Bitcoin and Ethereum prices plunge, erasing gains amid market fears.

Crypto

Updated on 06 Nov 2025, 11:03 am

Reviewed By

Satyam Jha | Whalesbook News Team

Short Description :

Bitcoin briefly fell below $100,000 and Ethereum below $3,300, losing significant gains. This decline is attributed to the lingering effects of the 'Red October' crash, hawkish comments from the US Federal Reserve chair, reduced demand for spot ETFs, liquidity issues, and broad risk aversion. Analysts are divided, with some predicting further drops and others seeing a temporary correction, while institutional forecasts for Bitcoin's year-end price have been lowered.

Bitcoin and Ethereum prices plunge, erasing gains amid market fears.

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Detailed Coverage :

Summary: Bitcoin (BTC) briefly fell below $100,000 and Ethereum (ETH) below $3,300, erasing 2025 gains due to market fears and macro pressures.

Reasons: This decline is driven by lingering 'Red October' sentiment, hawkish Federal Reserve comments, reduced spot ETF demand, tight liquidity, and investor risk aversion.

Market Activity: Significant liquidations ($307M+) occurred, impacting major cryptocurrencies.

Analyst Views: Opinions vary from predictions of further decline to viewing this as a temporary correction.

ETF Flows & Forecasts: Recent ETF inflows suggest some recovery, but outlook remains cautious, with lowered long-term BTC price forecasts.

Impact: Investors face losses and potential ongoing volatility due to macro factors and market sentiment.

Impact Rating: 7/10

Difficult Terms Explained: 'Red October': Major October market crash. Deleveraging: Reducing debt by selling assets. Risk aversion: Investors avoiding risky assets. Hawkish commentary: Central bank hints at higher interest rates. Spot ETFs: Funds tracking assets traded on exchanges. Liquidations: Forced closure of losing trades. On-chain flows: Blockchain transaction data. Structural breakdown: Fundamental, long-term market weakness. Corrective phase: Temporary price dip in an uptrend. Maturity era: Asset lifecycle phase with slow growth, low volatility.