Here’s another refined rewrite with a slightly tighter, more neutral financial news tone:

Bitcoin’s decline to its lowest level since late 2024 reflects tighter Federal Reserve policy, sustained ETF outflows, and a broader shift of capital toward artificial intelligence, according to Deutsche Bank.

BTC’s drop below $60,000 on June 5 marked its weakest level since late 2024, highlighting what the bank describes as a combination of macroeconomic and structural pressures. Deutsche Bank said Bitcoin is increasingly trading as an institutional risk asset rather than a retail-driven speculative instrument.

The selloff was attributed to a more hawkish Fed outlook, continued outflows from U.S. spot Bitcoin ETFs, a sentiment shock following Strategy’s first BTC sale since 2022, and a rotation of investor capital into AI-related assets.

“Bitcoin is not disappearing; it is maturing into an institutional asset whose price is set by fund flows, Fed expectations, competing risk themes, and legislative outcomes,” analyst Marion Laboure wrote.

Bitcoin has remained under pressure in recent weeks, briefly dipping below $60,000 before recovering to the $62,000–$63,000 range. It remains more than 50% below its October 2025 peak amid tighter policy expectations and subdued risk appetite.

While some stabilization has appeared, analysts say Bitcoin’s near-term direction will depend on renewed institutional inflows and broader macro conditions.

Deutsche Bank economists now expect the Federal Reserve to raise interest rates twice in 2026, reversing earlier expectations of policy easing and removing a key support for risk assets including Bitcoin.

The bank also highlighted six consecutive weeks of net outflows from U.S. spot Bitcoin ETFs, totaling roughly $6 billion. As ETF flows have become a major price driver, the reversal has added pressure to the market.

Laboure noted that AI investment is increasingly competing for capital, with U.S. tech firms expected to spend more than $700 billion on AI infrastructure in 2026. Investors are increasingly weighing Bitcoin against AI-linked equities as competing allocations.

“The marginal buyer is no longer a retail investor but an ETF allocator or corporate treasury,” she said, pointing to shifting capital priorities.

At the time of writing, Bitcoin was down about 3.5% over 24 hours, trading near $62,600.