Bitcoin declined to approximately $62,000 on Wednesday, as a second consecutive day of significant selling in technology stocks exerted pressure on risk assets globally. The token traded around $62,546, down 2.1% over 24 hours and 4.9% on the week, sliding back toward the lower end of the range it has held all month. The selling was pronounced across the board. Ether decreased by 3.7% to $1,661, resulting in a weekly decline of 7.2%. XRP experienced a drop of 2.2% to $1.10, marking a 9.3% decrease for the week. Solana fell by 3.3% to $69, while Dogecoin saw a significant slide of 9.8% over the past seven days. Hyperliquid’s HYPE experienced a significant decline, falling by 8.8% on the day and 18.6% over the week, settling at approximately $61. Tron demonstrated relative resilience, appreciating by 3.7% over the week.
The pressure originated from the same source as observed on Tuesday. A renewed rout in semiconductor shares, the stocks that have led this year’s market with triple-digit gains, sent the Philadelphia Semiconductor Index down 7.9% on Tuesday, with all 30 members falling. Micron, Marvell, and On Semiconductor, each experiencing an increase of over 100% in 2026, were the primary contributors to the decline. The selloff resulted in a decline of 1.4% for the S&P 500 and a 3.3% decrease for the Nasdaq 100. An attempted rebound in Asian chip stocks faltered on Wednesday, as Taiwan Semiconductor experienced a decline of over 3%. Oil continued its decline, reflecting the other half of the macroeconomic landscape. Brent crude declined approximately 1% to around $76 a barrel as tanker traffic in the Strait of Hormuz became more apparent in the wake of the US-Iran interim peace agreement. A gauge of the dollar climbed to a seven-month high as investors shifted towards safer assets.
The crypto-specific signal resides in the fund flows, according to Mike McCluskey. He described bitcoin’s stabilisation in the low-to-mid $60,000s as a calculated reaction to the Federal Reserve’s hawkish stance, considering the significant impact such shifts typically have on digital assets. US spot bitcoin ETFs have experienced a notable 30-day net outflow exceeding $6 billion, a phenomenon that McCluskey characterised as ongoing institutional de-risking by the same investors who propelled this cycle. Until those flows clearly reverse, he stated, relief rallies are likely to encounter a significant ceiling. McCluskey also highlighted the options expiry on Deribit scheduled for Friday, with approximately $10.6 billion in notional value poised to expire. An option is a contract that grants the right to buy or sell at a predetermined price, while notional value refers to the aggregate value of the assets encompassed by those contracts.
Nearly 80% of the open positions are out-of-the-money, indicating they hold no value if they expire at current prices, concentrated around a $60,000 put and a $80,000 call. Those levels serve less as magnets for the price and more as indicators of how stretched positioning has become, with 60,000 representing a significant technical and psychological threshold that has already been tested this month. Bitcoin remains stagnant, positioned between a declining AI trade and a softening oil market, maintaining its position above the $60,000 threshold that has characterised June. However, there is a lack of upward momentum in the absence of institutional interest.