The cryptocurrency market recently saw a significant decline, with over $100 million worth of Bitcoin and Ethereum positions being liquidated across exchanges. However, both assets remain above key support levels of $95,000 and $3,200, respectively, according to QCP Broadcast’s latest market analysis.
Despite the weekend retracement, backend volatility remains elevated, and market participants expect Bitcoin to trade sideways through December as attention shifts towards Ethereum. ETH risk reversals show a strong bias towards front-end calls, while Bitcoin call options only see increased interest from December 27, 2024, forward, reflecting expectations around Trump’s pro-crypto policies taking effect in late 2025.
An anticipated rotation from Bitcoin to Ethereum and alternative cryptocurrencies seems to be taking place, as evidenced by Bitcoin’s dominance declining from 62% to 59% over the past week. Although strong spot ETF inflows and positive IBIT options sentiment are in place, Bitcoin faces resistance at the psychological $100,000 level.
MicroStrategy’s potential additional Bitcoin purchases have caught market attention, with Michael Saylor hinting at expanding their holdings. Given the company’s role in Bitcoin’s post-election breakout, traders are closely monitoring if new purchases could push BTC beyond $100,000. As Bitcoin contends with significant selling pressure at $100,000, the market shows increasing interest in Ethereum’s potential.
However, QCP suggests that a successful breach of $100,000 by Bitcoin, possibly catalyzed by MicroStrategy’s purchases, could temporarily redirect attention back to BTC, delaying the anticipated alt-season. The current market structure suggests a delicate balance between Bitcoin’s consolidation phase and growing interest in alternative cryptocurrencies, with institutional buying pressure potentially determining near-term market direction.
Source
<p>The post Crypto Markets See $100M+ Liquidations, Ethereum Gains Attention Amidst Volatility and Potential Alt-Season first appeared on CoinBuzzFeed.</p>
