- Bitcoin fell to $81,668 as $635.6 million in spot ETF outflows, market liquidations, and rising oil prices increased selling pressure.
- Ethereum and XRP also declined, with traders watching the $80,000 Bitcoin support level and next week’s Federal Reserve decision.
Bitcoin price fell to $81,668 on Friday, October 23, as investors withdrew $635.6 million from U.S. spot Bitcoin ETFs. Ethereum and XRP also declined, while $418 million in long liquidations, falling technology stocks and rising oil prices added pressure to the crypto market.
Bitcoin Price Slips Below $82,000 as Selling Pressure Builds
Bitcoin (BTC) traded near $81,668, down 0.7% over 24 hours, after failing to extend its recent recovery toward $84,333. BTC moved between $80,989 and $82,265 during the period, leaving it close to the $80,000 level that traders are watching closely.
The latest decline follows a failed attempt to break above $85,000 on October 21. Bitcoin has struggled to regain higher levels as investors reduce exposure to riskier assets ahead of next week’s Federal Reserve policy decision.
The broader crypto market also weakened. Total cryptocurrency market capitalization fell 0.7% to $2.839 trillion, while 24-hour trading volume reached $75.7 billion. Bitcoin dominance stood at 57.8%, indicating that BTC continued to account for the largest share of the market.
Market sentiment remained neutral, with the Crypto Fear & Greed Index at 47. However, renewed selling pressure could weaken confidence if Bitcoin fails to hold its current support levels.
Ethereum and XRP Prices Fall as Major Cryptocurrencies Turn Lower
Ethereum (ETH) dropped 1.0% to $2,401.69, extending its losses over the past seven days to 1.6%. The price moved between $2,372.55 and $2,430.24, putting $2,372 among the key levels to watch in the near term.
XRP also declined, falling 0.9% to $1.33 as selling spread across major cryptocurrencies. Solana (SOL) held relatively steady at $104.48, while BNB gained 0.9% to $743.66.
Zcash (ZEC) recorded the steepest decline among the top 10 cryptocurrencies, losing 2.7% to trade at $1,229.84. Its drop highlighted the uneven performance across the market as investors reassessed their exposure to digital assets.
The mixed price action suggests that not every major cryptocurrency is facing the same level of selling pressure. However, declines in Bitcoin and Ethereum remain significant because of their influence on overall market performance.
$635.6 Million in Bitcoin ETF Outflows Weigh on Prices
U.S. spot Bitcoin ETFs recorded $635.6 million in net outflows on October 22, ending three consecutive sessions of inflows that had brought in approximately $1.07 billion.
The reversal raised concerns about institutional demand at a time when Bitcoin was struggling to maintain its recovery. BlackRock’s iShares Bitcoin Trust recorded the largest outflow at $254.1 million, followed by Fidelity’s Wise Origin Bitcoin Fund with $217.5 million. ARK 21Shares Bitcoin ETF saw another $109.4 million leave the fund.
The withdrawals followed a strong period of buying that included $665.2 million in inflows into BlackRock’s Bitcoin ETF on October 19.
The latest figures show how quickly investor flows can change. Continued outflows could make it harder for Bitcoin to recover toward $85,000, particularly if broader financial markets remain under pressure. A return to sustained inflows, on the other hand, could help support a recovery.
Tech Stock Losses and $418 Million in Liquidations Add Pressure
The crypto sell-off also followed a sharp decline in U.S. technology stocks. The Nasdaq Composite fell 2.6% on October 22 as investors sold technology and chip stocks.
Renewed tensions between the United States and Iran added to market uncertainty. These developments weakened risk appetite and contributed to selling across assets that tend to react to changes in investor confidence.
Crypto derivatives trading added another layer of pressure. Approximately $458 million in leveraged positions were liquidated over 24 hours, including about $418 million in long positions held by traders betting on higher prices. Long liquidations accounted for 91.2% of the total.
When prices fall sharply, exchanges can automatically close leveraged positions once traders no longer have enough collateral. These forced sales can accelerate declines and push prices lower in a short period.
Oil prices also remained elevated. Brent crude settled at $111.77 per barrel on October 22, gaining 2.71% during the session. Persistently high energy prices can increase inflation concerns and reduce expectations of interest-rate cuts, creating another potential headwind for cryptocurrencies.
Bitcoin Price Prediction: Can BTC Hold $80,000?
Bitcoin’s immediate support sits near $81,000, close to its recent 24-hour low of $80,989. If selling continues and BTC falls below this area, the next major level to watch is $80,000.
That threshold carries additional significance for corporate Bitcoin holders. Estimates suggest that $80,000 is close to the average cost basis of corporate Bitcoin holdings. A sustained break below this level could leave some companies holding BTC at an unrealized loss, potentially affecting future buying decisions.
However, a move below $80,000 would not automatically trigger further losses. Market conditions, investor demand and the strength of buying interest at lower prices would help determine Bitcoin’s next direction.
On the upside, Bitcoin needs to reclaim $82,265, its recent 24-hour high, before attempting another move toward $85,000. A break above that resistance could improve the short-term outlook, although continued ETF outflows may limit the recovery.
Ethereum faces immediate support near $2,372, while $2,500 remains a key resistance level. A break below support could extend ETH’s recent weakness, whereas a recovery above resistance would indicate stronger buying interest.
Federal Reserve Decision Could Set the Next Market Direction
Investors are now looking ahead to the Federal Open Market Committee meeting scheduled for October 27–28. The Federal Reserve’s policy statement is due on October 28 at 2:00 p.m. Eastern Time.
The decision could influence expectations for borrowing costs and the broader outlook for risk assets. A more restrictive policy outlook could weigh on cryptocurrencies, while signals supporting easier financial conditions may improve investor confidence.
Until then, Bitcoin ETF flows, U.S. stock performance and oil prices are likely to remain important market drivers.
For now, Bitcoin’s ability to defend the $80,000–$81,000 area will be closely watched. Continued institutional outflows and further liquidations could deepen the decline, while renewed demand may help BTC stabilize and give Ethereum and XRP room to recover.
ALSO READ: JPMorgan Launches JPM Coin on Ethereum With No Retail Access
DISCLAIMER:
This article reflects the author’s views and is provided for informational purposes only. While we strive for accuracy, the publisher does not guarantee that all information is complete or current. Readers should verify important information and consult appropriate sources before making decisions based on this content.