Bitcoin Tumbles to $107K as Uptober Momentum Fades
Bitcoin prices fell sharply on Tuesday, reversing gains from the weekend as the recent crypto rebound lost momentum. The drop came even as global risk appetite improved on easing U.S.-China trade tensions and Japanese political optimism.
At 01:43 ET (05:43 GMT), Bitcoin traded near $107,712, down almost 3%, leading losses across the broader cryptocurrency market.
Bitcoin Rebound Stalls After October Flash Crash
The world’s largest cryptocurrency struggled to stay above $110,000 this week following an early-October flash crash that erased more than $500 billion in total crypto market value.
The event triggered a wave of risk aversion, with traders growing cautious amid renewed volatility. Analysts said that the once-celebrated “Uptober” rally — a seasonal period when Bitcoin often outperforms — has failed to materialize this year.
“So far this year, Uptober hasn’t gone to plan for Bitcoin bulls,” analysts at Forex.com noted. “Instead of seasonal strength, the rally fizzled midway through the month, creating an ugly reversal that may not be over yet.”
Bitcoin Lags Behind Risk Markets
Unlike equity markets, which have reached fresh record highs in recent weeks, Bitcoin’s price action has remained subdued. Forex.com analysts added that Bitcoin is “lagging badly in an environment where high-beta assets are surging.”
Asian stock markets climbed sharply on Tuesday, boosted by optimism over Sanae Takaichi’s expected appointment as Japan’s next prime minister. Chinese equities also advanced after U.S. officials issued conciliatory comments on trade relations.
However, Bitcoin and other cryptocurrencies continued to decline during the Asian session, signaling a decoupling from broader market sentiment.
Altcoins and XRP Also Decline
Broader altcoin markets mirrored Bitcoin’s weakness. Ethereum (ETH) dropped 5.3% to $3,859, failing to reclaim the $4,000 threshold.
XRP slipped 2.2% to $2.41, showing little reaction to news that Evernorth, a Ripple-backed firm, plans to go public on the Nasdaq via a SPAC merger. The company aims to raise over $1 billion to expand its XRP treasury.
Elsewhere, BNB fell 5.7%, while Cardano (ADA) and Solana (SOL) lost between 4% and 6%. Among memecoins, Dogecoin (DOGE) declined 4.3%, and $TRUMP dropped 3.1%.
Market Outlook
Traders now await fresh catalysts, including next week’s Federal Reserve policy meeting, which could influence risk sentiment across both traditional and digital assets. Analysts warn that continued volatility and weak trading momentum could limit any near-term Bitcoin recovery.
