Bitcoin is trading below $113K, slipping into the red as momentum cools
Key takeaways
➤ The largest-ever crypto liquidation event has left crypto traders cautious
➤ Traders turn defensive after market flushes out speculative risk
➤ Bitcoin and Ethereum drop amid profit-taking
➤ Though short-term momentum has weakened, large holders continue to accumulate
➤ Analysts say the crypto market is in recovery mode and is rebuilding confidence
➤ Altcoins like BNB, XRP, and TRX (among others) are also trending downward, reflecting broad risk-off sentiment.
Macro factors at play
Over the weekend, diplomatic remarks from both Washington and Beijing echoed more measured tones, easing fears of an all-out trade war between the two countries. Yet the broader market remains hypersensitive to macro drivers like U.S. dollar strength, rising Treasury yields, and commentary from the Federal Reserve. The direction of these forces will largely dictate whether risk assets like Bitcoin can sustain stability or slip further.
If U.S.-China tensions hold steady and the Fed leans dovish, Bitcoin might find a base. But any re-escalation in trade rhetoric or hawkish turns from central banks could reignite volatility across both crypto and traditional markets.
Support and resistance levels
Bitcoin is currently testing the $110K–$112K support zone, which remains a key demand area for buyers. If this level fails to hold, the next line of defense lies around $107K, followed by deeper support between $105K–$106K. On the upside, resistance is seen near $116K–$117.5K, marking the immediate supply zone from recent highs. A sustained breakout above $121K–$123.8K could open the path toward the $130K+ level, where bullish momentum would face its next major test.
What to watch
ETF flows and institutional capital
If sustained net inflows into Bitcoin and crypto ETFs continue, they could underpin price stability. But if capital retreats, the downside risk could become more pronounced.
On-chain activity and network health
Metrics like active addresses, transaction volume, and accumulation by large holders will help validate whether the rebound has depth. Weakness or stagnation could imply fragility.
Altcoin rotation
Strength outside of Bitcoin, particularly in Ethereum, Solana, or other Layer-1s, would signal appetite for risk. If altcoins lag, it may reflect lingering caution.
Derivative indicators and leverage
Funding rates, open interest, and liquidation trends are critical. High leverage amplifies volatility, and sharp moves could trigger cascades in sentiment.
News catalysts and regulation
Announcements like new ETF approvals, regulatory rulings, or institutional adoption deals can shift momentum rapidly, often overriding technical setups.
Market outlook
The crypto market presently sits in a tentative recovery mode, not yet in a full bullish breakout. If Bitcoin can hold the $110,000–$113,000 support region and push convincingly through the $117,500–$120,000 overhead resistance, the path toward $125,000+ could reopen. But the scenario is far from assured. With macro pressures, weak on-chain signals, and fragile flows, the risk of revisiting lower support zones remains material.
Volatility remains the default environment. In the coming days, keeping a close eye on capital flows, macro cues, and network fundamentals will be crucial to navigating the next move.
Top gainers
Date: 15 Oct. 2025, 10:35 a.m.
Top losers
Date: 15 Oct. 2025, 10:35 a.m.
