Crypto markets continued their downward trend on Friday, as Bitcoin dipped below $86,000 and Ethereum dropped below the $3,000 mark, reflecting a wider risk-off sentiment. The downturn signifies an ongoing correction from recent peaks, with Bitcoin currently down 31 percent from its October high of $126,198 and Ethereum down 43 percent from its August high of $4,953. As of the latest update, Bitcoin is priced at $86,103.98, experiencing a decline of 7.18 percent in the last 24 hours, with a trading volume of $98.58 billion. The leading cryptocurrency fluctuated between $85,328 and $92,763 throughout the session, as per reports. Ethereum reflected the downturn, dropping approximately 7 percent to $2,826.44, with a 24-hour trading volume of $44.4 billion, after oscillating between $2,780 and $3,041. Analysts indicate that the pullback signifies a consolidation phase instead of market capitulation, as participants process recent selling pressure and anticipate clearer macroeconomic signals.
“The recent decline was accompanied by liquidations of leveraged long positions, with the break below $89,000 prompting additional forced selling,” stated analysts. The firm highlights the $89,000–$92,000 zone as the closest liquidity band and a possible area for short-term recovery. However, if $85,000 does not hold, sustained downside could occur. Edul Patel highlighted the impact of macroeconomic uncertainty and whale activity on market sentiment. “Bitcoin is trading near $86,500 amid rising US macro uncertainty.” September jobs data revealed an unemployment rate of 4.4 percent, prompting discussions regarding the Federal Reserve’s timeline for potential rate cuts. “Additionally, a whale sold 11,000 BTC, adding to the pressure,” he said. Patel emphasizes that buyers need to protect the $84,500 mark to prevent a further decline towards $80,000, with $91,000 identified as a key resistance level.
Amid the volatility, certain market players view the recent pullback as a constructive correction after an extended period of robust gains. “Short-term volatility following a rally is typical, particularly in the context of regulatory scrutiny and macroeconomic pressures.” Gracy Chen said “Crypto is now tied closely to global markets, and this consolidation signals maturation rather than panic.” She emphasized that the long-term fundamentals are still strong, pointing to increased institutional participation, expanding on-chain liquidity, and a swift rise in adoption within payments, DeFi, and Web3 infrastructure. Chen anticipates that Bitcoin will stabilize and “potentially reclaim $95,000 by late November and approach $105,000 by December.”
Ethereum faced ongoing challenges, hovering around $2,826 as it struggled to maintain crucial support levels. Analysts are indicating that ETH must decisively break back above $3,000 to reclaim upward momentum, while immediate downside targets are set between $2,800 and $2,750.