Bitcoin Holds $110,000 Support Amid Market Volatility and Liquidations
Bitcoin is currently trading at $111,000, maintaining a critical support level of $110,000 after a weekend sell-off from $121,000 resulted in a $500 billion decrease in overall crypto market cap.
- Altcoins have experienced significant losses, with Plasma (XPL) down 58% in a week and FET, OP, and ETHFI each losing over 35% of their value.
Derivatives Positioning
- The BTC futures market is stabilizing, with open interest around $25.5 billion. The 3-month annualized basis has dropped to 5-6%, indicating cooling bullish sentiment. Divergence in funding rates shows mixed market sentiment: Bybit's rate is -5%, while Hyperliquid's is 10%.
- The BTC options market shows bullish trends. The 24-hour Put/Call Volume is balanced, and the 1-week 25 Delta Skew spiked to 12.62%, indicating a premium for call options over puts.
- Recent data indicates $627 million in 24-hour liquidations, split 70-30 between longs and shorts. Key liquidation levels are noted at $110,600 on Binance's heatmap.
Token Talk
- Plasma (XPL) dropped another 13.5%, totaling a 52% decline since late September.
- Skepticism surrounds its tokenomics and large ecosystem allocations, with a circulating supply of 1.8 billion against a total of 10 billion.
- ICO tokens sold at $0.05 are currently valued around $0.41, resulting in profits for early investors, but post-listing buyers face losses.
- Analysts predict continued pressure as early investor tokens unlock fully by Q2 2026.