Cryptocurrency Market Crash: Multiple Bearish Catalysts Accelerate Downside Momentum

The cryptocurrency market has experienced a significant crash, with Bitcoin, Ethereum, XRP, and major altcoins falling due to multiple bearish catalysts.

Institutional demand has weakened sharply, with massive ETF outflows recorded in the past few days. According to data, U.S. Bitcoin Spot ETFs recorded $519.19 million in net outflows on June 2, while Ethereum Spot ETFs recorded another $90.15 million in daily net outflows.

The selloff has turned into a liquidation cascade, with over $1.3 billion in leveraged crypto positions being liquidated, with Bitcoin accounting for nearly $883 million and Ethereum contributing over $476 million in forced liquidations.