Market Overview
Global cryptocurrency market capitalization declined 1% to $2.81 trillion, briefly approaching its 50-day moving average early in the session amid thinner liquidity following the close of US equities. The index quickly recovered and advanced during the Asian trading session. Concern persists regarding the wider macro environment, with the Nasdaq-100 trending lower and the US Dollar Index climbing toward 18-month highs. Altcoins are retreating broadly, with the gainers-to-losers ratio at 1:18. Top gainers included BAT (+13.6%), Tezos (+2.5%), and Tron (−0.7%), while Near (−9.8%), Algorand (−7.7%), and VeChain (−7.4%) posted the steepest declines.
The Crypto Fear & Greed Index has pulled back to 57 (greed), its lowest reading since 18 September. Sentiment is drifting toward neutral in the absence of further price appreciation. However, provided the index remains above the midpoint of the scale, the market retains its bull market character, supporting the strategy of buying on dips.
Bitcoin’s intraday performance aligns with our assessment that buying interest remains resilient. Pressured by selling in equity markets, the leading cryptocurrency dipped to $81K, triggering a wave of stop-losses and revisiting the 50-day moving average. At this level, as seen last Thursday, BTC encountered robust demand and rebounded swiftly to $83.7K, illustrating how rapidly price can recover once leveraged longs are liquidated. If this constitutes a healthy correction, Bitcoin may advance quickly toward $85K or retest $87K. Furthermore, this sharp upside reversal could indicate a broadening of global risk appetite, though such optimism requires external confirmation and may fade without it.
News Background
According to XWIN, Bitcoin remained vulnerable to leveraged liquidations in the first half of October due to high US government bond yields, elevated oil prices, a slowdown in ETF inflows, and profit-taking.
MicroStrategy continues to accumulate Bitcoin for a fourth consecutive week, though volumes were trimmed to 249 BTC at an average cost of $86.2K. The company’s total holdings now stand at 848,250 BTC, acquired at an average price of $75.4K.
Last week, Bitmine acquired an additional 12,532 ETH, bringing its total reserves to 6.03 million ETH, representing 4.94% of the total supply. To reach its objective of acquiring 5% of the total ETH supply, the firm requires approximately 72,000 ETH more.
The market capitalization of tokenized assets has hit a record $3.9 billion. BNB Chain leads the sector with a market cap of $1.2 billion, followed by Ethereum ($842 million) and Solana ($742 million). Meanwhile, Morgan Stanley has delayed the launch of tokenized share trading to the first quarter of 2027, citing a shortage of available products and client demand.
Per Bloomberg, the US Department of Justice is investigating whether the Binance exchange complies with its 2023 settlement terms with US authorities, specifically concerning sanctions evasion related to Iran.
