Bitcoin hovered near the $115,000 mark on Monday, showing relative resilience despite mounting macroeconomic headwinds and persistent regulatory uncertainty in the United States. The world’s largest cryptocurrency eased just 0.2% in the past 24 hours, finding support at the $115K zone after briefly testing intraday lows near $114,400. Ethereum also followed suit, slipping by 0.4% to trade around the $4,232–$4,244 range. Market watchers said prices are consolidating ahead of expected volatility later this quarter, driven by central bank signals and pending regulatory decisions.
At a broader level, the global cryptocurrency market capitalisation dipped slightly to approximately $3.87 trillion, according to CoinMarketCap data, reflecting a mild pullback from last week’s high of $3.93 trillion. Traders attributed the pause to a mix of profit-booking and anxiety over the U.S. Federal Reserve’s rate trajectory. OKB, the native token of the OKX exchange, bucked the trend to emerge as the day’s top performer—rallying nearly 11% over the last 24 hours. Its gains were supported by increased platform activity and a sharp rise in derivatives volume.
Bitcoin’s technical indicators continue to show key resistance levels in the $116.5K–$119K zone, while support remains firm at $115K and lower bands near $112K. Analysts flagged $121K and $123K as potential inflection points for any breakout, should institutional flows return. Ethereum is also approaching a critical ceiling near $4.7K—a zone that historically triggers heavy sell orders. Some analysts warned that the lack of momentum in recent sessions could open room for downside moves if macro sentiment deteriorates further.
The altcoin landscape reflected mixed momentum. Besides OKB, other gainers included tokens from layer-1 ecosystems, but the broader altcoin basket remained under pressure. XRP, Solana, Dogecoin, and Litecoin traded marginally lower, while meme coins saw reduced volumes following last week’s retail-driven rally. Analysts said investors are becoming more selective, rotating into high-liquidity names as volatility picks up.
Adding to the caution, the crypto derivatives market witnessed a sharp rise in forced liquidations. Over $446 million in long positions were wiped out in the past 24 hours alone. This liquidation wave followed a $3,000 drop in Bitcoin prices and a near $300 pullback in Ethereum within a short window during Asia trading hours. Reports from Blockchain News confirmed that DeFi liquidations crossed $1 billion, as over-leveraged traders scrambled to cover margins. With Bitcoin failing to hold above the $118K mark and Ethereum falling from $4.5K, major liquidation clusters were triggered on exchanges like Binance, OKX, and Deribit.
One striking risk lies at the $124K level, where roughly $6 billion worth of BTC shorts could be squeezed if the price pushes higher, potentially creating a volatility surge. For now, funding rates on perpetual futures contracts for Bitcoin have turned slightly negative, especially on Deribit and Bybit, indicating a bearish tilt in trader positioning. According to crypto analyst group QCP Capital, the last time funding dipped into negative territory, BTC dropped from $117.8K to $112K within two sessions—a pattern they advise watching closely.
Amidst technical headwinds, macroeconomic signals have further complicated the outlook. Investors remain on edge as the U.S. Federal Reserve continues to send mixed signals regarding interest rate direction. Last week’s weaker-than-expected wholesale inflation print briefly lifted sentiment, but Fed officials have since reaffirmed a cautious approach to monetary easing. Analysts now expect a policy pause in September but no clear guidance on cuts until the December meeting. Jerome Powell’s upcoming speech at Jackson Hole later this month is being viewed as a key catalyst for risk assets, including cryptocurrencies.
Regulatory uncertainty is also weighing on sentiment. The U.S. Securities and Exchange Commission (SEC) postponed its decisions on several prominent crypto exchange-traded fund (ETF) proposals. The Truth Social Bitcoin and Ethereum ETF is now scheduled for a ruling on October 8, while the proposed Solana spot ETF from 21Shares and Bitwise was pushed to October 16. Meanwhile, multiple XRP ETF applications have been extended to October 19. The delays have not come as a surprise to industry insiders, who noted that such procedural extensions are common in SEC review cycles. However, the lack of affirmative movement continues to dampen hopes for near-term institutional adoption. James Seyffart, ETF analyst at Bloomberg, commented that approval odds remain “relatively high” for at least one altcoin product in the next six to nine months, but the exact timing is hard to predict.
While the U.S. dominates regulatory headlines, Indian crypto investors are also grappling with an evolving domestic framework. No major new announcements emerged this week, but market participants remain wary of further tax clarity and regulatory enforcement. India’s Ministry of Finance had earlier signalled tighter oversight on offshore exchanges and decentralised platforms. As a result, several Indian investors are reportedly shifting to self-custody wallets and adopting more compliant trading strategies on registered platforms. However, until there is greater legal clarity and exchange licensing, large-scale institutional flows in the Indian crypto space remain unlikely.
Analysts and institutional desks continue to strike a neutral tone. “The crypto market is in a holding pattern. You’ve got heavy liquidation pressure, mixed macro signals, and regulatory bottlenecks all at once,” said a trading strategist at a Singapore-based hedge fund. Another view from a DeFi analytics platform noted that “we’re likely in a consolidation phase before the next big directional move—likely triggered by either Fed dovishness or an ETF approval surprise.” A few technical traders on X (formerly Twitter) have flagged Bitcoin’s 200-day exponential moving average as a critical gauge. If BTC holds above that line—currently near $114,800—it could build base support for a rebound. Conversely, a drop below $112K could accelerate downside momentum and trigger further liquidations.
Market veterans are also monitoring sentiment indicators such as the Crypto Fear & Greed Index, which remains in “Neutral” territory despite the recent pullback. Daily volumes have dipped around 7% in the last 48 hours, indicating a wait-and-watch mode among retail and institutional players alike. Funding rate reversals, decreasing open interest, and a subdued options market suggest traders are in defensive mode. The general mood is cautious—though not capitulatory.
The outlook from here hinges on three main drivers. First, clarity from the U.S. Fed on rate guidance could re-price risk assets significantly. Second, the SEC’s final rulings on ETF applications—especially for altcoins like Solana and XRP—will shape near-term flows. And third, any large-scale on-chain activity from Bitcoin whales or stablecoin supply shifts could offer early signals on institutional appetite. For now, support levels at $115K and resistance around $121K for Bitcoin remain the key levels to watch in the coming sessions.
In sum, the crypto market appears to be in a temporary state of limbo. While prices are holding within familiar ranges and high-beta tokens like OKB are showing flashes of strength, the broader narrative remains subdued. Until macroeconomic direction and regulatory clarity improve, traders are likely to remain on the sidelines, seeking confirmation before committing further capital. Any moves above $123K for BTC or $4.5K for ETH could shift momentum, but absent a catalyst, markets may remain range-bound.
Disclaimer: This article is for informational purposes only and should not be considered investment advice. Investors are advised to do their own research or consult financial professionals before making any decisions in the cryptocurrency market.
