Bitcoin and Ethereum Dip as ETF Outflows Weigh, Stellar Protocol 20 Vote Looms

I. Crypto Market Overview

Key Takeaways

Macro Environment

Global markets remain volatile as persistent inflation in Canada and gold's rebound signal risk aversion. Escalating US-China trade tensions and AI-driven speculation are fueling uncertainty across traditional and crypto markets. Institutional confidence in Bitcoin stays strong, supporting continued inflows despite macro shocks.

Crypto Market

The crypto market saw mild declines over the past 12 hours, with BTC down 1.72% to $108,286 and ETH falling 2.61% to $3,860.12, pressured by ETF outflows and weak risk sentiment. Altcoins were mixed; DoubleZero (2Z) led gains at +8.45%, while Aptos (APT) rose 1.02%. XRP dropped 2.34% despite surging DEX activity, and Solana (SOL) slipped 1.04%.

Today's Outlook

Today, Stellar Protocol 20 faces a mainnet upgrade vote at 17:00 UTC, a key event for the Stellar ecosystem. Parcl will unlock 449,726 PRCL tokens, a minor supply event. No major token unlocks or high-impact macro releases are scheduled, so market focus remains on protocol governance.

Fear and Greed Index

24.00% Annual Percentile

33 Fear

Total Crypto Market Cap

$3.65T

2.27%

Total Market Trading Volume

$233.05B

42.83%

Altcoin Season Index

25.00%

Quarterly Percentile

27 / 100

Total Futures Market Open Interest

3.46B

1.26%

Futures

954.01B

9.49%

Perpetuals

II. Industry Updates

Macro-economic Policies

Canadian CPI for September rose to 2.4%, exceeding expectations and signaling persistent inflation. This may delay Bank of Canada rate cuts, supporting CAD and potentially reducing DeFi and crypto trading liquidity in the region.

Spot gold prices rebounded to $4,100 after a sharp drop, reflecting heightened market volatility and risk aversion. This safe-haven demand can divert capital from risk assets like Bitcoin and altcoins, impacting crypto market flows.

The global economy faces increased fragility due to escalating trade tensions and AI-driven speculation, fueling volatility in traditional and crypto markets. Ongoing U.S.-China tariff disputes may pressure BTC and DeFi valuations.

The USD/CAD exchange rate fluctuated ahead of key US and Canadian inflation data, with the Canadian dollar strengthening after the CPI release. FX volatility can influence stablecoin demand and cross-border crypto flows.

Institutional confidence in Bitcoin remains high despite recent macro shocks, as 67% of surveyed investors are bullish. This underpins BTC price resilience and supports continued inflows into crypto ETFs and DeFi protocols.

Cryptocurrency Regulatory Trends

Major Asian stock exchanges, including Hong Kong and India, have tightened regulations on crypto treasury firms, rejecting listings that involve large crypto asset holdings, which may limit corporate adoption and market liquidity.

The Australian Securities Exchange now restricts listed companies from allocating over 50% of assets to cash or cash-like holdings, effectively blocking crypto treasury models and signaling stricter compliance for digital asset firms.

European banks are cautiously re-entering the crypto market, driven by regulatory clarity from MiCA and favorable tax regimes, which is gradually restoring institutional confidence and could boost Bitcoin and stablecoin demand.

US Senator Cynthia Lummis has advocated for open banking rules to ensure continued access to digital asset platforms, warning that restrictive measures by major banks could stifle fintech and crypto innovation in the US.

Senator Elizabeth Warren has criticized the GENIUS Act stablecoin bill, highlighting operational and consumer risks, and is urging the Treasury to implement stronger safeguards, which may increase regulatory scrutiny on stablecoins.

DoubleZero (2Z): Surged 8.05% in 24h with $112.5M volume, driven by high demand for its low-latency Solana-based decentralized infrastructure and staking incentives.

MemeCore (M): Rose 4.45% in 24h with $18.5M volume, supported by its Layer 1 meme-centric blockchain and community rewards, ranking #43 by market cap.

Aptos (APT): Gained 0.98% in 24h with $138.2M volume, benefiting from strong Layer 1 fundamentals and recent recovery from its 11-day low, now at $3.27.

Smart Money Movements

SpaceX transferred $257 million in Bitcoin from two known wallets to new addresses, marking its first major on-chain movement since July.

Strategy (formerly MicroStrategy) acquired 168 BTC for $18.8 million at an average price of $112,051, increasing its total holdings to 640,418 BTC.

BlackRock deposited 2,854 BTC and 29,639 ETH, valued at $429 million, to Coinbase Prime within the past 24 hours, highlighting ongoing institutional engagement.

SharpLink expanded its Ethereum treasury by purchasing 19,271 ETH at an average price of $3,892, bringing its total ETH holdings to 859,853 ETH worth $3.5 billion.

Two new wallets received 45,814 ETH, valued at $177.62 million, from FalconX, with the addresses believed to be associated with Bitmine.

Events to Watch

Oct 22 (Wed)

Stellar Protocol 20 mainnet upgrade vote at 17:00 UTC; Parcl unlocks 449,726 PRCL tokens ($21,312), 0.04% of supply.

Oct 23 (Thu)

US Q3 GDP advance estimate released; Meteora MET Token Generation Event launches, with 48% of supply circulating.

Oct 24 (Fri)

US Core Inflation Rate, CPI, and Japan CPI data for September released, impacting global risk sentiment.

Oct 27 (Mon)

US Core PCE Price Index for September released; Friendly Giant AI GIANTAI and MemeMarket MFUN Gaming IDOs commence.

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