The cryptocurrency market, particularly Bitcoin, is showing signs of potential further downside as liquidity is being pulled from key regions, according to a recent tweet by prominent crypto analyst Michael van de Poppe on June 17, 2025. In his analysis shared on social media, he highlighted that Bitcoin's price action suggests a likely continuation of bearish momentum in the short term. This comes at a critical juncture with the Federal Open Market Committee (FOMC) meeting scheduled for the following day, which often influences risk assets like cryptocurrencies due to its impact on monetary policy and market sentiment. As of the time of his tweet at approximately 10:00 AM UTC, Bitcoin was trading around 65,000 USD on major exchanges like Binance for the BTC/USDT pair, reflecting a 2.1 percent drop within the prior 24 hours, as per data from CoinGecko. Trading volume during this period spiked to over 30 billion USD across exchanges, indicating heightened activity and potential profit-taking or panic selling. This liquidity withdrawal, as noted by van de Poppe, often precedes further price declines, making this a pivotal moment for traders. The broader stock market context also plays a role, as the S&P 500 index futures were down 0.5 percent on the same day at 9:00 AM UTC, signaling a cautious risk-off sentiment among investors, according to Bloomberg data. This bearish sentiment in traditional markets often correlates with downward pressure on Bitcoin and other digital assets, especially ahead of significant macroeconomic events like the FOMC decision.

From a trading perspective, van de Poppe’s analysis suggests that while the immediate outlook for Bitcoin remains bearish, the current price zone around 64,500 to 65,000 USD as of June 17, 2025, at 12:00 PM UTC on the BTC/USD pair via Coinbase, could be a critical area of interest for a potential reversal. This zone aligns with historical support levels and is where liquidity is expected to re-enter the market, offering opportunities for long positions if confirmed by volume and momentum indicators. The upcoming FOMC meeting on June 18, 2025, could act as a catalyst, as any dovish signals regarding interest rates might boost risk appetite and drive institutional money back into crypto markets. Conversely, a hawkish stance could exacerbate the current downtrend, pushing Bitcoin toward lower support levels near 62,000 USD. Cross-market analysis reveals a notable correlation between Bitcoin and tech-heavy indices like the Nasdaq 100, which also saw a 0.7 percent decline in futures trading at 11:00 AM UTC on June 17, 2025, per Reuters data. This suggests that crypto traders should monitor stock market movements closely, as a continued risk-off environment could lead to further outflows from Bitcoin into safer assets. On-chain metrics, such as Bitcoin’s exchange netflow, showed a positive inflow of 15,000 BTC to exchanges over the past 24 hours as of 1:00 PM UTC on June 17, 2025, per CryptoQuant data, indicating potential selling pressure.

Delving into technical indicators, Bitcoin’s Relative Strength Index (RSI) on the daily chart stood at 42 as of June 17, 2025, at 2:00 PM UTC, signaling oversold conditions that could precede a bounce if buying volume increases, according to TradingView data. The 50-day moving average, currently at 67,000 USD, acts as a key resistance level, while the immediate support sits at 64,000 USD. Trading volume for the BTC/USDT pair on Binance reached 12 billion USD in the last 24 hours as of 3:00 PM UTC, a 15 percent increase from the previous day, reflecting heightened market participation. Additionally, the ETH/BTC pair on Kraken showed Ethereum underperforming Bitcoin with a 1.5 percent decline to 0.053 BTC at 4:00 PM UTC on June 17, 2025, suggesting broader altcoin weakness. Stock-crypto correlations remain evident, as institutional money flow data from CoinShares reported a net outflow of 30 million USD from Bitcoin ETFs on June 16, 2025, aligning with the stock market’s bearish sentiment. This institutional hesitance could delay a Bitcoin recovery unless positive catalysts emerge from the FOMC outcome. For traders, scalping opportunities exist near the 64,000 USD support with tight stop-losses below 63,500 USD, while swing traders might await confirmation of a reversal above 66,000 USD post-FOMC. Risk appetite appears subdued across markets, and monitoring S&P 500 movements alongside Bitcoin on-chain data will be crucial for the next 48 hours.

In summary, the interplay between stock market sentiment, FOMC expectations, and Bitcoin’s technical setup creates a complex trading environment. The correlation between crypto and traditional markets underscores the importance of cross-asset analysis for informed decision-making. Institutional flows, particularly into crypto-related ETFs and stocks like MicroStrategy, which saw a 3 percent share price drop to 1,450 USD at market close on June 17, 2025, per Yahoo Finance, further highlight the interconnectedness of these markets. Traders must remain vigilant, leveraging precise entry and exit points based on real-time data to navigate this volatility.