Bitcoin Starts the Week Below $95K as Market Sentiment Turns to Extreme Fear – Crypto News – Crypto News
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Bitcoin Starts the Week Below $95K as Market Sentiment Turns to Extreme Fear Bitcoin Starts the Week Below $95K as Market Sentiment Turns to Extreme Fear

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Bitcoin Starts the Week Below $95K as Market Sentiment Turns to Extreme Fear – Crypto News

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Crypto market capitalization has declined to June levels, as fears about the market’s regression continue to grow.

Crypto markets opened the third week of November in the red, with total market value slipping below $3.3 trillion, a level last seen in June.

The retreat comes as Bitcoin (BTC) briefly tested $93,000 over the weekend and earlier today, before bouncing back to around $94,000 at press time, flat on the day, with worries about another drop still up in the air.

BTC 24-hour price chart. Source: CoinGecko

Ethereum (ETH) is also flat over the past 24 hours, around $3,180, reaching as low as $3,000 over the weekend. Both BTC and ETH have lost 10%-11% over the past seven days. The rest of the top-20 assets by market capitalization are mostly flat on the day, with weekly losses between 3% and 17%. Among the large-caps, XRP stands out, as its up 2% over the past 24 hours.

The Crypto Fear and Greed Index, a multifactorial analysis of market sentiment, shows market sentiment has entered extreme fear as of this weekend, after a slight recovery last week.

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Crypto Fear & Greed Index. Source: Alternativeme

Bull-Bear Balance

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Altcoin to Bitcoin relative profits. Source: glassnode

As analysts at glassnode noted in an X post today, altcoin relative profits are stabilizing in “deep capitulation territory,” with only around 5% of supply in profit, while Bitcoin’s profits have just begun to decline sharply. According to the analysts, this unusual divergence between BTC and altcoins is “unprecedented in prior cycles.”

Analysts at QCP Capital pointed out that BTC is now hovering above “key support” at $92,000, which is a level that served as a “strong base during Q4 last year and Q1 this year.”

Although dropping below the 50-week moving average points to a bearish trend in the medium term, analysts said a true long-term reversal would only be confirmed if Bitcoin falls through the key support levels at $88,000 and $74,500.

“For now, crypto’s bull cycle hangs in the balance. A short-term bounce may come, but the path of least resistance remains lower,” QCP Capital wrote in a market update.

Meanwhile, analysts at Keyrock suggested in a Monday update that the market is now caught between a “data vacuum and a Fed that continues to lean hawkish, and that combination is creating a wider range of potential outcomes than current pricing reflects.”

Big Movers and Liquidations

Among the top-100 assets today, Uniswap (UNI) and Ethena (ENA) stand out as the best performers, up 6% and 3.6%, respectively.

On the downside, pumpfun (PUMP) and Internet Computer (ICP) are the top losers today, down 9% and 7%.

Data from Coinglass shows $765 million in leveraged positions liquidated in the past 24 hours, with longs accounting for $423 million and shorts for nearly $341 million. BTC liquidations led with over $337 million liquidated, followed by ETH with $175 million, and Zcash (ZEC) with $45 million.

ETFs and Macro Conditions

Last week, spot Ethereum exchange-traded funds saw over $728 million in outflows, making it the third largest weekly outflow in spot ETH ETF history. Meanwhile, spot Bitcoin ETFs saw more than $1 billion in net outflows for the second week in a row, bringing total net asset value to $125.3 billion, according to data from SoSoValue.

On the macro side, U.S. Treasury yields slipped a bit on Monday as traders geared up for a busy week of long-delayed economic data.10-year yields dipped to around 4.13%, 2-year eased to about 3.60%, and the 30-year ticked down to roughly 4.72%.

With the U.S. government finally back open, everyone’s now watching for the release dates on key U.S. economic reports, including jobs and inflation data. The first drop comes this Thursday, Nov. 20, with September’s nonfarm payrolls, per the Bureau of Labor Statistics.

The next day, the BLS will publish real earnings, a report that normally comes out with Consumer Price Index (CPI) data, but was delayed since the jobs data didn’t arrive on time in October.

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