Bitcoin Drops Below $60,000 for First Time in Nearly Two Years

Bitcoin fell to $58,991.14, a 2.98% drop in 24 hours, marking its lowest price level since September 2024. According to Coin Market Cap and industry analysts, the decline is driven by institutional outflows from spot ETFs, U.S. Federal Reserve interest rate policies, and geopolitical instability in the Middle East.

Why is the price of Bitcoin dropping?

Institutional selling is a primary driver of the current decline. According to the platform Coin Market Cap, the drop results from persistent institutional sales via spot ETF outflows and an increase in assets entering exchange platforms.

Carolina Gama, country manager for Bitget in Argentina, reported that U.S. spot Bitcoin ETFs recorded net outflows of $469 million on Wednesday. This indicates a segment of investors is actively reducing their exposure to the asset.

Macroeconomic factors also play a role. Julián Colombo, director of Bitso for South America, attributes the movement to the U.S. Federal Reserve’s policies. He stated that high interest rates and restrictive global liquidity reduce investor appetite for risk assets like cryptocurrencies.

Did You Know? Bitcoin’s current dip below $60,000 represents a price floor not seen in 21 months, dating back to September 2024.

How does the Argentine market differ from global trends?

While institutional investors in the U.S. are selling, Argentine users are increasing their holdings. The crypto wallet Lemon reported that Wednesday was one of the five highest volume buying days of 2026, with 88% of operated volume consisting of purchases.

This “counter-current” reaction follows a documented pattern in Argentina. Lemon noted that on February 5, a 10% drop to roughly $62,000 triggered the year’s highest buying volume (80% of total). Similarly, a 7% drop on June 5 drove the second-highest acquisition volume of the year at 83%.

Bitso’s data confirms this trend, showing that Argentina tripled its average daily Bitcoin purchases on Wednesday 24. Colombo described this response as a sign of market maturity among Argentine users.

Expert Insight: Samantha Carter notes that the divergence between U.S. institutional outflows and Argentine retail surges highlights a split in risk perception. While global markets react to Fed liquidity and PCE inflation data, local users in volatile economies may view these corrections as strategic entry points.

What could happen to Bitcoin next?

Future price movements may depend on upcoming economic data. According to Carolina Gama, investors are likely to monitor the publication of the U.S. PCE price index this Thursday, as it is a primary inflation indicator for the Federal Reserve.

Julián Colombo, CEO de Bitso Argentina – iProUP

Geopolitical factors could also influence volatility. Ongoing tensions in the Middle East may continue to add uncertainty and maintain pressure on the general appetite for risk assets.

The asset’s overall trajectory remains tied to broader markets. The source notes that Bitcoin’s movements correlate with the S&P 500, suggesting that general macroeconomic shifts will likely dictate the next phase of price action.

Frequently Asked Questions

What caused the recent Bitcoin price drop?
According to Coin Market Cap, the decline is driven by institutional sales through spot ETF outflows and increased inflows into exchanges, correlating with general macroeconomic movements in the S&P 500.

How much did U.S. spot Bitcoin ETFs lose on Wednesday?
Carolina Gama of Bitget reported net outflows of $469 million from U.S. spot Bitcoin ETFs on Wednesday.

How has the Argentine market responded to the price correction?
Argentine users increased their purchases; according to Bitso, the country tripled its average daily buying volume on Wednesday 24, while Lemon reported that 88% of the volume operated that day consisted of purchases.

Do you believe institutional outflows or macroeconomic indicators like the PCE index will have a greater impact on crypto prices this month?