Crypto Markets Extend Fall, Bitcoin Trades at $108,000, Ethereum at $3,800

After a strong start to October, optimism in the cryptocurrency market is starting to fade, with renewed volatility hitting digital assets. Bitcoin and Ethereum have fallen again over the past 24 hours as traders continued to absorb the fallout from the massive ‘flash crash’ of early October, when more than $19 billion in leveraged positions were wiped out – the largest single-day liquidation in crypto history.

As of Wednesday morning, October 22, Bitcoin was trading around $108,326, down about 0.4% in the past hour and down about 4% for the week, according to data from CoinGlass. Ethereum was hovering near $3,866, down 0.5% on the day and down more than 6% week-on-week.

Bitcoin tried to break the $114,000 resistance mark before retreating towards $108,500, said Edul Patel, CEO of Mudrex. “The market remains vulnerable due to limited macro signals and continued geopolitical uncertainty. However, the upcoming US CPI data could act as a turning point. A softer inflation reading could boost hopes for rate cuts and improve sentiment for risky assets such as cryptocurrencies,” he added. Patel noted that a sustained move above $114,000 could open the way to $120,000.October had started on a positive note after Bitcoin briefly rose to $122,500, its highest level in almost a year. But the rally stalled when US President Donald Trump announced additional tariffs on several Chinese imports, triggering a sell-off in global risk assets. The announcement caused panic in the crypto markets, leading to the record liquidation of $19 billion.During the flash crash, Bitcoin plunged about 15% to $104,600, while Ethereum fell more than 20% to about $3,500 before recovering slightly. Since then, digital assets have struggled to regain momentum as traders grow cautious amid continued volatility.

Also read: Gold prices continue their decline after the sharpest fall since 2020 due to easing trade tensions between the US and China. What’s next for investors?

“Bitco fell to around $108,000 after failing to sustain gains of around $114,000, partly due to capital rotation away from gold, which fell more than 5% from recent record highs,” CoinSwitch’s Markets Desk said in a note.

“Cryptocurrency spot trading volumes have surged to nearly $240 million over the past 24 hours, while Bitcoin ETFs saw inflows of $266 million and Ethereum ETFs added around $99 million, indicating renewed accumulation after a lull. BTC has solid support near $108,000, with resistance from $111,000 to $113,000, and a breakout above that range could spark new upside momentum,” it added.

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