BTC slips under 105k as ETH nears 3.5k Amid Fed Jitters and Market Fear
The cryptocurrency market is experiencing a new surge of selling pressure, with Bitcoin’s price dropping to around $104,178, and Ethereum trading below $3,650. XRP and Solana have seen drops of more than 3 percent and 6.5 percent, respectively, as a worldwide liquidity squeeze resulted in $1.1 billion in liquidations within a mere 24 hours. However, certain altcoins, including Decred and Dash, have seen a renewed surge in buying interest. The current market mood is largely shaped by apprehension, as shown by the Fear and Greed Index, which is at 27, firmly in the “fear” zone. As of the latest update, Bitcoin is priced at $104,607, showing a decrease of 2.91 percent in the last 24 hours, with a trading volume of $78.9 billion. The top cryptocurrency varied between $104,178 and $108,286 during the session. Bitcoin has seen a drop of almost 17 percent from its peak of $126,198, reached earlier this year on October 7.
Reports indicates that this drop was prompted by assertive comments from Federal Reserve Chairman Jerome Powell, who minimized the likelihood of rate reductions in December. Furthermore, the broader cryptocurrency market saw substantial liquidations, totaling $1.18 billion in positions liquidated within the last 24 hours. Edul Patel pointed out that the current market weakness could persist as investors digest the Fed’s aggressive stance. “The Fed’s comments have increased market uncertainty, leading to extensive profit-taking. Nonetheless, the continued activity of institutional investors — with Strategy acquiring 397 BTC for $45.6 million — indicates a robust demand at present levels,” Patel stated.
Bitcoin has technically crossed its 200-day moving average, currently at $109,800, and is now examining support levels at $94,200. Riya Sehgal, a research analyst, noted, “Bitcoin dropping below its 200-day EMA indicates ongoing downside risk unless it recovers to the range of $109,500–$110,000.” Sehgal notes that Bitcoin’s immediate support lies between $106,000 and $105,000, with a chance of a further decline to $103,500 if selling pressure persists. Even with the present short-term decline, Sehgal believes that November could offer a chance for Bitcoin to recover. “Historically, November has shown strength for Bitcoin, and elements such as renewed US government spending, corporate buybacks, and potential Fed liquidity might trigger a rebound later this month,” Sehgal noted.
Ethereum has followed a similar trajectory. At present, ETH is down by 6.14 percent, with a trading price of $3,498.78 and a 24-hour trading volume of $55.13 billion. Data indicates that the asset has seen price variations between $3,481 and $3,746 over the past 24 hours. Ethereum is presently valued almost 29 per cent lower than its peak of $4,953, reached earlier this year on August 25. From a technical perspective, Sehgal indicates that Ethereum is currently experiencing a consolidation phase. “Ethereum is currently stabilizing around the $3,600 mark, and a drop beneath this level might result in additional downturns,” she remarked. Altcoins display varied results today; Decred shines with notable gains, whereas Aster faces a downturn. Altcoins are showing a diverse range of performance at the moment. Decred has emerged as the top performer, skyrocketing by an impressive 141 percent, while Dash follows closely with a gain of 52 percent. Among the standout performers, one has surged by 31 per cent, another has climbed 19 per cent, a third has increased by 3 per cent, and yet another has seen a gain of 1.29 per cent. On the other hand, several altcoins are experiencing declines, with various cryptocurrencies recording losses in the range of 9-22 percent.
