[Digital Today reporter Jinju Hong (홍진주)] Bitcoin slid to around $65,000, marking its lowest level in nine weeks. The sharp price drop triggered more than $1.8 billion in liquidations in the crypto derivatives market. Market attention is focused on whether bitcoin can defend the key $60,000 support level.

On June 3 (local time), blockchain media outlet Cointelegraph reported that bitcoin fell as low as $65,362 intraday on Bitstamp. That was about 8 percent lower than $71,300 recorded on Tuesday. It was also about 21 percent down from a recent local peak of $82,800.

The price plunge also jolted derivatives markets. Bitcoin long-position liquidations totaled $774.2 million, based on Coinglass data. Ether (ETH) also saw $440 million in long liquidations. Across the overall crypto market, long-position liquidations exceeded $1.58 billion, and total liquidations including short positions reached $1.83 billion. It was the largest since Feb. 6.

Market analysts are not viewing the decline as merely a short-term correction. Researchers at on-chain analytics platform Crypto Banter rated the episode as one of the largest single volatility events in recent months. A pseudonymous analyst, Byzantine General, analyzed that bitcoin liquidations were concentrated simultaneously at major exchanges including Binance, Bybit, OKX and Deribit.

Some also say the scale of liquidations so far falls short of past major crash levels. Analyst DonaXBT explained that roughly $1.5 billion in long liquidations that occurred on the day was slightly lower than the $1.6 billion recorded during the 2020 COVID-19 shock.

In spot markets, rising inflows to exchanges are emerging as an additional burden. CryptoQuant data showed Binance's bitcoin holdings reached about 659,000 BTC, the highest level in three months. CryptoQuant analyst Arab Chain analyzed that if rising exchange holdings coincides with falling prices or increased volatility, it could raise potential selling pressure. As more bitcoin is held on exchanges, the supply that can actually be sold also increases.

Market participants are watching the $60,000 level as a key turning point for bitcoin's next price move. Michael van de Poppe (마이클 반 데 포페), founder of MN Capital, said bitcoin has entered an "interesting zone" below $66,000 and that bulls see the area around $61,000, where the 200-week moving average sits, as a key support zone.

Crypto analyst Colin Talks Crypto (콜린 토크스 크립토) also rated the $65,000 to $66,000 zone as a support area where a short-term rebound could be attempted, while judging that the possibility of a retest of $60,000 remains open.

The market sees volatility as having risen sharply as an expansion of geopolitical risks, increased exchange inflows and large-scale derivatives liquidations occurred simultaneously. As a result, in the short term, a key variable for bitcoin's next direction is whether actual buying flows in at the $60,000 support level, rather than whether it regains $65,000.