Nasdaq plunges 2.2%—will crypto follow?
The U.S. stock selloff accelerated in overnight trading on October 17. The Nasdaq fell 2.2%, the S&P 500 dropped 1.11%, and the Dow was down just 0.54%. Tech-heavy indexes took the hardest hit, with clear signs that money is flowing out of risk assets.
We’re at a critical point now. This sharp drop in the Nasdaq is likely to affect liquidity in Asian markets first. Between the U.S. market close and the early morning session, market makers’ order books will thin out and slippage will increase, making it easy for a quick downside wick to sweep short-term stop-losses. If the leveraged longs stacked above 68,000 get liquidated, the next support zone is around 64,500. A real turnaround depends on whether the Nasdaq finds a bottom tonight. Unless panic selling is flushed out, rebounds in and will be weak. Accumulate as the broader market moves sideways, and don’t rush to chase longs. The exchange rate pair is still drifting lower, suggesting that money hasn’t flowed back into altcoins. They had rallied a lot earlier, so selling pressure will be heavier on the pullback.
At this level, are you waiting for BTC to wick down to 64,500 before placing buy orders, or are you going straight for a rebound to 71,000?
$BTC $ETH $SOL
The U.S. stock selloff accelerated in overnight trading on October 17. The Nasdaq fell 2.2%, the S&P 500 dropped 1.11%, and the Dow was down just 0.54%. Tech-heavy indexes took the hardest hit, with clear signs that money is flowing out of risk assets.
We’re at a critical point now. This sharp drop in the Nasdaq is likely to affect liquidity in Asian markets first. Between the U.S. market close and the early morning session, market makers’ order books will thin out and slippage will increase, making it easy for a quick downside wick to sweep short-term stop-losses. If the leveraged longs stacked above 68,000 get liquidated, the next support zone is around 64,500. A real turnaround depends on whether the Nasdaq finds a bottom tonight. Unless panic selling is flushed out, rebounds in and will be weak. Accumulate as the broader market moves sideways, and don’t rush to chase longs. The exchange rate pair is still drifting lower, suggesting that money hasn’t flowed back into altcoins. They had rallied a lot earlier, so selling pressure will be heavier on the pullback.
At this level, are you waiting for BTC to wick down to 64,500 before placing buy orders, or are you going straight for a rebound to 71,000?
$BTC $ETH $SOL