Following stronger-than-expected US non-farm payroll data for May, Bitcoin fell below $60,000, continuing its nearly 10-day correction. Selling pressure intensified simultaneously, with $1.5 billion in cryptocurrency market liquidations occurring within 24 hours, including a concentrated liquidation of long positions in a short period.

Employment data lowers expectations for interest rate cuts

The U.S. economy added 172,000 nonfarm jobs in May, exceeding market expectations of 85,000. The unemployment rate remained at 4.3%, and the March and April figures were revised upward by a combined 93,000. Following the data release, market expectations for a swift interest rate cut by the Federal Reserve cooled, putting pressure on risk assets.

$60,000 became the key position

Jean-David Péquignot, Chief Commercial Officer of Deribit, stated that $60,000 is a significant price level in the Bitcoin options market. Deribit has over $1.2 billion in notional open interest in put options linked to this strike price.

When prices fall below this level, market makers may need to hedge short-term gamma risk by selling spot or futures. If leverage remains high, it could trigger further long liquidations.

Institutional holdings and on-chain indicators are both under pressure.

Strategy-related Bitcoin holdings also continue to come under pressure. Market commentary cited data showing that Strategy's unrealized losses have exceeded $12.7 billion as BTC has fallen below its average purchase cost.

On-chain valuation metrics also weakened. Bitcoin's MVRV ratio fell to 1.19, nearing market resistance. Analysts are also watching for a death cross signal from longer-term moving averages, believing that short-term volatility may continue to amplify.