Bitcoin, Ethereum, XRP, Dogecoin Drop as Investors Weigh Rate Hike Odds: Analyst Explains Why ‘Horrific’ BTC Chart Is Routine in a Bull Market
Leading cryptocurrencies fell further on Tuesday as investors weighed hotter-than-expected consumer prices and the rising odds of an interest-rate hike.Cryptocurrency24-Hour Gains +/-Price (Recorded at 8:18 p.m. ET)Bitcoin -2.40%$73,314.09Ethereum -4.00%$2,042.95XRP -4.20%$1.05Solana -4.10%$82.83Dogecoin -2.50%$0.06813Crypto Market Extends LossesBitcoin fell below $73,000, while Ethereum stayed trapped in the $2,000–$2,100 range amid a sharp drop in overall market sentiment. XRP and Dogecoin also recorded sharp 24-hour declines.Cryptocurrency-related stocks also fell, with Strategy Inc. and Bitmine Immersion Technologies Inc. closing down 3.60% and 2.77%, respectively.Cryptocurrency markets saw over $715 million in liquidations in the last 24 hours, with the vast majority — $580 million — coming from bullish long positions, according to Coinglass data.Bitcoin’s open interest fell 0.30% over the last 24 hours. Binance derivatives traders with open BTC positions remained “extremely bullish” on the asset.That said, "Fear" sentiment prevailed in the market, according to the Crypto Fear & Greed Index.Top Gainers (24 Hours)CryptocurrencyGains +/-Price (Recorded at 8:30 p.m. ET)Bitway (BTW) +16.30% $1.16Pi Network (PI) +8.10% $0.07135Gram (GRAM) +7.80% $1.12Stocks Reverse on Hotter CPIThe Dow Jones Industrial Average shed 157.86 points, or 0.30%, to end at 52,231.89. The S&P 500 fell 0.38% to close at 7,520.93, while the tech-heavy Nasdaq Composite declined 0.74% to end at 25,065.87.Consumer prices rose 0.4% in October from the prior month, exceeding the 0.3% rate economists expected but slower than September’s 0.6% pace.The CME FedWatch tool now prices a 90% chance that the Federal Reserve, led by Kevin Warsh, raises rates by a quarter point in December, up from 84% the day before.Relief Rally Incoming?Michaël van de Poppe, a widely followed cryptocurrency analyst and trader, acknowledged Bitcoin’s “horrific” price action, but framed it as a typical pullback in an ongoing bull market.“If we want to get bullish again, I clearly want to see $75,000 being reclaimed for support and then, things can move fast,” Van De Poppe projected.I've got my eyes on this interesting wick that we have on .Yes, the chart looks absolutely horrific, and bears are in euphoria.Rightfully so.However, in a bull market, you'll be required to go through multiple corrections.This is one of them.In 2023/2024,… On-chain analytics firm Santiment reported that retail fear is reaching a “boiling point,” with social sentiment for Bitcoin, Ethereum and XRP falling deep into bearish territory.“This level of retail pessimism can actually improve the setup for a crypto-wide recovery,” Santiment stated. “If we continue to see bearish commentary outweigh bullish commentary, especially for top caps, prices will inevitably see a strong relief rally.”🚨 Retail Fear is Reaching a BOILING POINT As Crypto Tests Major Lows!😨 Bitcoin, Ethereum, and XRP sentiment has fallen deep into bearish territory according to our X, Reddit, Telegram and other social platform data. BTC sits at 0.82 bullish comments per bearish one, ETH at… Preview Photo: jira pliankharom / Shutterstock