Bitget CEO Outlines 3 Reasons Bitcoin Could Crash to $50K

Bitcoin has stabilized around $62,000 after a massive fall from recent peaks around $75,000. Bitget's Gracy Chen believes that spot BTC ETF outflows play a major role in the market's weakness. She also spotlighted that institutional capital is moving towards AI-based projects.

Despite the long-term bull market sentiment around Bitcoin (BTC), it has seen renewed selling this week. Bitget's CEO Gracy Chen explained a number of conditions that may lead to BTC price crashing to $50,000.

At the time of writing on Thursday, Bitcoin traded at $62,645.23 with a 6.69% drop in the last 24 hours. The selling pressure came after a massive downtrend where BTC price fell below important levels of technical support. As a result, in a note on X, Chen stated that one of her biggest fears is the continued downtrend in spot Bitcoin ETF flows.

She noted that "Spot ETFs have seen net outflows for 13 straight days, totaling $4.37 billion—the longest continuous outflow streak in history." The Bitget CEO added that persistent fund withdrawals are putting stress on the market at a time when investor sentiment is already fragile. Citigroup analysts also shared an identical review of the market.

Bitcoin's technical failure was another reason spotlighted by Chen. "BTC has broken below the monthly EMA50 support at $65K," she wrote. Thus, Chen hinted at a further downturn as the bearish sentiment gained momentum. "The next key support is at the SMA50's $59K, and below that, the $52K–$48K range."

Meanwhile, Mt. Gox's BTC movements are also weighing on the market.

The overall capital market conditions are also impacting Bitcoin's performance, Chen added. BTC has been in trouble, though, while major U.S. equity indices have been going up, she said. "The more fundamental issue is that BTC is falling, while on the other side, the S&P and Nasdaq are hitting new highs," she added.

While crypto assets have been a top focus for institutional investors, they are also looking to invest in AI-related opportunities, says Chen. Previously, Ripple affiliate SBI Holdings Chairman Yoshitaka Kitao also echoed this narrative. Strategy's Michael Saylor also supports this idea — naturally. On X, he wrote, "Capital markets are funding the AI buildout at historic scale: ~$400B over 6 months. Bitcoin ETFs have seen ~$4B of outflows since May 14, pressuring $BTC. This is a