Bitcoin Falls Below $60,000 as Dollar Strengthens, ETF Outflows Exceed $6 Billion in Six Weeks

Bitcoin fell below $60,000 this week for the first time since 2024, trading near $59,230, while the dollar index climbed to its highest levels in over 13 months. The cryptocurrency has declined approximately 43% over the past year as investor interest shifted towards artificial intelligence and technology stocks.

Spot Bitcoin ETFs recorded outflows of approximately $6 billion for six consecutive weeks, marking one of the largest outflow streaks in two years. According to market analysts, a key institutional investment thesis for Bitcoin throughout 2024 and 2025 was based on expectations of falling interest rates, but as the Federal Reserve has shifted towards a more hawkish stance, this assumption has reversed, increasing the opportunity cost of holding non-yielding assets.