TLDR Bitcoin fell to around $89,1000, down 27% from its record high last month, catching both retail and institutional traders off guard Prediction markets quickly shifted sentiment as traders repriced the decline as a structural issue rather than a routine correction Professional trading desks were unprepared for Bitcoin dropping below $100,000 and losing its 50-week moving average Ethereum dropped to just above $3,000, down 15% for the week, while stock futures also declined ahead of Nvidia earnings On-chain data shows signs of late-stage capitulation but analysts say the market still lacks key signals for a true bottom 💥 Find the Next KnockoutStock! Get live prices, charts, and KO Scores from KnockoutStocks. com, the data-driven platform ranking every stock by quality and breakout potential. Bitcoin continued its decline during Tuesday’s trading session, falling to approximately $89,100. The price represents a 2% drop for the day and a 27% decline from last month’s record high. The selloff caught traders by surprise across both retail and institutional markets. Prediction markets experienced one of their fastest sentiment shifts of the year as participants abandoned bullish scenarios. Polymarket odds for Bitcoin’s price by year-end swung toward further downside. Traders had expected mild weakness rather than the multi-week selloff that has erased most of Bitcoin’s year-to-date gains. Professional Traders Caught Unprepared QCP noted in a recent report that professional trading desks were not positioned for a weekly close below $100,000. The firm described the move as a cycle-level inflection point that traders are still processing. Bitcoin lost its 50-week moving average during the decline. This technical breakdown added to concerns about the depth of the current correction. Ethereum also faced selling pressure, holding just above $3,000. The cryptocurrency fell about 2% over 24 hours and extended its weekly decline to roughly 15%. On-Chain Signals Show Mixed Picture Glassnode data reveals oversold momentum and heavy realized losses in the market. The analytics firm also noted moderating ETF outflows, which could indicate late-stage capitulation pressures. Bitcoin is trading in a zone where previous market bottoms have formed. However, CryptoQuant argues the market lacks the final ingredient for a true bottom. The firm points out that realized losses remain virtually nonexistent. Long-term holders continue selling into strength rather than holding through the decline. The market currently sits between early signs of exhaustion and missing capitulation signals. This creates uncertainty about whether a durable floor has been established. Broader Market Weakness Stock market futures declined Tuesday morning following a tech-led selloff. Dow Jones Industrial Average futures fell 0. 3% while S&P 500 futures dropped 0. 5%. Nasdaq 100 futures slipped 0. 6% as investors awaited Nvidia’s fiscal third-quarter earnings report. The chip giant’s results are due Wednesday after the market close. The Dow Jones Industrial Average tumbled more than 550 points on Monday. The S&P 500 and Nasdaq Composite each shed nearly 1% as selling pressure spread across big tech stocks. Gold prices eased to about $4,069 per ounce, down 0. 3%. Fading expectations for a December Federal Reserve rate cut and a stronger dollar weighed on the metal. Fed funds futures now price in about a 40% chance of a rate cut. This marks a drop from over 90% probability just one month ago. The Federal Reserve’s October meeting minutes are scheduled for release Wednesday. The September jobs report follows on Thursday after delays from the government shutdown.
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