Crypto Price Analysis 11-4 BITCOIN: BTC, ETHEREUM: ETH, SOLANA: SOL, DOGECOIN: DOGE, RIPPLE: XRP, POLKADOT: DOT, INJECTIVE: INJ

Bitcoin (BTC) briefly fell below $68,000, plunging to a low of $67,574 on Sunday as buyers struggled to hold on to $68,000 following the emergence of mixed signals. The drop marks a significant pullback from above $73,500, with recent daily candles representing considerable selling pressure, indicating a bearish outlook. BTC has since recovered to climb above $69,000 and is trading around $69,100, up by almost 1%.

Ethereum (ETH) also slipped below the crucial $2,500 level after reporting a significant decline on Sunday and plunging to a low of $2,412 earlier today before recovering. ETH has also recovered since but has been unable to push above $2,500 thus far, trading around the $2,470 price level. Other major cryptocurrencies, including Solana (SOL), Dogecoin (DOGE), Toncoin (TON), Ripple (XRP), and others, have also reported marginal recoveries after declining on Sunday. The overall crypto market cap reported an increase of 0.62% and currently sits at 0.62%.

Speaking about the prevailing market sentiment on the eve of the US elections, ChangeNOW CMO Pauline Shangett stated, 

“The recent pullback in Bitcoin and Ethereum reflects ongoing volatility, with mixed signals causing uncertainty for investors. Although BTC managed to reclaim some ground above $69,000, sustained selling pressure at key resistance levels hints at potential bearish sentiment persisting in the short term.”

Further elaborating on BTC’s performance, Shangett stated, 

“Bitcoin’s sharp dip below $68,000 before its partial recovery showcases the current market’s sensitivity to both macroeconomic factors and crypto-specific news. This could be a crucial point for BTC bulls to reassert their position if they hope to see a return to the $73,000 range in the near term.”

The Week Ahead

The crypto markets are bracing for one of the most crucial weeks of the year, with speculations on the outcome of key events leading to considerable price declines. As a result, almost all major cryptocurrencies traded in the red at some point over the weekend. BTC slipped below $68,000, reporting a substantial decline from $73,500, while Ethereum (ETH) fell below $2,500 and dropped to a low of $2,412 before recovering. The drop in prices led to significant liquidations in the derivatives markets, with data from CoinGlass showing nearly $240 million liquidated from the markets, impacting over 100,000 traders, with the largest liquidation happening on OKX.

Sentiment on betting platforms like Polymarket added to the volatility. With the election just a day away, Polymarket reported a 6% decline for Republican candidate Donald Trump. Meanwhile, the upcoming FOMC meeting is scheduled for November 7. During the previous meeting, the committee slashed interest rates by 50 basis points, leading to a strong recovery in risk assets such as BTC. According to market watchers, investors anticipate another rate cut of 25 basis points following the November meeting. If the rates are slashed as expected, the crypto market could see another uptick in prices, thanks to increased demand for risk assets such as crypto.

Despite recent volatility and a price drop, the overall sentiment in the crypto market remains bullish.

Bitcoin (BTC) Price Drop Leads To Liquidations

Bitcoin’s (BTC) price drop led to almost $250 million in bullish bets liquidated thanks to continuous profit-taking ahead of the weekend leading to a market retreat. As a result, BTC dropped from over $70,000 to just over $69,000, with prices reporting a further decline over the weekend. As a result of the drop, bets on BTC-tracked futures reported losses of over $88 million. ETH futures reported liquidations worth $44 million, while Solana (SOL) and Dogecoin (DOGE) futures reported liquidations worth $15 million each. Almost 90% of all bets were bullish, with traders expecting higher prices over the weekend ahead of the US presidential elections.

Reddit Sells Crypto Stash

Reddit. A leading social media platform and one of the most popular discussion forums for crypto has offloaded a significant chunk of its digital asset holdings in the third quarter of 2024, the platform disclosed in its latest regulatory filing. The sale of its stash allowed the company to register a tidy profit of $6.9 million, its first profit since its inception. Reddit revealed its crypto investment in February 2024 in an IPO filing with the Securities and Exchange Commission, stating it has invested some cash reserves in cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), and Polygon (MATIC).

Reddit has maintained a strong association with crypto and was one of the earliest platforms to experiment with blockchain technology. In 2020, the company introduced an Ethereum-based community points system through digital assets involving two tokens, MOON and BRICK, which were used to incentivize contributions within subreddits. Reddit also developed a blockchain-based wallet called Vault which allowed users to manage tokens and other digital collectibles.

However, in its latest filing, the company acknowledged the industry’s potential but was worried about uncertainties surrounding their long-term adoption. It also reinforced its pessimistic stance by updating its investment policy to require board approval for future crypto purchases.

Crypto Projects To Unlock $2.6 Billion In November

Digital assets worth $2.6 billion will enter the markets in November following the expiration of vesting periods for several blockchain projects. According to data tracker Tokenomist, $2.68 billion in crypto assets will be unlocked in November, of which $900 million will be unlocked on a cliff basis, and $1.7 billion will be unlocked linearly. Some noteworthy unlocks include projects such as Memecoin (MEMECOIN), Arbitrum (ARB), Aptos (APT), Avalanche (AVAX), and Optimism (OP).

Bitcoin (BTC) Price Analysis

Bitcoin (BTC) has slipped back below $69,000 as buyers struggle to build momentum, faced with uncertain market indicators. The world’s largest cryptocurrency registered a significant slump over the weekend, collapsing after reaching a high of $73,600 and slipping below $70,000 on November 1, shortly after MicroStrategy announced plans to raise $42 billion to purchase BTC. BTC is only marginally up as it struggles to reclaim $69,000. BTC has historically dived before US elections, a fact that has puzzled analysts and investors. While some interpret the decline as a worrying sign, history suggests the opposite, with analysts stating short-term dips do not cancel the strong momentum that follows after the elections.

Political uncertainty often impacts the market, and it’s the same for crypto. As election day approaches, markets are bracing for a shift in regulatory policy, leading to significant price declines, a pattern witnessed in previous election cycles as well. This was seen in the 2016 and 2020 elections when BTC dipped over 6% in the days leading up to them. However, the pre-election dip often leads to significant gains following the election. Institutional interest in BTC has also grown, allowing the asset to cement its reputation as a safe haven asset. The surging popularity of spot Bitcoin ETFs continues to drive demand among institutional investors.

As we can see in the price chart, BTC has seen a substantial decline after reaching $73,512 last week, having slipped below $70,000. Buyers are now struggling to keep the asset above $69,000 and build momentum to recover as uncertainty in the market continues to grow. BTC started the previous week on a positive note, rising almost 3% on Monday to settle at $69,761. It pushed above $70,000 after registering an increase of 4.11%, reaching an intraday high of $73,512 before settling at $72,627.

Source: TradingView

However, despite coming close to settling a new all-time high, BTC fell back, dropping marginally on Wednesday as sentiment began changing. Bearish sentiment intensified on Thursday as BTC dropped almost 3% to $70,307. Buyers attempted a recovery on Friday, looking to keep BTC above $70,000. As a result, the price reached an intraday high of $71,632 before falling back and dropping just over 1% to slip below $70,000 to $69,572. The weekend saw BTC remain muted as it registered a marginal increase on Saturday before falling to a low of $67,625 on Sunday. However, it recovered to climb back above $68,000 and settle at $68,907, still a decline of almost 1%.

The current session sees BTC marginally up as buyers look to push the price above $69,000. With the US election almost upon us, market volatility is expected. Analysts believe a pre-election decline was expected, and markets could recover following the election, irrespective of the result. If BTC remains bearish, it could slip back to $68,000. A break below this level could lead to substantial losses. On the other hand, a bullish reversal could see BTC leapfrog $70,000, potentially setting a new all-time high. Analysts expect a bullish reversal to propel BTC to $80,000 by the end of November.

Ethereum (ETH) Price Analysis

Ethereum (ETH) is struggling to recover after witnessing a substantial decline that saw the price slip below $2,500, a crucial level, and the 20 and 50-day SMAs. As we can see in the price chart, ETH started the previous week on a positive note, rising by 2.43% on Monday to go above the 20-day SMA and settle at $2,556. Bullish sentiment intensified on Tuesday as ETH rose by 2.76% to go above $2,600 and settle at $2,637. Buyers also attempted to push above $2,700 but could not, losing steam after reaching an intraday high of $2,680. Volatility increased on Wednesday as buyers and sellers sought to establish control. As a result, ETH dropped to a low of $2,599 and reached a high of $2,722 before settling at $2,659 after an increase of 0.77%.

Source: TradingView

However, market sentiment changed on Thursday as ETH registered a substantial drop of 5.35% to slip below the 20 and 50-day SMAs and settle at $2,516. Friday saw another surge in volatility as buyers attempted a recovery and sellers looked to drag ETH below $2,500. Ultimately, ETH registered a marginal decline and settled at $2,512. Bullish sentiment intensified over the weekend as ETH slipped below $2,500 after a drop of 0.79% and settled at $2,492. Sellers dragged ETH to an intraday low of $2,412 as they looked to drop the price below $2,400. However, the price recovered from this level and settled at $2,456, eventually registering a decline of $2,456. The current session sees ETH up by 0.78% as buyers look to push the price back above $2,500.

If markets recover and buyers maintain control, ETH could push back above $2,500. A bullish reversal could see ETH push above the 20 and 50-day SMAs towards $2,700. On the other hand, if ETH continues to decline, we could see the price drop to $2,400.

Solana (SOL) Price Analysis

Solana (SOL) has continued to decline, with sellers looking to drive the price below the $160 support level. Like Bitcoin (BTC) and Ethereum (ETH), SOL started the previous week on a bullish note but faced considerably more volatility as sellers sought to drag the price below $170. However, SOL recovered from a low of $172 to register an increase of 0.96% and move to $178. Buyers attempted to push above $180 on Tuesday, reaching an intraday high of $183. However, buyers lost momentum thanks to intense selling pressure at this level and fell below $180 to settle at $179 after a marginal increase. With the resistance at $180 coming into play, SOL fell back in the red on Wednesday, dropping by 2.44% and settling at $174.

Source: TradingView

Bearish sentiment intensified on Thursday as SOL dropped almost 4%, slipped below $170, and settled at $168. Buyers attempted to reclaim $170 on Friday as SOL rose to an intraday high of $174. However, buyers lost momentum at this level, allowing sellers to regain control and push SOL down 1.45% to $166. Saturday saw a surge in volatility as sellers attempted to drag SOL below $160, with the price dropping to an intraday low of $162. However, buyers countered the selling pressure and pushed SOL back to $166. Bearish sentiment returned on Sunday as SOL fell by 2.20%, dropping below $160 before recovering and settling at $162. The current session sees SOL marginally down as sellers look to breach the $160 support level.

If SOL continues to decline and slip below $160, a drop to $150 can be expected. However, if buyers regain control, they will look to push SOL back above $170 and retest the resistance at $180.

Dogecoin (DOGE) Price Analysis

Dogecoin (DOGE) registered a significant jump of over 11% on Monday, pushing above $0.150 and settling at $0.160. Buyers retained control on Tuesday as DOGE rose by 9.32% to go above $0.170 and settle at $0.175. Buyers also attempted to push above $0.180 but were unsuccessful, reaching $0.179 before dropping back. With strong resistance prevailing at $0.180, DOGE fell back into the red on Wednesday, dropping 4.55% to slip below $0.170 and settle at $0.165. Thursday saw an uptick in volatility as buyers attempted a recovery and sellers sought to lower the price. Eventually, sellers gained the upper hand as DOGE dropped by almost 4% and settled at $0.161.

Source: TradingView

Volatility increased on Friday as buyers attempted to reclaim $0.170 and reached an intraday high of $0.169. However, they lost momentum at this level, allowing sellers to take control and push DOGE to a low of $0.154 before it settled at $0.159. DOGE registered a marginal recovery of 0.63% on Saturday and rose to $0.160. However, it fell back in the red on Sunday as sellers dragged the price to an intraday low of $0.142, below the $0.150 support level. DOGE recovered from this level to push back above $0.150 and settle at $0.151, a decline of almost 6%. The current session sees DOGE marginally down as sellers look to drive the price below $0.150.

Ripple (XRP) Price Analysis

Ripple (XRP) recovered strongly after dropping to a low of $0.487 on October 26, pushing above $0.50 the following weekend. As a result, it started the previous week on a positive note, rising by 0.46% on Monday and 1.72% on Tuesday to settle at $0.527. However, with the moving averages acting as resistance, XRP fell back on Wednesday, dropping just over 1% to $0.522. Bearish sentiment intensified on Thursday as XRP fell to $0.509 after a drop of 2.39%. However, it recovered on Friday thanks to support at lower levels, rising to an intraday high of $0.524 before settling at $0.513 after an increase of 0.61%.

Source: TradingView

The weekend saw bearish sentiment return as XRP dropped by 0.55% to $0.510. Sellers dragged XRP below $0.50 as it fell to an intraday low of $0.491. However, it recovered thanks to intense support at this level to push back above $0.50 and settle at $0.503. The current session sees XRP up by 0.52%, trading around $0.505.

Polkadot (DOT) Price Analysis

Polkadot (DOT) seems to have lost its support at $4, with its price struggling to recover as sellers drag it towards its multi-year support at $3.62. DOT registered a similar drop after failing to push above $4.50 on October 20. By October 25, it had dropped to a low of $3.84 before rising to $3.99. However, DOT recovered from this level, rising to $4.13 by the end of the previous weekend. It started the previous week on a volatile note as buyers and sellers struggled to establish control. As a result, it dropped to an intraday low of $4 and rose to an intraday high of $4.22 before settling back at $4.13. Buyers took the initiative on Tuesday and pushed DOT up 1.45% to $4.19. Buyers also attempted to go above the 20-day SMA but could not do so.

Source: TradingView

With the 20-day SMA acting as a dynamic level of resistance, bullish sentiment waned on Wednesday, and DOT could register only a marginal increase and push to $4.20. However, bearish sentiment returned to the market on Thursday as DOT plummeted almost 7%, slipping below its crucial support level of $4 and settling at $3.96. Buyers attempted a recovery on Friday, with market watchers expecting DOT to reclaim $4. However, sellers overwhelmed buyers and pushed DOT down 1.26% to $3.91. The weekend saw an increase in volatility as sellers attempted to drive DOT lower while buyers attempted a recovery. As a result, DOT fell to an intraday low of $3.82 before recovering and settling at $3.90 after a marginal decline. Bearish sentiment intensified on Sunday as DOT fell to an intraday low of $3.65, bringing its multi-year support of $3.62 into focus.

DOT recovered from this level as buyers entered the market, eventually settling at $3.78 after a decline of over 3%. The current session sees DOT marginally down as sellers continue to lower the price. DOT could recover should market sentiments improve following the US elections. In such a scenario, we could see DOT rebound from its multi-year support to push back above $4 and go towards $4.50.

Injective (INJ) Price Analysis

Injective (INJ) has been in the red since failing to push above the 20 and 50-day SMAs and $20 on Tuesday, despite reaching an intraday high of $20.50 and settling at $20.26. With the moving averages acting as a dynamic resistance level, INJ fell back on Wednesday, dropping by almost 2% to $19.87. Bearish sentiment intensified on Thursday as INJ dropped over 4% to $19.05. Buyers attempted a recovery on Friday as INJ rose to an intraday high of $19.79 before losing momentum. As a result, sellers took control and pushed INJ below $19, dropping it to $18.71 after a decline of 1.79%.

Source: TradingView

The weekend saw bearish sentiment intensify as INJ dropped over 4% on Saturday, slipping below $18 and settling at $17.93. INJ registered a bigger drop on Sunday as it plummeted to an intraday low of $16.09 before recovering. However, it could not push back above $17 and settled at $16.85, registering a drop of just over 6%. The current session sees sellers maintain their stranglehold over INJ, with the price down by 1.31% and trading at $16.63.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.