On the morning of June 3, Bitcoin fell by almost 9%, falling below $65.4 thousand (low since early April), and Ethereum lost about 10% to $1815. The crypto market’s total capitalization has come closer to the year-end, falling below $3.27 trillion. It is noteworthy that against this background, a number of large altcoins have shown strong growth: Lighter (+20%), DeXE and Ondo (+15%), Zcash and Ethena (+12%).

The rise of Ondo and Ethena was reinforced by fundamental news: a launch announcement of open-ended futures for the former, and a partnership with Coinbase exchange for the latter. The sharp sell-off of BTC and ETH led to mass liquidations, with 278,000 traders forcibly closing their positions for $1.85 billion per day, of which $1.65 billion went on the long run. The fear and greed index plummeted to an extreme 11, signaling panic.

Market pressure has been compounded by steady outflows from funds: on 2 June, Bitcoin ETFs reported $520 million in withdrawals (12th consecutive day), and Ethereum ETFs reported $90 million (16th day). By the morning of June 3, BTC and ETH quotes had partially recovered to $67,200 and $1,87 thousand respectively.