Bitcoin falls below $60,000 as yen hits 40-year low

Bitcoin ↘ 0.35% declined on Tuesday, trading near $59,000 after the Japanese yen's slide to a 40-year low boosted the U.S. dollar and Michael Saylor's Strategy announced it may sell up to $1.25 billion worth of the cryptocurrency — a move that rattled a market already reeling from weeks of weak demand.

Strategy Breaks With "Never Sell" Philosophy

Strategy ↘ 0.59%, the world's largest corporate Bitcoin holder with roughly 843,700 BTC on its books, disclosed on Monday a sweeping overhaul of its financing model. According to Bloomberg, the company said it may sell up to $1.25 billion in Bitcoin to bolster cash reserves, cover preferred stock dividends, service debt interest, and fund share repurchase programs of up to $1 billion each for common and preferred stock.finance.yahoo+1

The announcement represents a further departure from founder Michael Saylor's long-standing pledge to never sell. Strategy executed its first Bitcoin sale in years in late May, offloading 32 BTC for approximately $2.5 million, as disclosed in a June 1 Form 8-K filing. The company said its cash reserves stood at approximately $2.55 billion as of June 28.wsj+3

Strategy also indicated it would become "more disciplined" about issuing common equity, particularly when its shares trade near the net asset value of its Bitcoin holdings.finance.yahoo

Yen's 40-Year Low Strengthens Dollar, Pressures Risk Assets

The macro backdrop added further headwinds. The Japanese yen broke past the 161.95 level against the dollar on Monday, reaching its weakest point since December 1986, according to Reuters. The breach revived speculation about potential intervention from Tokyo, with Japanese Finance Minister Satsuki Katayama reportedly stating that Japan stands "ready to take decisive measures against speculative activities" in foreign exchange markets.reuters+2

The yen's weakness, driven by elevated U.S. Treasury yields and expectations of further Federal Reserve rate increases, strengthened the dollar and dampened appetite for risk assets including crypto.euronews+1

Demand Remains Weak

Bitcoin has now fallen more than 50% from its all-time high of approximately $126,000 reached in October 2025. On-chain analytics firm CryptoQuant flagged an extreme contraction in Bitcoin demand earlier in June, with 30-day demand growth falling to nearly negative 650,000 BTC — one of the lowest readings since 2019. CoinDesk reported that Bitcoin was testing its 200-week moving average, a long-term trend line it had traded above since October 2023.bitcoinfoundation+3

The confluence of a stronger dollar, potential institutional selling pressure from Strategy, and evaporating demand has left Bitcoin searching for a floor, with some analysts eyeing the $55,000 level as the next key support zone.fxempire