Bitcoin rebounded above $60,000 during the July 1, 2026 trading session, recovering after weeks of decline. This move was driven by remarks from US Federal Reserve Chairman Kevin Warsh, who indicated that inflation pressures are easing. Warsh’s comments provided temporary relief to crypto markets following a turbulent quarter for digital assets.
Sharp intraday swings rattled markets
Early in the day, Bitcoin had fallen as low as $57,803, marking its lowest level in 22 months. The digital asset then reversed direction and traded around $60,807 in the afternoon US hours, reflecting an intraday gain of about 3.7%.
On the technical front, Daan Crypto Trades noted that Bitcoin touched the 0.618 Fibonacci retracement level, calculated over the entirety of this bull cycle. The analyst highlighted that this area coincides with consolidation lows of summer 2024, and in previous cycles, advances have often begun from similar technical zones.
Mini glossary: Fibonacci retracement refers to a set of ratios used in technical analysis to measure how much of a prior upward or downward move has been reversed. The 0.618 level is among the most closely watched support and resistance zones for investors.
Kevin Warsh stated, “We will ensure price stability in the US and will not tolerate inflation remaining above the 2% target.”
Ted Pillows expressed that as long as Bitcoin stays below $60,000, sellers maintain the upper hand. Consequently, despite the day’s rebound, caution persists regarding the market’s direction.
Weak quarter and rate hike expectations pressured prices
Bitcoin lost 14% in the quarter ending in June. Since the beginning of the year, the digital currency’s value is down 32%. The price now stands more than 50% below its October peak.
The Fed’s hawkish stance at its June meeting strengthened expectations for at least one additional rate hike this year. In a high-interest-rate environment, non-yielding assets like Bitcoin become more costly to hold. At the same time, increased interest in AI-related stocks has accelerated capital outflows from the crypto market.
Spot Bitcoin ETFs see record monthly outflows
US-based spot Bitcoin ETFs recorded outflows totaling $4.5 billion in June 2026. According to SoSoValue data, this marks the largest monthly outflow since the products began trading in January 2024.
| Indicator | Data |
|---|---|
| Total ETF outflow in June 2026 | $4.5 billion |
| Previous monthly record | $3.48 billion in February 2025 |
| BlackRock iShares Bitcoin Trust outflow | $3.55 billion |
| Total net assets | $70.9 billion |
The outflows recorded in June surpassed the previous monthly record of $3.48 billion set in February 2025 by roughly 29%. BlackRock’s iShares Bitcoin Trust was the main driver, posting $3.55 billion in withdrawals. In total, net assets across all US spot Bitcoin ETFs dropped from over $110 billion earlier in the year to $70.9 billion.
Daan Crypto Trades emphasized that while there were relief rallies at similar technical levels in earlier cycles, this cycle could differ in important ways.
Nevertheless, cumulative net inflows into these funds since their launch have remained above $51 billion. Despite recent heavy withdrawals, the long-term flow remains positive, drawing attention amid market volatility.
