Bitcoin fell below $70,000 on Tuesday, marking its lowest level since early April as a broad selloff in digital assets continued amid persistent fund outflows.
The world's largest cryptocurrency dropped more than 4% during trading and hovered below the $70,000 mark, extending losses that gathered pace in recent sessions. Other major cryptocurrencies, including ether and solana, also traded lower, although their declines were less steep.
The latest drop comes as investors navigate growing uncertainty across financial markets amid the ongoing war in Iran, which has pushed energy prices higher and increased volatility across several asset classes. Risk-sensitive assets, including cryptocurrencies, have faced pressure as investors reassessed exposure to speculative investments.
A major factor weighing on bitcoin was a surprise sale by Strategy, formerly known as MicroStrategy. The company disclosed Monday that it had sold approximately $2.5 million worth of bitcoin from its holdings, according to Yahoo Finance. While the transaction represented only a small portion of Strategy's roughly $59 billion bitcoin position, the move marked the company's first sale of the cryptocurrency since 2022 and attracted significant attention across the crypto market.
At the same time, spot bitcoin exchange-traded funds continued to experience sustained withdrawals. Spot bitcoin ETFs have now recorded 11 consecutive trading days of net outflows, with nearly $3.5 billion leaving the funds during that period.
Market data also showed a slowdown in institutional demand. Fresh capital entering bitcoin markets has weakened significantly in recent weeks, while the percentage of bitcoin supply held at a profit has declined, according to blockchain analytics data cited by The Block.
Geopolitical developments have added another layer of pressure on digital assets. Bitcoin's decline coincided with escalating tensions surrounding the conflict involving Iran, which has contributed to higher oil prices and broader market volatility. The Economic Times reported that bitcoin fell to a seven-week low near $70,000 as investors reacted to growing geopolitical uncertainty and widespread liquidation activity across crypto markets. The publication said approximately $744 million in positions were liquidated during a 24-hour period as traders unwound leveraged bets.
The recent weakness follows a difficult period for cryptocurrencies in 2026. Earlier this year, bitcoin experienced a sharp decline amid broader market turbulence, ETF outflows and weakening risk appetite. In February, bitcoin had fallen more than 12% during a steep selloff that erased significant value across the digital asset sector and triggered large-scale liquidations.
Despite gains in major U.S. stock indexes driven by enthusiasm surrounding artificial intelligence-related companies, bitcoin has continued to move lower. Nic Puckrin, co-founder of Coin Bureau, told Yahoo Finance that bitcoin's recent decline appeared to be driven more by cryptocurrency-specific factors than broader equity market trends.
