Bitcoin Surges Past $61,000 as Cryptocurrency Market Stabilizes After Sharp Decline
By Simon Mugo | Investing.com | Published: June 7, 2026
Bitcoin rose above the $61,000 mark on Sunday, marking a tentative recovery after a harsh selloff that erased hundreds of billions of dollars in value across the cryptocurrency market. As of 04:33 ET (08:33 GMT), the world’s largest digital currency was trading 1.71% higher at $61,833, recovering from a brief dip below $60,000 on Friday.
The rebound brings some relief following one of the most severe weeks for cryptocurrencies since the collapse of FTX in late 2022. Bitcoin itself lost over 17% in value during the week, while Ethereum suffered an approximate 20% decline. This downturn erased about $390 billion from the overall cryptocurrency market capitalization, which now hovers just above $2 trillion.
A significant factor in the slump was widespread liquidations of leveraged crypto positions. Data from CoinDesk, citing CoinGlass, revealed nearly $7 billion worth of leveraged trades were forcibly closed last week, with about $5.7 billion of those being long positions. This cascade of liquidations intensified selling pressures across digital assets.
Adding to investor concerns was the news that Strategy, a well-known crypto investment entity, sold Bitcoin for the first time since 2022. Though the sale involved a relatively modest 32 BTC, valued at around $2.5 million, the move unsettled market participants who had viewed Strategy as a steadfast buyer supporting Bitcoin’s price.
Another headwind was ongoing outflows from Spot Bitcoin ETFs. Traders appear to be rotating capital toward the burgeoning artificial intelligence sector, with heightened interest in AI infrastructure, semiconductor companies, and anticipated tech IPOs drawing funds away from cryptocurrencies.
The selloff accelerated markedly following the release of a stronger-than-expected U.S. jobs report on Friday. The report drove U.S. Treasury yields higher and reinforced market expectations that the Federal Reserve will maintain elevated interest rates longer than previously anticipated. As risk assets, cryptocurrencies faced increased downward pressure amid these macroeconomic shifts.
Despite the recent volatility, blockchain technology’s adoption continues to advance within the broader financial sector. Major banks, including JPMorgan Chase, Bank of America, and Citigroup, announced plans to launch a shared tokenized deposit network by 2027. This system will leverage blockchain infrastructure to enable near-instant settlement of deposits around the clock, highlighting a growing institutional embrace of digital ledger technologies.
In another notable development, several early Bitcoin wallets from as far back as 2011 became active after more than a decade of dormancy. These movements drew attention within the crypto community, illustrating the enduring value accumulated by some of Bitcoin’s earliest investors.
Looking ahead, market watchers are closely observing whether Bitcoin can hold support above $60,000 and extend its recovery momentum amidst ongoing liquidation risks, ETF outflows, and macroeconomic uncertainties.
Altcoins Show Mixed Performance Amid Bitcoin’s Recovery
While Bitcoin steadied, other major cryptocurrencies displayed a mixed picture on Saturday. Ethereum gained 4.45% to $1,640.23 but remained down 17.58% over the past week. XRP increased by 6.58% to $1.1631, though it still suffered a weekly decline of more than 13.18%. Similarly, Solana and Cardano bounced back with gains of 5.24% and 6.25%, respectively. Binance Coin (BNB) also rose by 3.45%.
Among meme tokens, Dogecoin edged up 5.28%, while $TRUMP remained unchanged.
With the cryptocurrency market navigating through turbulence, investors are weighing developments carefully as they seek signals for sustained stability or further volatility.
[Investing.com continues to monitor and report on cryptocurrency market movements and innovations.]
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