Bitcoin climbed back above the $63,000 mark over the weekend, recovering from last week’s dip below $60,000
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Dado Ruvic
Bitcoin climbed back above the $63,000 mark over the weekend, recovering from last week’s dip below $60,000, as renewed inflows into US spot exchange-traded funds (ETFs), easing macroeconomic concerns and improving investor sentiment supported a broader rebound in cryptocurrency markets.Analysts attributed the recovery to short covering, a weaker US dollar, easing oil prices, and renewed institutional interest.According to Riya Sehgal, Research Analyst at Delta Exchange, the latest US spot Bitcoin ETFs recorded net inflows of $223.5 million on July 2, reversing the previous day’s $296 million outflow. US spot Ethereum ETFs also posted $29 million in net inflows, marking a second consecutive day of positive flows.“ETF flows have become an important sentiment driver,” Sehgal said, adding that Bitcoin remains above its short-term exponential moving averages (EMAs) but still capped below the 200-day EMA around $63,920. A breakout level could be at 64,000.Nischal Shetty, founder of WazirX, said Bitcoin’s recovery from the $60,000 zone occurred as daily technical indicators turned neutral and buyers returned after an extended period of selling pressure.“Positive spot ETF inflows after a 10-day outflow streak supported the move, though heavy exchange deposits from large holders kept volatility elevated,” he said.Macroeconomic developmentsMarket participants also pointed to broader macroeconomic developments that helped improve risk appetite. Harish Vatnani, head of Trade at ZebPay, said easing inflation concerns, a softer-than-expected US jobs report and short covering by bearish traders helped Bitcoin rally nearly 10 per cent in five trading sessions, erasing losses from late June.However, he noted that trading volumes remained subdued due to the US Independence Day holiday, which likely amplified price swings in a low-liquidity environment.“After starting the third quarter on a weak note, Bitcoin has recovered most of its recent losses. The market’s next direction will largely depend on upcoming US inflation data and whether buying interest continues once US markets return to normal activity,” Vatnani said.From a technical perspective, analysts see the $65,000-$70,000 range as the next major resistance zone for Bitcoin. A sustained breakout above that level could open the door for a rally toward $85,000, Vatnani said.Investors are also watching the release of the US Federal Open Market Committee (FOMC) meeting minutes on July 8, which could provide fresh clues on the Federal Reserve’s policy outlook and trigger the next bout of volatility in crypto markets.Separately, Shetty cited a Deutsche Bank Research Institute report warning that rising US debt, persistent fiscal deficits and higher borrowing costs could weaken long-term confidence in the US financial system. While that may not drive immediate price gains, he said it reinforces Bitcoin’s long-term appeal as a scarce, decentralised asset that could benefit if inflationary pressures or monetary easing boost demand for alternative stores of value.Published on July 6, 2026
