Privacy Coins Surge as Bitcoin, Ethereum Slide on ETF Outflows and Macro Headwinds

I. Crypto Market Overview

Key Takeaways

Macro Environment

The Reserve Bank of Australia and the Federal Reserve both signal a 'higher for longer' rate stance, sustaining elevated borrowing costs and risk-off sentiment. The US dollar's strength and persistent inflation are pressuring risk assets, leading to capital outflows from crypto. Ongoing ETF outflows and macro headwinds have triggered over $1.2B in liquidations, highlighting crypto's sensitivity to global monetary policy.

Crypto Market

The crypto market saw broad declines in the past 12 hours, with BTC down 3.66% to $103,865 and ETH falling 6.06% to $3,499.55, driven by ETF outflows and a strong US dollar. Most altcoins dropped, but privacy coins outperformed: Decred surged 96.66%, DASH jumped 54.55%, and Internet Computer rose 34.28%, as capital rotated into privacy and Web3 infrastructure amid market volatility.

Today's Outlook

Today, US JOLTS job openings data will be released, while the Federal Reserve's recent rate cut continues to shape market sentiment and risk appetite. These macro events may drive further volatility across crypto and traditional markets.

Fear and Greed Index

74.00% Annual Percentile

36 Neutral

Total Crypto Market Cap

$3.45T

4.16%

Total Market Trading Volume

$231.46B

54.38%

Altcoin Season Index

8.33%

Quarterly Percentile

25 / 100

Total Futures Market Open Interest

3.18B

1.94%

Futures

818.81B

8.39%

Perpetuals

II. Industry Updates

Macro-economic Policies

The Reserve Bank of Australia (RBA) held its cash rate at 3.6% after a higher-than-expected inflation spike, signaling a prolonged period of elevated rates. This cautious stance is likely to maintain high borrowing costs, which could suppress risk appetite and reduce liquidity in the crypto market.

The US dollar surged to a four-month high, driven by asset managers increasing long positions amid uncertainty over further Federal Reserve rate cuts. A stronger dollar typically leads to capital outflows from risk assets, putting downward pressure on Bitcoin and altcoin prices.

Recent US economic data and hawkish Federal Reserve commentary have dampened expectations for a December rate cut, reinforcing a 'higher for longer' interest rate environment. This increases the opportunity cost of holding non-yielding assets like Bitcoin and may limit DeFi and NFT market activity.

The Australian labor market remains tight, with unemployment at 4.5%, supporting the RBA's decision to pause further easing. Persistent wage growth and elevated inflation could delay any policy loosening, sustaining a risk-off environment for digital assets.

Ongoing ETF outflows and macroeconomic headwinds, including a strong US dollar and high interest rates, have triggered significant liquidations in the crypto market, with over $1.2 billion wiped out in the past 24 hours, highlighting the sector's sensitivity to global monetary policy shifts.

Cryptocurrency Regulatory Trends

The European Commission has proposed expanding ESMA's authority to directly oversee crypto markets, sparking debate over innovation versus regulatory maturity in the EU.

Grayscale filed a new amendment for its XRP ETF with the SEC on November 3, 2025, signaling progress toward potential approval and boosting institutional interest in regulated crypto products.

The U.S. GENIUS Act, effective July 2025, establishes a federal framework for stablecoins, requiring 1:1 reserves and banning yield-bearing stablecoins, intensifying competition between banks and fintechs.

Safello's Atoma Studio and Global Ledger Services AG formed a partnership on November 4, 2025, to enhance blockchain compliance and AML analytics for crypto firms under MiCA regulations.

Indonesia's Finance Ministry confirmed enforcement of the amended Common Reporting Standard to include crypto and digital currency data, strengthening global tax compliance for digital assets.

Decred (DCR): Decred surged over 100% in 24h with $189M volume, leading privacy coin rallies as investors rotate into privacy-focused assets amid broader market volatility.

DASH (DASH): DASH jumped 52% in 24h with $2.07B volume, driven by renewed interest in privacy coins and capital rotation as Zcash and Dash outperform during market downturns.

Internet Computer (ICP): ICP rose 35% in 24h with $841M volume, fueled by technical breakout patterns and increased attention to AI and Web3 infrastructure projects.

Smart Money Movements

The "7 Siblings" wallets purchased 19,918 ETH for $72.49 million at an average price of $3,638 during the recent market dip, as tracked by Nansen AI.

A crypto whale nearly completed repayment of a 66,000 ETH loan, securing a $26.9 million profit by shorting ETH from $4,032 to $3,613 per token.

Upexi increased its Solana holdings by 4.4% to 2,106,989 SOL, valued at $340 million after a 15% price drop, with most tokens staked for 7–8% annual yield.

SharpLinkk earned 459 ETH in staking rewards last week, bringing its total staking rewards to 6,575 ETH since June 2, 2025.

Sequans Communications sold 970 BTC to redeem 50% of its convertible bonds, reducing debt from $189 million to $94.5 million and lowering its BTC holdings to 2,264.

Events to Watch

Nov 4 (Tue)

US JOLTS job openings data will be released; Federal Reserve's recent rate cut continues to impact markets and economic outlook.

Nov 5 (Wed)

Riksbank will announce its interest rate decision; $61.5M ENA token unlock (171.88M ENA, 2.5% of supply) may increase sell pressure.

Nov 3–10 (Mon–Mon)

Over $312M in token unlocks for AVAX, Solana, Aster, and others, with daily AVAX unlocks exceeding $1M, potentially affecting altcoin sentiment.

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