Bitcoin (BTC) dropped to its lowest level in more than two weeks on Friday as renewed selling pressure hit the cryptocurrency market, while U.S. stocks failed to mirror the strong rebound seen in Asian equities.
According to market data, Bitcoin fell 3.5% during the session to $62,369, its lowest level since July 14, amid increased month-end market volatility.
The decline came as U.S. stock markets traded lower and remained largely range-bound despite a sharp recovery in Asia. South Korea’s KOSPI Index surged nearly 17.9%, marking its biggest single-day gain on record after a recent technology-led selloff.
Market analysts said semiconductor stocks drove both the earlier decline and the subsequent rebound in Asian markets, reflecting continued investor focus on the artificial intelligence and memory-chip sectors.
Analysts also noted that cryptocurrency trading activity increased during the sharp swings in Asian equities, highlighting the growing relationship between digital assets and global technology-focused markets.
Meanwhile, the Bank of Japan kept its benchmark interest rate unchanged at 1.0%, following the U.S. Federal Reserve’s decision earlier this week to leave interest rates unchanged.
Analysts Warn August Could Be Volatile
Despite Friday’s decline, Bitcoin remained 8.5% higher in July, making it the cryptocurrency’s strongest July performance since 2022.
However, some market analysts cautioned that Bitcoin’s historical price patterns suggest the market could face renewed weakness in August.
Crypto analyst Rekt Capital said Bitcoin may initially hold current levels before repeating a pattern similar to the 2022 bear market, when prices weakened after a strong July performance.
He also noted that Bitcoin’s 50-month exponential moving average (EMA), currently near $65,820, continues to act as a major resistance level after multiple unsuccessful breakout attempts since mid-June.
