Market Overview - Bitcoin (BTC) attempted a late weekend rally but reversed gains, settling around $90,000, down approximately 1% over the past 24 hours [1] - The broader crypto market, as measured by the CoinDesk 20 Index, declined by 0.8% [2] Altcoin Performance - Ethereum's ether (ETH) slightly decreased but outperformed BTC, reaching its strongest relative price against BTC in over a month [2] - Privacy-focused Zcash (ZEC) and institutional-centered blockchain Canton Network (CC) both recorded double-digit gains [2] Bond Market Dynamics - Long-duration government bond yields spiked due to concerns about Japanese bonds affecting other markets, with the U.S. 10-year Treasury yield rising to 4.19%, the highest in about three months [3] - The Japanese 10-year bond yield approached 2%, a level not seen in nearly two decades [3] U.S. Equity Market - U.S. equities declined, with the S&P 500 down by 0.5% and the Nasdaq by 0.3%, impacting overall risk appetite [4] Federal Reserve Meeting - The upcoming Federal Reserve meeting is anticipated to be significant, with a 25 basis-point cut expected, but any hawkish surprises could increase volatility [4][5] Bitcoin Market Sentiment - Analysts from Bitfinex noted that BTC is facing structural headwinds, with weakening spot demand and persistent outflows from U.S.-listed spot bitcoin ETFs [6] - Over seven million BTC are currently at an unrealized loss, reflecting bearish sentiment similar to the 2022 consolidation period [6] - Monthly capital inflows remain slightly positive at $8.69 billion, but are significantly lower than peak levels, providing only a modest buffer against downside risks [6]

Group 1 - Bitcoin (BTC) experienced a decline back to $88,000 after briefly rallying above $93,000, indicating a pattern of selling pressure following modest gains [1] - Nvidia (NVDA) reported better-than-expected earnings and a positive outlook, which initially boosted both the crypto market and the Nasdaq index by over 2% [1] - The Nasdaq index has seen a rapid reversal of gains, now only up by 0.3%, with Nvidia's stock trading flat after a previous increase of more than 5% [2] Group 2 - The September employment report revealed a stronger-than-expected addition of 119,000 jobs, contributing to a macroeconomic sentiment that the Federal Reserve is unlikely to cut interest rates in December [2] - Cleveland Fed President Beth Hammack expressed concerns about high stock prices and inflation, reminiscent of Alan Greenspan's "irrational exuberance" speech from 1996, which preceded a significant stock market rally [3] Group 3 - Ethereum's ether (ETH) fell nearly 4% in a short time frame, potentially impacted by FG Nexus selling a portion of its holdings to buy back its significantly devalued stock [4] - Crypto-related stocks faced substantial losses after initial gains, with Michael Saylor's Strategy (MSTR) down 4.7% and 62% year-over-year, reaching a new 52-week low of $178 [5] - Exchanges Coinbase (COIN) and Gemini (GEMI) saw declines of 4% and 5%, respectively, while stablecoin issuer Circle (CRCL) dropped by 3.5% [5]

Core Viewpoint - A well-known analyst has reduced his year-end price target for Bitcoin (BTC) from $185,000 to $120,000, citing evolving cyclical dynamics despite a strong structural investment case [1][2] Analyst Insights - Alex Thorn from Galaxy Digital highlights factors such as whale distribution, declining interest in BTC-related investments, and competition from gold, AI, and stablecoins as headwinds affecting Bitcoin's price [2] - Charlie Morris from ByteTree expresses cautious optimism, noting that the $100,000 level could serve as a significant support level, although he warns against over-reliance on it [3] - Geoffrey Kendrick from Standard Chartered sees potential in Bitcoin's volatility and suggests a phased dip-buying strategy based on price movements [4] Market Movements - Bitcoin experienced a modest recovery, bouncing back above $103,000 after a significant selloff that saw prices dip below $99,000 for the first time since June [5] - Ethereum's ether (ETH) rebounded nearly 10% from its low, trading at $3,340, although it remains down 6% over a 24-hour period [5] - Altcoins like Hyperliquid (HYPE) and Zcash (ZEC) led the recovery with gains of 6% and 10%, respectively [6] - Crypto-related equities showed slight gains, with Coinbase (COIN) up 1.9% and MicroStrategy (MSTR) up 1.4% [6]

Market Overview - Crypto markets experienced a modest bounce with Bitcoin (BTC) rising above $110,000 and Ethereum's ether (ETH) gaining 3.8% to surpass $4,000, while Dogecoin (DOGE) and Solana (SOL) also saw increases of 3.4% and 2.5% respectively [1] - The recent inflation data aligned with forecasts, with the Personal Consumption Expenditures (PCE) index increasing by 2.7% year-over-year in August, and core PCE rising by 2.9% [1][2] Investor Sentiment - The Fear & Greed Index dropped to 28, indicating a state of "fear" among traders, reflecting recent volatility and a significant liquidation of leveraged long positions amounting to $1.1 billion [3][4] - Approximately $3 billion of leveraged longs have been liquidated recently, leading to an extreme bearish positioning in popular tokens like BTC, SOL, and DOGE, which now show a long-to-short ratio of one-to-nine [4] Market Predictions - If inflation trends lower, risk assets may gain support from confidence in the Federal Reserve's easing cycle, but any unexpected positive data could delay short-term rate cuts, negatively impacting equities and strengthening the U.S. dollar [3] - Some analysts express a cautious outlook, suggesting the market may drift lower before stabilizing, with BTC dipping below its 100-day moving average and the total crypto market cap falling under $4 trillion [5][6]