The cryptocurrency market is facing a significant downturn as a $23 billion Bitcoin and Ethereum options expiry introduces heightened volatility. Large holders are reportedly driving prices toward max pain levels, exacerbating market instability. Additionally, fears of a potential US government shutdown by October 1 are contributing to bearish sentiment among investors.
Further compounding the market's woes, strong Q2 US GDP growth of 3.8% is dampening expectations for Federal Reserve rate cuts, negatively impacting short-term crypto sentiment. The situation is worsened by excessive leverage on decentralized exchanges, which has led to widespread liquidations and accelerated the sell-off. Market analysts suggest that whales might be strategically positioning for a potential Q4 rally after instigating panic in the market.
Crypto Market Plummets Amid Options Expiry and US Shutdown Concerns
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