Major cryptocurrencies sharply reversed direction on Monday, reflecting declines in stock prices as the ‘Uptober’ rally stalled.
Cryptocurrency +/- Price Rise (Recorded at 8:45 PM EDT) Bitcoin BTC/USD -3.28%$66,950.69 Ethereum ETH/USD
-4.26%$2,631.99Dogecoin DOGE/USD -2.13%$0.1421
What happened: Bitcoin fell throughout the day, dropping to an intraday low of $66,580. This retracement occurred just one day after the major cryptocurrency surpassed $69,000 for the first time since early June.
Ethereum plunged further, returning to the $2,600 zone. On Sunday, the second-largest cryptocurrency hit its highest level since the first week of August.
In the past 24 hours, the total amount of crypto liquidations surged to $204 million, with over $174 million of longs extinguished.
Bitcoin open interest has fallen by 2% in the past 24 hours, and Ethereum’s speculative market has shrunk by 3.75%.
This pullback sparked bearish sentiment as the number of traders shorting Bitcoin increased compared to the number of traders leveraging Bitcoin bullishly, according to the long/short ratio.
That said, market sentiment is still in the “greed” zone as of this writing, according to the Crypto Fear and Greed Index.
Top Gainers (24 hours)
Cryptocurrency +/- price increase (recorded at 8:45pm EDT) Apecoin (APE)+8.46%$1.55Cosmos (ATOM)+2.81%$4.83Cat in a Dogs World (MEW)+1.93%$0.009029
Global cryptocurrencies reached $2.33 trillion, shrinking by 2.14% in the past 24 hours.
Stock prices on Monday gave up their gains from last week and fell back. The Dow Jones Industrial Average fell 344.31 points, or 0.80%, to end at 42,931.60. The S&P 500 fell 0.18% to 5,853.98. The Nasdaq Composite Index, which has a high proportion of high-tech stocks, defied the slump and rose 0.27% to 18,540.01.
It was a retrace after Friday’s record closes for both the Dow and S&P 500, snapping Wall Street’s sixth straight week of gains.
Investors had expected upcoming third-quarter results from premium tech companies such as Tesla Inc. TSLA and Amazon.com Inc. AMZN to drive the market.
See more: Best Cryptocurrency Scanner
Analyst Note: A widely followed cryptocurrency analyst who goes by the pseudonym Emperor advised his followers not to shy away from Bitcoin’s decline between $62,000 and $63,000.
He added that the $66,000 to $66,500 range could be a good support range, and short sellers could book profits at this level.
“My target of $69,000 has already been achieved and I would like to extend the decline again,” the analyst said.
Bitcoin price updates
1. The $66,000 level backtested and rose further. For a sustained increase, we want to see the price stay above the previous month’s high. My goal of $69,000 has now been achieved and I am considering re-extending the decline.
2. I said that most people would be afraid of buying on the spur of the moment… pic.twitter.com/1NwHonte72
— Emperor👑 (@Emperor BTC) October 21, 2024
Michael van de Poppe, another prominent cryptocurrency market observer, noted that whale activity is high even as Bitcoin nears all-time highs.
“In short, this is a great sign for Bitcoin, but a scary sign for the global economy,” Van de Poppe said.
nevertheless #bitcoin Whale activity is spreading around ATH, whale activity is increasing, and whales are buying more whales.
In short, it’s a great sign #bitcoinBut it’s a frightening sign for the global economy.
What can you expect?
– I think you understand. #bitcoin It reaches $300,000 to $500,000. pic.twitter.com/JKuRh1khpr
— Michael van de Poppe (@CryptoMichNL) October 21, 2024
Image via Shutterstock
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