The Bitcoin price fell up to 4% following a significant sale by tech firm Strategy. Analysts predict potential buyback announcements could impact the market in coming days.
On July 6, 2026, Bitcoin experienced sharp volatility as it dropped nearly $3,150 (about 4%) due to a major sell-off of approximately 3,588 BTC by tech company Strategy. This sale occurred on the heels of recent positive funding rates across exchanges and amid broader market weakness.
The immediate reaction saw Bitcoin's price fall below $62,000 before recovering slightly during US trading hours, settling around $62,400 at press time. Analysts like Exitpump highlighted that while the sale was a catalyst for this downturn, underlying bearish sentiments were already present.
Exitpump noted funding rates across exchanges and suggested that once a Time-Weighted Average Price (TWAP) buyer backed off, prices might drop further to $64,000. Similarly, Rekt Capital pointed out similarities between current price action and the 2022 bear market, with potential resistance at the 50-month Exponential Moving Average.
Despite these negative indicators, some traders remained optimistic. Jelle identified bullish divergences on weekly RSI charts, suggesting that past performance might not be indicative of future trends. Michaël van de Poppe also predicted a possible rebound from Strategy itself, who could announce more BTC purchases in the coming days.
This event underscores the ongoing volatility and uncertainty surrounding Bitcoin's market dynamics. Traders should remain vigilant for potential buyback announcements or other significant news that may affect the price trajectory of the cryptocurrency.
For traders closely following these developments, monitoring on-chain indicators such as reversal signals could provide additional insights into future movements.
Source: Cointelegraph. Summarized and rewritten by the Vexoda Newsroom. This is market news, not financial advice.