Fed’s Hawkish Tone Reduces Risk Appetite

Recent remarks from Federal Reserve Chair Jerome Powell signaled that interest rate cuts might not arrive until 2026, dampening market optimism. This pushed the U.S. Dollar Index (DXY) to 108, tightening global liquidity and driving capital out of risk assets. The resulting capital rotation triggered a broad profit-taking wave across crypto markets, particularly among institutional investors who shifted back to cash positions.

$5.4 Billion Options Expiry Boosts Volatility

Today, $5.4 billion worth of Bitcoin and Ethereum options expired on Deribit, leading to heightened volatility as large traders unwound positions. The liquidation of leveraged contracts pressured spot markets, causing key support levels to break and accelerating a cascade of automated sell-offs.

On-Chain Data: Profit Taking and Capital Rotation

According to Glassnode’s latest report, long-term holders sold around $45 billion in Bitcoin over the past two weeks. This trend highlights ongoing profit-taking and limited new capital inflows. With few fresh buyers entering, existing capital is merely rotating within the market, which is slowing price recovery momentum and weakening short-term demand.

ETF Inflows Slow Down, Spot Demand Softens

U.S.-listed Bitcoin ETFs saw a 60% decline in weekly inflows, with BlackRock and Fidelity funds both recording net outflows. This institutional caution has trickled down to retail sentiment, reflected in the Crypto Fear & Greed Index falling back to the “neutral” zone. Investors are moving into a wait-and-see stance, avoiding short-term risk.

BTC Technical Outlook: Critical Support Levels

Our in-house analyst notes that Bitcoin has not yet entered a favorable zone for long positions. Traders are advised to wait for a clear breakout before acting. The fact that BTC did not close below $101,100 after the recent dip is viewed as a short-term positive sign. However, a sustained move above $104,700—and ideally $111,150—is needed to confirm a recovery trend. Until then, long positions remain risky and disciplined risk management is essential.

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The post Why the Crypto Market Is Falling — Full November 7 Breakdown appeared first on Coin Engineer.

$4.5 Billion Options Expiry Could Shake the Market 

Today, $4.5 billion worth of Bitcoin and Ethereum options are set to expire. On Deribit, $3.52 billion in 30,000 BTC options will mature. The put-call ratio stands at 1.23, signaling that traders have increased bearish bets after the recent rally. 

Over the last 24 hours, the put-call ratio dropped to 0.77. Call volume exceeded 22,300 compared to 17,250 puts, showing cautious sentiment among investors ahead of expiry. 

Max Pain Price for Bitcoin Stands at $114,000 

Deribit data shows Bitcoin’s maximum pain price at $114,000. Traders may attempt to pull BTC toward this level, while heavy put options remain concentrated between $100,000 and $108,000. 

On the Ethereum side, more than 177,000 contracts worth $0.8 billion will expire. The put-call ratio is at 1, with a max pain price of $4,500, creating downward pressure on ETH as well. 

• BTC max pain: $114,000 
• BTC key support: $115,200 
• BTC downside target: $105,500 
• ETH max pain: $4,500 

Glassnode: Downside Risk to $105,500 Intensifies 

Glassnode data reveals that 95% of BTC holders are currently in profit, raising the risk of profit-taking. Open interest in Bitcoin options has surged to a record 500,000 BTC. 

The market is also entering a “triple witching” phase, as weekly, monthly, and quarterly expiries overlap, concentrating flows and liquidity. Unless bulls defend $115,200, Bitcoin could decline toward $105,500. 

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The post Glassnode: Bitcoin at Risk Ahead of Options Expiry appeared first on Coin Engineer.