Market Pullback Deepens: Bitcoin Slips, ETH Drops, and Traders Panic Over Musk’s BTC Move

The crypto market’s October slump just worsened, dropping by around 3%. Bitcoin slipped under $110,000 intraday and Ethereum fell below $3,900, dragging most altcoins into the red as a risk-off wave rippled across digital ￰0￱ drawdown follows one of the harshest months of the ￰1￱ market has erased roughly $370 billion in value, with as much as $19 billion in leveraged positions liquidated and $65 billion wiped from futures open interest, resetting activity to early-2025 ￰2￱ Reading: Winklevoss-Led Gemini Exchange Unveils New Credit Card Featuring Solana Rewards Institutional support thinned as spot Bitcoin ETFs posted about $1.23B in weekly net outflows, including $366M on Friday alone, removing a key buyer during sell ￰3￱ the same time, a major AWS outage disrupted access on leading venues, including Coinbase and several DeFi front ends, widening spreads and accelerating forced ￰4￱ 24 hours , over $240M in long positions, mostly BTC and ETH, were liquidated, briefly pushing Bitcoin toward $107,500.

Musk/SpaceX Wallet Move Fuels Fear As Macro Tensions Simmer Nerves frayed further after trackers flagged SpaceX transfers totaling 2,395 BTC ($268M). While on-chain analysts suggest the flows look like internal custody reshuffles, with receiving wallets still inactive, the timing sparked “Is Musk selling?” headlines and added to headline ￰5￱ backdrop was already fragile as renewed U. S.–China trade tensions, a stronger dollar, and ￰6￱ uncertainty have pushed investors toward cash and safe ￰7￱ catalysts didn’t help confidence. A Paxos operational error that minted an astronomical number of PYUSD units (quickly reversed) reminded traders of infrastructure risk just as liquidity thinned.

Meanwhile, altcoins bled more than majors (averaging 4% drop) as SOL, BNB, ADA and DOGE posted deeper single-day declines, while XRP showed relative resilience on fresh institutional ￰8￱ rotation underscores a classic flight to quality: when BTC wobbles, smaller caps usually ￰9￱ To Watch Next Technically, Bitcoin faces layered resistance near $112,000–$115,500, with supports at $108,000, $105,000–$102,000, and the psychological $100,000 zone. A decisive daily close back above the 50-day region ($113,000) would help stabilize momentum; lose $101,700 and the market risks a deeper bearish phase as stop-losses and auto-deleveraging ￰10￱ Reading: Is The Bitcoin Supercycle Still In Play?

Wave 3 Tells A Story Of A Surge For Ethereum, bulls want to reclaim $4,000 and the $4,050–$4,150 supply area; failure keeps pressure on toward $3,700–$3,600. Near-term catalysts remain firmly macro, with the upcoming ￰11￱ print and any Federal Reserve hints on rate cuts or quantitative tightening (QT) likely to shift liquidity dynamics ￰12￱ the micro side, investors should monitor ETF flows to see if outflows ease, as well as exchange uptime and whale ￰13￱ image from ChatGPT, BTCUSD chart from Tradingview