Bitcoin price drops to $62.5K as trader warns weekly close may spark more losses
Bitcoin fell toward Friday’s U.S. market open, dropping about 1.3% to around $62,570 and nearing its lowest level this month. It lagged behind U.S. stocks, which hit record highs, even after softer inflation data improved risk sentiment and lowered rate-hike expectations. Traders warned that BTC needs a weekly close above about $63,220 to avoid a breakdown, with $63,000 now acting as failing support and the 50-month EMA near $65,827 turning into resistance. Derivatives positioning has also raised the risk of a long squeeze near $61,000 as open interest and leverage build. Analysts said Bitcoin has shown resilience to negative headlines but lacks upside momentum, and markets are now focused on the upcoming PCE inflation report, the Fed’s preferred inflation gauge.
