According to Akshat Siddhant, lead quant analyst at Mudrex, the latest selloff followed US airstrikes on Iran, which triggered broad risk aversion across global markets.
“Bitcoin came under fresh selling pressure following the U.S. airstrikes on Iran, triggering nearly $1 billion in liquidations across the crypto market,” Siddhant said. He added that Bitcoin ETFs have recorded outflows for eight consecutive sessions, with more than $2 billion withdrawn during the period.Siddhant also said the lack of progress on key US crypto legislation, including the Digital Asset PARITY Act and the CLARITY Act, has kept investors cautious.
“Currently trading at $72,800, BTC must defend the $70,000 level to avoid further downside. A sustained move above $75,000 could help stabilise the price in the short term,” he said.Separately, Vikram Subburaj, CEO of Giottus.com, said Bitcoin remains in a “macro-driven consolidation zone” near the $74,000-$75,000 range as volatility across global markets rises.
Subburaj noted that institutional flows remain under pressure, with US-listed spot Bitcoin ETFs witnessing heavy withdrawals over recent weeks. According to analysts cited by Giottus.com, the 11 US-listed spot Bitcoin ETFs saw roughly $1.26 billion in outflows last week, after nearly $1 billion in withdrawals during the previous week, taking cumulative two-week outflows to about $2.54 billion.
“The ETF trade had become the market’s cleanest liquidity engine after the 2024 approvals. That engine is now slowing,” Subburaj said.
He added that Bitcoin’s inability to reclaim the $78,000-$80,000 range over multiple sessions has become “structurally important” for the market, especially as the cryptocurrency now trades below key on-chain cost-basis levels tracked by market analysts.
Subburaj also pointed to broader macroeconomic pressures, including elevated US bond yields, a stronger dollar and rising oil prices, as factors weighing on risk assets such as cryptocurrencies.
First Published: May 28, 2026 12:39 PM IS
