Bitcoin price has dipped under intense macro headwinds today, July 25, as the Nasdaq-100 index plunged to its lowest level since May 5 over escalating concerns regarding heavy artificial intelligence spending by tech giants.
At the time of writing, the leading cryptocurrency trades at $64,017.51, representing a 2.49% decline over the last 24 hours. Daily trading volumes reached $22.84 billion according to CoinMarketCap data, representing rising selling pressure after BTC recently touched an intraday high near $66,900 on July 21.
Market sentiment has turned cautious because Bitcoin increasingly correlates with high-growth technology shares.
Tech equity liquidation triggers crypto selloff
Data from TradingView shows that the Nasdaq-100 index closed its previous trading session at 28,128 points, establishing an eleven-week low. This equity drawdown stems from investor anxiety that massive capital expenditures toward AI infrastructure will reduce immediate corporate cash flows and increase corporate debt burdens.
For example, Alphabet purchased $94 billion worth of SpaceX stock during a June initial public offering, highlighting the scale of tech-sector capital allocation.
Commenting on the move, Peter Andersen, Chief Executive Officer of Andersen Capital Management, noted:
“People are thinking, how do we make sense of all this spending, and how much more patient do we have to be before we actually see it translate to actual profits?”
This capital preservation mindset in traditional finance has prompted defensive positioning within digital asset markets, where traders are taking profits rather than risking capital on volatile assets.
Why Bitcoin institutional demand channels are stalling
In tandem with the equity contraction, institutional demand channels for digital assets show signs of constraints. Data from SoSoValue shows that spot Bitcoin exchange-traded funds registered a mere $33 million in net inflows during the week ending July 24. This cumulative figure marks the weakest weekly capital intake for the investment vehicles in three weeks.
The reduction in capital allocation develops alongside a notable shift in the broader fixed-income landscape. Specifically, the US Treasury 10-year yield advanced to 4.71%, which represents its highest level since January 2025.
Higher yields on risk-free government bonds change the opportunity cost of holding volatile crypto assets. When government debt instruments present guaranteed yields at these levels, institutional allocators frequently pivot away from high-beta risk assets like Bitcoin.
Such a macro reallocation pattern cuts the baseline liquidity available to support crypto spot prices during equity market drawdowns. The drop from the July 21 peak of $66,900 reveals that market participants are opting for cash or fixed-income safety rather than defending local support levels. Consequently, the combination of tech stock liquidations and rising yields has forced a tactical retreat.
Key Bitcoin price technical levels to watch
On the 1-day chart, the daily candle prints at $64,017.51, positioning the asset just under its yellow moving average ribbon line of $64,266.14. Long-term overhead resistance remains defined by a higher red trendline sitting at $77,301.64.
The Aroon indicator on the daily timeframe provides a mixed outlook for long-term momentum; the Aroon Up line measures 71.43%, while the Aroon Down line hovers at 14.29%. A crucial horizontal resistance line is established at $67,303.10, which matches structural distribution zones from early June.
Shorter-timeframe data on the 4-hour chart reveals that Bitcoin is currently testing a vital upward-sloping purple trendline that has served as dynamic support since early July. The 4-hour Relative Strength Index has slid to 35.85, tracking below its yellow moving average line of 42.67, which places the asset near oversold territory.
Concurrently, the Moving Average Convergence Divergence indicator registers a bearish configuration, with the blue MACD line crossing below the orange signal line at -342.39 versus -155.51 amid expanding red histogram bars.
The immediate price action shows a direct cluster of sell orders around the 4-hour trendline, indicating that short-term speculators are actively hedging their spot exposures. Volume bars on shorter intervals have increased during down-swings, validating that the breakdown attempt is backed by active distribution rather than low-liquidity drift.
This alignment between the negative MACD crossover and the breakdown of the short-term moving average suggests that sellers hold the immediate tactical advantage. If the daily close finishes below this slope, the structure transitions from a standard corrective pullback into a broader structural reversal.
Downside risks that invalidate the bullish outlook
If this ascending 4-hour trendline breaks conclusively on a daily closing basis, the primary bullish setup will face invalidation. Under this scenario, a breakdown would expose the psychological support floor at $60,000, with a secondary structural horizontal support level waiting lower at $60,688.54.
Additional downside risks stem from the potential for cascaded long liquidations in the derivatives market if the $63,000 level fails to hold. A breach of these key horizontal baselines would open the path toward deeper retests of May lows, entirely erasing the recovery momentum built over the past three weeks.
