Bitcoin's price has recently fallen to $66,013 on the Bitstamp exchange after enjoying six months of positive growth, matching the record set in 2012. Currently, Bitcoin is trading at $66,761, having dropped more than 4%. One significant reason for this crash is the notable outflows from Bitcoin ETFs. On April 1, Grayscale's GBTC saw outflows of $302 million, surpassing expectations. Overall, Bitcoin ETFs experienced total net outflows of $85.7 million on Monday, with major products from BlackRock and Fidelity failing to counterbalance GBTC's losses.

Additionally, the decrease in the likelihood of Federal Reserve rate cuts has negatively impacted Bitcoin prices. Odds of a June rate cut have fallen below 50%, causing pressure on risk assets like Bitcoin that typically thrive under loose monetary policy. Furthermore, disappointing inflation data may postpone rate cuts, as indicated by Federal Reserve official Christopher Waller and a report from the Financial Times, with the possibility of only one rate cut this year mentioned by Atlanta Federal Reserve Bank President Raphael Bostic.

Moreover, over $500 million worth of cryptocurrencies has been liquidated in the past 24 hours alone, with a majority of losses coming from long positions totaling $417 million. In total, over 155,000 traders have been liquidated, with the largest single liquidation order reaching $7.48 million.