Bitcoin, Ethereum Plunge: BTC Nears $76K, ETH Targets $2,000

Bitcoin hovered near $80,108, as the cryptocurrency market experienced significant liquidations totaling $342.38 million, impacting 83,748 traders.

Key Support and Resistance Levels

Crypto analyst Michael van de Poppe identified $79,172 and $78,416 as crucial support levels for Bitcoin, with a deeper potential downside target at $76,269. Meanwhile, Ethereum’s chart suggests $2,026.94 as a possible target, bringing the $2,000 mark into focus.

Market Downturn and Investor Sentiment

The broader crypto market has seen a substantial decline, shedding $68.75 billion in value over the last 24 hours. The total market capitalization fell by 2.5% to $2.75 trillion. This downturn follows a week where Bitcoin struggled to regain ground above $84,000, and Ethereum slipped below key support levels. With both major cryptocurrencies under pressure, analysts are issuing warnings of potential further price declines.

Bitcoin’s Performance and Liquidations

Bitcoin was trading near $80,108, reflecting a drop of over 1.5% in the past 24 hours. This decline contributed to widespread pressure across the crypto market, leading to $342.38 million in liquidations affecting 83,748 traders. Notably, 65% of these liquidations were from long positions.

Broader Market Weakness

The current sell-off is not confined to the cryptocurrency sector, as major technology stocks have also experienced declines. Alphabet shares, for instance, dropped approximately 11% to trade at $289 after its third-quarter revenue and operating income fell short of expectations. The company reported $127.58 billion in revenue, missing the $127.93 billion forecast, and operating income reached $40.58 billion against an estimated $43.16 billion. Similarly, Samsung shares fell more than 4.13% as its semiconductor division failed to meet investor projections. This weakness in tech stocks has amplified pressure across financial markets, impacting Bitcoin and other riskier assets.

Analyst Outlook for Bitcoin

Against this backdrop, crypto analyst Michael van de Poppe indicated that Bitcoin has yet to signal a clear bullish trend. His analysis suggests BTC is forming lower highs after its retreat from above $84,000, with recent attempts to rebound failing to convert resistance into support. Bitcoin has already tested the area around $79,725. Should selling pressure intensify, the next levels to monitor are $79,172 and $78,416. A more significant decline could bring $76,269 into play. On the upside, Bitcoin needs to reclaim $80,920 to improve its short-term outlook, while a move towards $82,938 would challenge the bearish pattern observed on its chart.

Ethereum’s Challenges

Ethereum is also exhibiting signs of weakness, trading near $2,322, down around 1.7%, after failing to sustain its recent recovery toward $2,400. Chart analyst Ali Martinez noted that large holders have divested approximately 160,000 ETH, valued at over $348 million, in recent days. This selling pressure is compounded by Ethereum ETFs recording outflows of around $170 million since the beginning of the week.

Exchange balances have also seen an increase of roughly 100,000 ETH, worth approximately $240 million, potentially making it easier for holders to liquidate their positions. Martinez’s daily chart analysis indicates a break below a right-angled ascending broadening pattern, raising the risk of further downward movement. If selling pressure persists, the chart points to $2,026.94 as a potential downside target, nearing the $2,000 level that Martinez has previously cautioned about.