Keep an eye on the bitcoin chart as it breaks $60,000. It’s gone through that level and touched below the June 5 bottom of $59,125.

This is a fresh low since September 2024.

At current levels, the entire Trump 2.0 rally is already wiped out despite a host of crypto-friendly US policies. That’s a poor fundamental sign and a problem for the bulls. There are few reasonable levers left to pull aside from a bitcoin strategic reserve and that doesn’t sound like something Congress is at-all interested in.

Today, crypto is caught in something of a sell-everything deleveraging in markets. Bitcoin is down 5% but silver is down 7.4% and gold is down 3%. WTI crude oil is down 4%, hot chip names are slumping and the US dollar is bid across the board. The winner today is the bond market with yields down 6-9% on a flight to safety.

Bitcoin was s last down $3019 to $59,369 and about $200 from the June intraday low after briefly touching below it.

I think the bigger problem for bitcoin, as I wrote earlier this month, is that it’s lost its cool. The young men that dominate risk taking in markets are increasingly shifting to AI trades, meme stocks and options trading. Crypto has benefited from some of that but for 20-year olds, it almost seems institutional.

Moreover, the use cases continue to be limited and the same talking heads parroting “bitcoin to $1 million” have lost credibility. The overall bandwidth for crypto is getting to be smaller outside of stablecoins, which are proving to be incredible businesses, but hardly investments at all.

Technically, a breakdown here will squarely target $50,000 and that could come quickly if we get a poor earnings reaction from Micron later today and a ‘risk off’ wave hits the Nasdaq.