Nasdaq falls 2.2% as risk assets sell off in tandem
During U.S. trading on October 17, the Nasdaq's losses widened to 2.2%, the S&P 500 fell 1.11%, and the Dow dropped 0.54%. Tech heavyweights led the sell-off, as money pulled out of high-beta assets.
BTC's 30-day correlation with the Nasdaq has recently climbed back above 0.7, and U.S. trading hours are when selling pressure tends to be released all at once. The area around 106,000 was a previous zone of heavy trading. If that level is taken out, the next area below is where long positions in perpetual futures are concentrated for liquidation. Market makers may proactively pull their orders and widen spreads, making the wicks deeper than usual. ETH and SOL have higher betas, so their pullbacks during the same period are usually 1.5 to 2 percentage points greater than BTC's, and their rebounds also lag behind. In the short term, if 106,000 doesn't hold, expect a gradual grind lower to shake out weak hands—there's no need to rush in.
For those holding spot, what was your entry price? Are you adding to your positions this time, or taking half off the table first?
$BTC $ETH $SOL
During U.S. trading on October 17, the Nasdaq's losses widened to 2.2%, the S&P 500 fell 1.11%, and the Dow dropped 0.54%. Tech heavyweights led the sell-off, as money pulled out of high-beta assets.
BTC's 30-day correlation with the Nasdaq has recently climbed back above 0.7, and U.S. trading hours are when selling pressure tends to be released all at once. The area around 106,000 was a previous zone of heavy trading. If that level is taken out, the next area below is where long positions in perpetual futures are concentrated for liquidation. Market makers may proactively pull their orders and widen spreads, making the wicks deeper than usual. ETH and SOL have higher betas, so their pullbacks during the same period are usually 1.5 to 2 percentage points greater than BTC's, and their rebounds also lag behind. In the short term, if 106,000 doesn't hold, expect a gradual grind lower to shake out weak hands—there's no need to rush in.
For those holding spot, what was your entry price? Are you adding to your positions this time, or taking half off the table first?
$BTC $ETH $SOL