Why is Bitcoin price down today?

Bitcoin price has dipped by approximately 3.25% in the last 24 hours to reach $3,690 on June 8. The BTC/USD pair is outperforming the broader crypto market, whose valuation has dropped 3.75% in the same period.

  BTC/USD vs. TOTAL crypto market capitalization daily performance chart. Source:  TradingView

Among the top catalysts driving Bitcoin's lower prices today are better-than-expected job data in the United States and a slight depletion in the BTC supply held by its richest whales.

Rising bond yields hurt traders' appetite for Bitcoin

Bitcoin's price decline today came primarily on the heels of a  strong U.S. employment report  for May.

Nonfarm payrolls surged by 272,000 in the past month, surpassing all 77 estimates in Bloomberg's economist survey. Treasury yields surged following the release, with both two-year and 10-year yields rising by approximately 12 basis points.

  US 10-year Treasury note yield vs. 2-year Treasury yield, the U.S. dollar index, and SP 500 daily performance chart. Source: TradingView

Stocks declined, with the benchmark SP 500 Index down around 0.3%. Meanwhile, the dollar strengthened.

Rising yields often indicate higher borrowing costs and can lead to reduced risk appetite. As a result, investors tend to move away from riskier assets like stocks and cryptocurrencies in favor of safer investments.

Richest Bitcoin whales cashing out?

Today, Bitcoin's price decline coincides with a slight dip in the BTC supply held by its richest holders.

Notably, the Bitcoin supply held by "whales" with at least 100,000 BTC (black) in holdings has dipped 0.2% in the last 48 hours. In other words, these investors are either redistributing their holdings into smaller addresses or cashing out altogether.  

Bitcoin supply distribution among whales. Source: Santiment

Nonetheless, lower Bitcoin supply cohorts, such as the 10,000-100,000 BTC and the 1,000-10,000 BTC ones, have been accumulating in recent months.

Bitcoin is unable to break past $70K

From a technical viewpoint, Bitcoin's decline today has started after testing its interim resistance level at around $70,000. The cryptocurrency has been failing to close decisively above the said level since mid March.

BTC/USD daily price chart. Source: TradingView

However, this resistance level appears to be the neckline of Bitcoin's prevailing inverse-head-and-shoulders (IHS) pattern. This classic bullish reversal setup resolves when the price breaks above the neckline and rises by as much as the maximum distance between the pattern's lowest point and the neckline. 

BTC/USD daily price chart ft. IHS breakout setup. Source: TradingView

Bitcoin's primary upside target for July is over $90,000 if the IHS pattern plays out as intended. Conversely, a pullback from the neckline risks sending the BTC price toward its 50-day exponential moving average (50-day EMA; the red wave) at around $66,740.