Bitcoin Plummets, Ethereum Slides: Is the Crypto Apocalypse Here?

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Key Takeaways (Or Why Your Wallet is Crying)

Why is Bitcoin and Ethereum showing weakness? 😭

Overexposed Bitcoin and Ethereum longs are at risk, as macro uncertainty and rising fear keep risk appetite low. It’s like trying to juggle flaming torches while wearing socks on your hands. 🧦🔥

Could this be the start of a larger market reset? 🤔

With $1 trillion wiped from the market and macro headwinds piling up, the recent pullback may be just the beginning of a deeper reset. Or, you know, the universe deciding to take a coffee break. ☕

The bulls still aren’t treating this “dip” as a buying zone. About $1 trillion has been erased from the total crypto market cap since the October crash, with an average of $230 billion leaking out every week over the past month. It’s like watching a balloon deflate in slow motion… but with more spreadsheets. 🧾

The result? Fear is at its highest, risk appetite at its lowest, and macro headwinds are back in play. The latest jobs report showed 119,000 new jobs added in September, pushing the odds of a rate cut down to just 35%. Because nothing says “economic stability” like a 35% chance of a rate cut. 🤷‍♂️

Meanwhile, other major U.S data releases have been canceled. Against this backdrop, calling for a clean bottom in Bitcoin [BTC] and Ethereum [ETH] might be premature. Instead, the real question is – Are we looking at the start of another cascade? Or just a very dramatic nap? 🛌

Bitcoin and Ethereum struggle as longs remain overexposed 🧠

Top caps are taking the hit from the ongoing indecision in the market. It’s like trying to choose between pizza and ice cream… but with more liquidations. 🍕🍦

In the last 24 hours, sentiment has slipped deeper into “fear.” At the time of writing, Bitcoin was holding above $86k – A development which now has traders wondering if a short-term bottom might be forming after a 20% slide over the past three weeks. Or, as I like to call it, “The Great Bitcoin Sneeze.” 🤧

However, a 0.6% intraday drop was enough to break that level. It sent BTC down to $85,300, confirming weak bid support. The result? The 24H Coinglass heatmap recorded $957 million in liquidations, with 88% wiped from longs. It’s like a game of Jenga… but with your life savings. ⬇️

In essence, betting on the upside with this level of volatility is a risky bet. Or, as my grandma would say, “If you can’t handle the heat, stay out of the kitchen… and the crypto market.” 🔥

And yet, the BTC/USDT perp long/short ratio on Binance was still showing an 80% long skew on the 4-hour chart. This underlined how traders have been leaning heavily into longs despite the weakness. It’s like jumping into a pool without checking the water temperature. 🛶

Notably, Ethereum may be following the same pattern, tracking BTC almost tick-for-tick. With a 0.35% intraday dip, ETH broke below $2.8k, slowly sliding back towards its late-Q2 range. It’s like a sad dance between two cryptocurrencies. 💃🕺

With volatility this high, overexposed longs are clearly at risk. This raises the question – Is the weakness in Bitcoin and Ethereum more than just a short-term pullback? Or are we sitting on the edge of a larger, full-blown market reset? It’s like waiting for the other shoe to drop… but the other shoe is a cryptocurrency. 🧦

Macro bubble building – Is a burst imminent? 🧨

Looking at the macro picture, it looks like the reset is just getting started. It’s like a toddler’s tantrum… but with global economic implications. 😭

Over the past month, optimism around rate cuts has taken a sharp hit. Notably, what was once 98.8% now sits at just 35.4%, signaling a clear shift from cautious optimism to outright fear. It’s like switching from a sunny day to a thunderstorm… but with more spreadsheets. 🌤️⚡

This shift is reflected on the charts as well. The Fear and Greed Index has been in the red for six consecutive days. However, in the last 24 hours, it slipped 4 points to 11, dropping below even the April FUD level and hitting an all-time low. It’s like the Fear and Greed Index took a nap and forgot to wake up. 🛌

In short, the macro bubble keeps building, fueled by bearish catalysts. It’s like a balloon being inflated… but with more panic. 🎈

From data blackouts and a strong U.S. labor market to falling Treasury yields and the AI-driven stock sell-off, all of this is keeping rate cuts off the table. That makes overexposed Bitcoin and Ethereum longs look like a ticking time bomb. ⏳💥

As a result, the recent weakness might just be the start of a deeper reset, leaving bids on the sidelines while fear continues to run high. In turn, this keeps key Bitcoin and Ethereum levels exposed to deeper pullbacks. It’s like a game of chess… but the pieces are all in a panic. 🏰♟️

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2025-11-21 11:16