Here is a breakdown of why we’re seeing this "dip" toward the $72k–$75k zone:
1. Macroeconomic Headwinds
The "Warsh" Effect: The nomination of Kevin Warsh for Federal Reserve Chair has injected a dose of "hawkish" anxiety into the market. His history suggests a preference for tighter monetary policy, leading investors to fear that the era of "cheap money" (low interest rates) might not return as quickly as hoped.
Tech Sector Sell-off: A broader correction on Wall Street, particularly in the technology sector (Nasdaq), has spilled over into crypto. As institutional investors move to "risk-off" mode, Bitcoin often gets caught in the crossfire.
2. Market Dynamics & Liquidations
Futures Flush: The drop to the mid-$70k range was accelerated by heavy liquidations in the futures market. When the price hit certain triggers, forced selling created a "snowball effect" that pushed the price down rapidly.
Drying Spot Demand: Analysts have noted a cooling in spot Bitcoin ETF inflows. After a massive surge earlier in the year, the "buy the dip" appetite from institutional players has slowed, leaving the price vulnerable to sell-side pressure.
3. Key Technical Levels
Support Search: Many traders view $74,000 – $75,000 as a critical support zone. Falling below this level is seen by some as a bearish signal that could open the door to a deeper correction toward $60,000,
