Bitcoin fell 2% to just above $62,000 as risk aversion and Federal Reserve minutes pressured the mar

Bitcoin fell 2% to close above US$62,000. Risk aversion and Federal Reserve minutes put pressure on the market.

Bitcoin has fallen about 2% in the past 24 hours, trading slightly above US$62,000, global risk aversion continues to heat up. The decline was not simply dragged down by the cryptocurrency market-the plunge in semiconductor and artificial intelligence stocks also exacerbated the overall market correction.

Global headwinds intensify

Asian market volatility intensified overnight, Samsung Electronics related profit-taking triggered a sell-off, while escalating military tensions between the United States and Iran pushed oil prices up nearly 5%. Against this background, the U.S. stock index opened lower. On the same day, the Federal Reserve released the minutes of its June meeting. As the world\'s most influential central bank, the Federal Reserve\'s guidance on interest rate policy remains the focus of global markets.

The real significance of the Fed minutes for markets is how its language on inflation and interest rates will shape the market\'s expectations for the next step.

Market pricing shows that the probability of the Fed leaving interest rates unchanged at its July 29 meeting is close to 73%. As a result, investors are paying more attention to the forward-looking guidance in the minutes of the meeting rather than the expected interest rate decision itself.

Futures markets set the tone

Earlier this week, investor interest in Bitcoin appeared to be stronger. According to cumulative volume increment data, net purchases in the futures market on Monday were approximately US$585 million, and net purchases in the spot market were US$119 million, totaling US$705 million, pushing Bitcoin to exceed US$64,000.

However, by Wednesday, market sentiment had reversed. Rising oil prices, a sharp sell-off in semiconductor stocks and caution ahead of the release of the Federal Reserve\'s minutes prompted investors to cut risk exposure. The sell-off in the cryptocurrency futures market was close to US$500 million, and the sell-off in the spot market was US$86 million.

Declines in funding rates and open interest indicate that traders are reducing positions. However, the funds rate remained positive for most of the week, indicating that underlying demand remained despite the hedging operations.

Tips: The capital rate refers to the regular payment between long and short positions in the futures market, which is used to maintain the balance of contract prices. Open interest represents the total number of futures contracts that have not been closed and reflects the degree of leverage participation in the market.

Comparison of market indicators:
Monday: futures market inflow + US$585 million, spot market inflow + US$119 million, overall net purchases of US$705 million.
Wednesday: Nearly US$500 million was sold in the futures market and US$86 million was sold in the spot market, with the overall direction of risk reduction.

Long liquidations surge

Although the total liquidations in US dollars remain at moderate levels, pressure is mainly concentrated on the long side. On Wednesday, most of the forced liquidations occurred in long positions: long liquidations were about $47 million, while short liquidations were only $4 million.

The concentration of long positions around $61,000 suggests that if prices hit that level, it could trigger a brief accelerated decline. Data shows that a large number of long positions have been gathered in the US$61,000 area. If prices test the range again, a series of forced liquidations could temporarily add to downward pressure. Still, some buyers seem ready to take on declines below $60,000, and demand from the spot market and Bitcoin ETF indicate continued buying interest in the current range.

Market sentiment remains fragile

Recent price movements show how quickly bullish momentum and market confidence can dissipate when the rally is dominated by derivatives markets. The Cryptocurrency Fear and Greed Index continues to show that the market is in the \"fear\" range.

In addition to geopolitical tensions and uncertainty at the Federal Reserve, Strategy recently sold 3588 bitcoins, further depressing market sentiment. Bitcoin prices are still below the company\'s average acquisition cost of $74,582 million, and investors speculate that one of the largest bitcoin holders could accelerate its sell-off if the stressful environment continues.