From 16:45 to 17:00 UTC on June 5, 2026, BTC/USDT rebounded from $60,806 to $61,474.4, posting a +0.92% return. The price range was 1.10%, and the market continued to trade in a low-level range overall.
The market is in an extreme oversold state: the RSI reading is 18.20, and the Fear & Greed Index has fallen to 11/100, which falls into the “extreme fear” category. In the week prior, BTC had cumulatively dropped 13.29%, sliding from above $71,000 to around $63,000.
The main driver behind this move is a technical oversold rebound. After several consecutive days of declines, BTC price touched the key technical support zone of $63,500-$63,900, triggering some short sellers to take profits. With the RSI in a deeply oversold condition, buy-side support appeared near the key support level, forming a short-term technical repair.
Second, liquidation of leverage positioning and positioning conflict between longs and shorts amplified volatility. Forced liquidations exceeding $690 million within 48 hours released some market leverage. The cleared amounts between longs and shorts were nearly balanced, giving extreme selling pressure a brief respite. On-chain data shows that on a major exchange, the BTCUSDT retail long-to-short ratio is 1.99 (longs 66.6%). Extremely bullish retail positioning, from a contrarian perspective, often signals a short-term bottom zone. At the same time, institutional pressure has not eased: U.S. spot Bitcoin ETFs have seen outflows for 12 consecutive trading days, with cumulative outflows of $3.58 billion, and net inflows for the year first turned negative. Strategy recently sold 32 BTC, shaking its “never sells” policy stance and reinforcing market caution.
The current rebound is a technical correction within a downtrend, and short-term volatility risk remains. Key support to watch is $63,500; a break below it could open room for further downside. June 6’s U.S. nonfarm payrolls data will be an important macro catalyst. With continued institutional fund outflows and an unchanged backdrop of tighter macro liquidity, the durability of the rebound remains to be seen. It is recommended to monitor on-chain fund flows and ETF flow changes, and beware of the risk of chasing higher prices in the short term.
