Bitcoin on pace for worst month since June 2022 as one strategist says token could drop to $40,000

Bitcoin on pace for worst month since June 2022 as one strategist says token could drop to $40,000 Ines Ferré · Senior Business Reporter Tue, June 30, 2026 at 4:19 PM GMT+2 2 min read BTC-USD MSTR ^GSPC Bitcoin ( BTC-USD ) slid below $60,000 on Tuesday, putting the token on track for its worst monthly performance since June 2022. The world's largest cryptocurrency has had a dismal first half of the year, sheding 33% year-to-date compared with the broader S&P 500's (^ GSPC) gain of 8%. It was set to end June down more than 19%.

Bitcoin has been in a sustained downward trend after tumbling from its all-time high in early October, with selling pressure and forced liquidations echoing patterns seen in prior cycle drawdowns. Bitcoin monthly performance · Coinglass While bitcoin is down roughly 52% from its record peak, analysts have noted the downturn has unfolded without the major bankruptcies that defined previous crypto bear markets. Even digital asset treasury giant Strategy ( MSTR ) helped ease market concerns on Monday after announcing it had raised more than $1 billion to boost its cash reserves rather than buy more bitcoin, a reassuring sign for investors about the company's liquidity and ability to pay dividends.

More from Yahoo Scout Where do analysts predict Bitcoin prices heading next? What impact are Bitcoin ETF outflows having? What factors are driving Bitcoin's significant monthly decline?

How do current crypto market conditions compare historically? "Crypto cycles historically end with a spectacular blow up and MSTR was becoming bears' leading candidate," Compass Point analyst Ed Engel wrote Monday. "This cycle hasn't had any major insolvencies related to leverage or fraud," he added.

Instead, Engel said most of the deleveraging has remained contained within decentralized markets rather than spilling over into the broader crypto industry. The downturn has been exacerbated by concerns about a rate hike by the Federal Reserve and by dwindling liquidity if the central bank tightens monetary policy. US-listed spot bitcoin ETFs are set for their largest monthly outflows since their January 2024 launch, with investors withdrawing more than $4.

1 billion across the 13 funds in June, according to Bloomberg data. David Grider of Finality Capital Partners believes bitcoin hasn't seen a bottom yet. "I don't think we bottom until September or October for bitcoin and most digital assets around it as well," Grider told Yahoo Finance on Tuesday.

"I don't think $40,000 or $45,000 would be unreasonable," he added. FILE - An advertisement for the cryptocurrency Bitcoin is displayed on a building in Hong Kong on Nov. 18, 2021.

(AP Photo/Kin Cheung, File) · AP Photo/Kin Cheung Raised $55M Series B led by Lightspeed Venture Partners Ines Ferre is a Senior Business Reporter for Yahoo Finance covering the US stock market, publicly traded companies, and commodities. She has reported live from the floor of the New York Stock Exchange and Nasdaq.