time high of $126,000.
- • Michael Saylor's MicroStrategy (Strategy) triggered a sharp selloff by reducing its Bitcoin holdings, sparking hundreds of millions of dollars in liquidations across crypto markets and dampening investor sentiment.
- • Bitcoin ETF inflows dried up dramatically: total net assets fell from $107.8 billion on May 14 to $80.4 billion, with the sector recording a $3 million net inflow on Thursday after a record 13-session streak of outflows.
- • Crypto-linked equities suffered material losses, with Coinbase, Circle, and MicroStrategy shares falling 8% on Friday, while MicroStrategy declined 25% for the week, reflecting institutional portfolio stress.
- • Spot cryptocurrency trading volume collapsed to $679 billion in April—the lowest monthly level since October 2023—while capital rotated toward artificial intelligence investments and a stronger-than-expected U.S. jobs report prompted reassessment of interest rate expectations.
Summary
Bitcoin experienced a severe selloff on Friday, June 5, 2026, declining 5% to $60,750 after briefly touching $59,764.90, marking its lowest point since October 2024. The cryptocurrency's weakness reflected a confluence of negative factors: selling pressure, weak market demand, and shifting macroeconomic conditions. For the week, Bitcoin was down approximately 17%, and the asset remains more than 52% below its all-time high of roughly $126,000 reached in October 2025.
The immediate catalyst for the decline was MicroStrategy's (trading under the symbol Strategy) sale of a portion of its Bitcoin holdings. This move proved particularly consequential, triggering widespread liquidations across cryptocurrency markets worth hundreds of millions of dollars and signaling reduced conviction among prominent institutional holders. The selloff extended beyond Bitcoin itself, with crypto-linked equities suffering material losses: Coinbase, Circle, and MicroStrategy shares each fell approximately 8% on Friday, while MicroStrategy posted a steeper weekly decline of roughly 25%.
Institutional demand for Bitcoin has deteriorated significantly. Bitcoin ETFs, which had previously served as a primary driver of institutional capital inflows, recorded a net inflow of just $3 million on Thursday after experiencing a record 13-session streak of consecutive outflows. Total net assets across Bitcoin ETFs contracted from $107.8 billion on May 14 to $80.4 billion—a decline of $27.4 billion. This represents a structural withdrawal of institutional capital from the cryptocurrency space.
Market participation metrics underscore the severity of demand weakness. Spot cryptocurrency trading volume declined to $679 billion in April, the lowest monthly level since October 2023, indicating persistent lack of trading interest. Analysts also attributed pressure to a broad capital rotation away from cryptocurrencies toward artificial intelligence-related investments. Additionally, a stronger-than-expected U.S. jobs report on Friday prompted investors to reassess interest rate expectations, adding to risk-off sentiment affecting risk assets including crypto.
## METADATA
The immediate catalyst for the decline was MicroStrategy's (trading under the symbol Strategy) sale of a portion of its Bitcoin holdings. This move proved particularly consequential, triggering widespread liquidations across cryptocurrency markets worth hundreds of millions of dollars and signaling reduced conviction among prominent institutional holders. The selloff extended beyond Bitcoin itself, with crypto-linked equities suffering material losses: Coinbase, Circle, and MicroStrategy shares each fell approximately 8% on Friday, while MicroStrategy posted a steeper weekly decline of roughly 25%.
Institutional demand for Bitcoin has deteriorated significantly. Bitcoin ETFs, which had previously served as a primary driver of institutional capital inflows, recorded a net inflow of just $3 million on Thursday after experiencing a record 13-session streak of consecutive outflows. Total net assets across Bitcoin ETFs contracted from $107.8 billion on May 14 to $80.4 billion—a decline of $27.4 billion. This represents a structural withdrawal of institutional capital from the cryptocurrency space.
Market participation metrics underscore the severity of demand weakness. Spot cryptocurrency trading volume declined to $679 billion in April, the lowest monthly level since October 2023, indicating persistent lack of trading interest. Analysts also attributed pressure to a broad capital rotation away from cryptocurrencies toward artificial intelligence-related investments. Additionally, a stronger-than-expected U.S. jobs report on Friday prompted investors to reassess interest rate expectations, adding to risk-off sentiment affecting risk assets including crypto.
## METADATA
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