Is bitcoin heading for $65K as Sharplink buys $16M ETH?
Bitcoin is not clearly heading for $65K yet. Analysts are divided after BTC bounced from a 21-month low near $57,737 to roughly $61,490, helped by Federal Reserve inflation commentary. ETF outflows, extreme fear readings, and warnings that bitcoin could fall toward $52,000 mean the bitcoin heading for 65k debate remains open.
Key Takeaways
- Bitcoin rebounded to about $61,490 after hitting a 21-month low of $57,737, while traders weigh a bull trap against a possible push toward $65K.
- US spot Bitcoin ETFs saw roughly $4.5 billion in June outflows—the largest since launch—as sentiment sat in Extreme Fear near 11 out of 100.
- Analyst PlanB warned BTC may not have bottomed and could drop toward $52,000 after June's worst monthly loss since 2022.
- SharpLink resumed Ether buying after an eight-month pause, purchasing $16 million in ETH at an average of $1,611 per coin.
- The IMF says tokenization could reshape settlement, while Ripple co-founder Chris Larsen reportedly backed a venture tied to crypto legislation talks.
Why did Bitcoin bounce off its 21-month low?
Bitcoin reacted positively to US Federal Reserve Chair Kevin Warsh's remarks on stubborn inflation, lifting prices after an earlier slide to $57,737. At publication, BTC traded around $61,490, with Ether up 3% and Solana up 4.85%, according to Cointelegraph.
The recovery arrived as the US five-year Treasury yield jumped to 4.22%, reflecting higher returns demanded on government bonds. Sentiment trackers placed crypto markets in Extreme Fear territory, reading around 11 out of 100. Despite the rebound, Bitcoin remains down roughly a third since the start of the year.
Could Bitcoin still drop to $52,000 instead of $65K?
Some analysts see room for hope, but others warn the market has not reached a bear-market bottom. Crypto analyst PlanB noted that Bitcoin closed June at $58,526—its worst monthly performance since June 2022—below its 200-week moving average of $62,000 but above its realized price of $52,000.
PlanB said all previous bear market bottoms were below realized price and suggested Bitcoin could drop to $52,000. US spot Bitcoin ETFs hemorrhaged funds in recent weeks, including a reported $4.5 billion total outflow in June. Traders also worry that incentives for fixed-income investments and strong tech earnings could keep pressuring non-yield-bearing assets like crypto.
Why is SharpLink buying $16M in Ether now?
Crypto treasury company SharpLink resumed buying Ether last week after an eight-month pause, purchasing $16 million worth since June 25. Onchain data from Arkham shows it bought 5,000 ETH on June 25 and another 5,000 ETH worth $8.5 million on June 26, at an average price of $1,611 per ETH.
SharpLink's total Ether holdings now stand at 866,725 ETH. The company said its purchases reflect a continued commitment to growing its ETH treasury as a long-term reserve asset. Ether remains down 10.73% over the past 30 days.
What else is shaping crypto markets this week?
Institutional data provider Talos reported that Bitcoin and Ether long liquidations totaled $8.35 billion in Q2, leaving markets with less leverage but thinner liquidity heading into the third quarter. Reduced order-book depth could mean sharper price swings even if forced-selling chains are less likely.
Meanwhile, the IMF said tokenization could compress multi-day settlement into near-instant transactions but warned fragmented standards may create new systemic risks. Ripple co-founder Chris Larsen was reportedly among investors backing American Perpetuals Exchange Corp., founded by Senator Kirsten Gillibrand's son, as lawmakers negotiate ethics provisions in the Digital Asset Market Clarity Act. For more daily coverage, see our Fintech & Crypto Alerts hub.