Crypto Market Slides as BTC, ETH Drop; AB Surges Amid Broad Selloff

I. Crypto Market Overview

Key Takeaways

Macro Environment

UK and euro area inflation rates have declined, increasing expectations for rate cuts and supporting risk sentiment. The US is set to join the global Crypto-Asset Reporting Framework, boosting tax transparency and compliance. The US dollar's recent weakness and Fed policy uncertainty are fueling volatility and arbitrage opportunities in crypto markets.

Crypto Market

The crypto market saw broad declines over the past 12 hours, with BTC down 4.43% to $97,474 and ETH dropping 9.27% to $3,144.86, pressured by ETF outflows and weak risk appetite. Altcoins also fell, with MYX down 13.58%, STRK down 3.32%, and AB up 25.06%. AB outperformed on renewed trading activity, while MYX and STRK faced profit-taking after recent rallies.

Today's Outlook

Today's notable events include a 37.5M YZY token unlock and key protocol upgrades for FIRO and Avalanche. The Wormhole and Jupiter ecosystem calls may drive sector-specific sentiment, while ongoing macro and regulatory developments continue to shape overall market direction.

Fear and Greed Index

80.00% Annual Percentile

15 Fear

Total Crypto Market Cap

$3.12T

0.04%

Total Market Trading Volume

$158.38B

33.13%

Altcoin Season Index

45.45%

Quarterly Percentile

31 / 100

Total Futures Market Open Interest

4.36B

3.21%

Futures

779.03B

0.91%

Perpetuals

II. Industry Updates

Macro-economic Policies

UK CPI inflation fell to 3.6% in October, increasing the probability of a Bank of England rate cut in December. This dovish shift is expected to support GBP-denominated crypto assets and may boost DeFi liquidity as borrowing costs decline.

Euro area annual inflation dropped to 2.1% in October, signaling easing price pressures. Lower inflation in the EU could encourage risk-on sentiment, potentially increasing capital flows into Bitcoin and altcoins as investors seek higher returns.

The US Federal Reserve remains divided on a December rate cut, with upcoming labor market data likely to influence the decision. Uncertainty over US rates is fueling volatility in crypto markets, impacting BTC price direction and DeFi funding rates.

The US dollar has weakened amid dovish Fed commentary, creating opportunities for risk assets. Dollar softness typically correlates with stronger crypto performance, supporting BTC and ETH price rebounds and higher NFT trading volumes.

UK inflation data and dovish BoE expectations have led to a sharp decline in GBP, while the US dollar remains firm ahead of key payrolls data. Currency volatility is increasing arbitrage opportunities and may drive short-term surges in crypto trading volumes.

Cryptocurrency Regulatory Trends

The US is set to join the global Crypto-Asset Reporting Framework (CARF), enabling the IRS to automatically access Americans' foreign crypto account data, which will increase tax transparency and reduce offshore evasion. This move is expected to boost compliance and may shift investor behavior toward regulated exchanges.

Brazil is considering a new tax on crypto-based international payments as it aligns with CARF, aiming to close regulatory gaps and ensure stablecoin transactions are taxed like traditional foreign exchange. This could impact cross-border crypto flows and increase compliance costs for users and platforms.

The US Office of the Comptroller of the Currency has authorized national banks to hold cryptocurrencies for paying blockchain network gas fees, marking a significant step in integrating digital assets into mainstream banking and potentially increasing institutional participation in crypto markets.

Recent US regulatory proposals specifically exclude DeFi peer-to-peer transactions from new reporting requirements under CARF, focusing oversight on centralized intermediaries. This distinction supports ongoing DeFi innovation while tightening compliance for exchanges and custodians.

The Basel Committee Chair has called for a revision of capital rules for banks holding crypto assets, particularly stablecoins, citing that current risk weights are unrealistic. This signals potential regulatory easing, which could improve institutional adoption and market stability.

MYX Finance (MYX): Surged 34.9% in 24h to $3.22 with $61.8M volume, driven by high DeFi trading activity and cross-chain collateral upgrades across 20+ networks.

Starknet (STRK): Jumped 32.1% in 24h with $809.7M volume as TVL reached $1.16B; strong rebound signals bullish momentum and increased staking participation.

AB (AB): Rose 14.5% in 24h, rebounding from previous volatility; recent exchange listings and ecosystem airdrops have renewed market interest and trading activity.

Smart Money Movements

The Abu Dhabi Investment Committee tripled its Bitcoin ETF holdings to nearly 8 million shares in BlackRock's IBIT, valued at $518 million as of September 30, reflecting a major institutional allocation shift.

BlackRock sold 12,097 Bitcoin and 172,049 Ethereum in the past three days, totaling $1.11 billion in BTC and $533 million in ETH, signaling significant portfolio rebalancing amid market volatility.

A cryptocurrency trader opened a $27 million short position on XRP with 20x leverage, following whale offloads of 200 million XRP within 48 hours, leading to 42% of XRP supply trading at a loss.

A crypto whale deposited $4.87 million USDC into HyperLiquid to open a 20x leveraged long position on Ethereum, and also purchased 10,043 HYPE tokens for $387,861 USDC, subsequently staking them.

German-listed Aifinyo AG increased its Bitcoin holdings by acquiring 2 BTC, bringing its total to 30.9 BTC, as part of its ongoing strategy to expand cryptocurrency assets.

Events to Watch

Nov 21 (Fri)

EIP Summit at Devconnect Argentina will be held in Buenos Aires, focusing on Ethereum Improvement Proposals and ecosystem development.

Nov 25 (Tue)

Preliminary US Q3 2025 GDP data will be released, offering key insights into the US economic outlook and potential market impact.

Nov 26 (Wed)

UK's New Cryptoasset and Stablecoin Regulatory Regime Summit in London; Australian CPI and RBNZ interest rate decision to be announced, influencing global markets.

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