Bitcoin Slumps on Iran-CPI Turmoil, Tests Key Levels as Bulls Cite Discounted Value

Bitcoin’s price action in early June has been marked by a sharp selloff amid geopolitical tensions. Reports say BTC logged its worst weekly loss since the 2022 FTX collapse, dropping about 16% to trade below $60,000, and fell further after U.S.-Iran-related developments on June 9. Another report described additional pressure from rising liquidations, noting that more than $400 million was liquidated and that long positions accounted for over $300 million during the move ^{[1] [2]}.

Market commentary also split between downside risk signals and valuation-focused views. One account said BTC pierced its 200-week moving average, with an analyst projecting possible further weakness toward the $50,000–$52,000 area. Meanwhile, Grayscale research was cited as indicating Bitcoin has returned to an “undervalued” zone based on on-chain valuation indicators, implying the drawdown may create opportunity for gradual buying. Separate analysis emphasized that Bitcoin was back near its production cost, a level described as a historically favorable long-term entry zone ^{[1] [3] [4]}.

Separately, some analysts pointed to technical-pattern and event-driven narratives. NewsBTC coverage cited an analyst’s “mid-year cup and handle” chart pattern as one it took years to form, while another report said traders were watching closely as President Trump suggested an Iran deal could be signed within two or three days, with BTC trading around $62,350 at the time of reporting [1,6] ^{[5] [6]}.

Overall coverage from June 10 emphasized that Bitcoin’s near-term direction is being shaped by geopolitical risk, liquidation flows, and technical/valuation interpretations, with multiple commentators referencing both bearish signals and potentially supportive valuation levels [2,4,5] ^[7].