Bitcoin dropped to $63,582 on Tuesday, down 2.12% in the past 24 hours, after a sharp decline in South Korean equities triggered an 8% circuit breaker on the KOSPI and sent $100 million in crypto positions to the chopping block in a single hour. It's the third time in less than a week that Bitcoin has been flushed near the $64,000 level. The Federal Reserve, meanwhile, kicked off its July 28 meeting with rates on hold at 3.50%–3.75% for a fourth straight decision.
Three flushes in seven days
The Monday liquidation event wiped out $100 million in one hour, following an $87 million flush late last week — split $70 million long and $17 million short — and then another $75 million in the 24 hours after Bitcoin failed three times to break above $65,500. Resistance now sits between $64,000 and $65,500. Support is at $61,500, with the next floor at $59,100 and a structural bottom at $58,000.
Why the KOSPI matters
The trigger for Monday's selloff was a 542.24-point plunge on the KOSPI, which closed at 6,213.51 — an 8.02% drop that activated the index's eighth circuit breaker of 2026. The rout was driven by a slide in U.S. semiconductor stocks. Bitcoin and semis have shown a close correlation this year, with BTC effectively trading as high-beta tech exposure. When chip stocks tumble, Bitcoin tends to follow.
Fed holds as markets wobble
Chair Kevin Warsh opened the Federal Reserve's two-day meeting on July 28 with the federal funds rate unchanged at 3.50%–3.75%. No decision is expected until Wednesday afternoon, but the backdrop of a sliding KOSPI and a crypto flush adds pressure. Markets are watching for any shift in tone on rate cuts.
Institutional inflows buck the trend
Despite the price drop, institutional inflows posted their largest net inflow since May at roughly $266 million. That suggests some big players are using the dip to add exposure, even as retail-leveraged positions get washed out.
Bitcoin Hyper presale nears $33M
Separately, Bitcoin Hyper (HYPER) — a Bitcoin Layer 2 project integrating the Solana Virtual Machine for sub-second finality and low-cost smart contracts — has raised $32,984,682.35 in its presale at a token price of $0.0136838 as of July 28. Staking is live with a high APY. The project uses a decentralized canonical bridge for BTC transfers, aiming to bring programmability to Bitcoin without sacrificing security.
The Fed's decision lands Wednesday. Traders are watching whether the $61,500 support holds or if the next leg down toward $59,100 comes into play. With the KOSPI still reeling and tech stocks under pressure, the correlation isn't going away anytime soon.
