Bitcoin Price Crashes Toward $61,000 as Bloodbath Engulfs Crypto Stocks

Bitcoin Magazine Bitcoin Price Crashes Toward $61,000 as Bloodbath Engulfs Crypto Stocks Bitcoin price is trading near $61,500 today, extending a decline that has erased more than half its value since the token hit a record high in October 2025. The sell-off is rippling through publicly traded crypto companies, where losses have at times outpaced Bitcoin itself. The token fell to $61,877 earlier this week — its lowest level since June 11 — before sliding further. Bitcoin price briefly broke below $60,000 on June 5, a level not seen since late 2024, before a partial recovery that has since stalled. Deutsche Bank attributed Bitcoin’s weakness to a convergence of institutional pressures. A shift in Federal Reserve expectations — the bank now forecasts two rate hikes in 2026, reversing earlier expectations for cuts — has removed a key pillar of institutional demand. Higher rates make risk assets less attractive relative to cash and bonds. Spot Bitcoin ETFs have seen six consecutive weeks of net outflows totaling roughly $6 billion, with $2.4 billion leaving in June alone. Deutsche Bank analyst Marion Laboure described Bitcoin as “increasingly trading like an institutional risk asset,” with the marginal buyer now an ETF allocator or corporate treasury rather than a retail participant. When those buyers exit, the price follows. Competition from artificial intelligence has added pressure. U.S. tech giants are on track to spend more than $700 billion on AI infrastructure in 2026, and investors are treating Bitcoin and AI-linked equities as competing destinations for speculative capital. A tech stock sell-off that began Monday pulled Bitcoin price lower in tandem, with the Nasdaq 100 falling as much as 3.4%. Blood in the streets for the bitcoin price and for crypto stocks The pain has been acute for companies that built their business models around Bitcoin accumulation. Strategy, the largest corporate Bitcoin holder, has fallen for five consecutive trading sessions and is down more than 20% over the past week. The stock is off 26% over the past 30 days. A major catalyst came in late May when Strategy sold 32 BTC for approximately $2.5 million — its first Bitcoin sale since 2022 — to cover distributions on its preferred stock. The move shattered the company’s “buy only, never sell” identity and spooked investors. Strategy carries five series of preferred stock with combined annual dividend obligations estimated at $750–$800 million, and its cash reserves have fallen from $2.25 billion at the start of 2026 to around $900 million. Strive, the Bitcoin treasury company backed by Vivek Ramaswamy, has also taken a hit. The company purchased 2,500 BTC for $185 million at an average price of $74,092 — well above current levels — leaving it sitting on paper losses. Shares of Strive (ASST) dropped after the purchase was disclosed, a sign that investors are skeptical of aggressive accumulation strategies at elevated cost bases. Strive now holds roughly 19,864 BTC val