Bitcoin and Ethereum Rebound Through a Shaky Relief Move After the Hack

Bitcoin and Ethereum Rebound Through a Shaky Relief Move After the Hack

The top 2 coin reports tell a connected story. Bitcoin rose 1.16% to $78,293.83 in 24 hours while Ethereum rose 1.22% to $2,279.47. The broader crypto market gained 0.75%. That surface looks like a clean recovery. My view is less comfortable. The Bitcoin bounce looks mechanical and brittle. The Ethereum bounce looks like a beta trade that depends on Bitcoin and macro conditions. This is a relief advance, not proof that the October bearish trend has ended.

Bitcoin’s primary driver was a short squeeze. Liquidations jumped 118% in 24 hours to $15.48 million, and shorts accounted for more than 60% of the total. That combination matters. Traders held over-leveraged short positions. Forced liquidations closed those bets and created buying pressure. Market mechanics fueled the gain more than fresh organic demand. That distinction sits at the center of my view. A short squeeze can produce a sharp move, but the forced buying can fade. The rise therefore carries weakness. Sustained high funding rates alongside rising open interest would signal renewed speculative excess, though the provided figures do not include those readings. What the figures do show is a move built on position unwinding.

The secondary driver was reassurance after Binance reopened withdrawals on November 1 following its $6.3 billion hack. That step eased immediate contagion fears. Bitcoin also bounced from oversold conditions. The 14-day RSI stood at 35.53, and price reacted from the $76,141 to $77,000 floor identified in news reports. Reduced panic and a natural technical reaction combined to lift price. Neither factor reverses the bearish trend established in October. I would call this a corrective bounce with a clear expiration risk.

The near-term Bitcoin map is simple but narrow. If the largest crypto asset holds above $76,141 support, it could test resistance at $79,107. A break below that floor could push Bitcoin toward $75,000. The key trigger is Binance’s detailed update due November 3. A reassuring document could help Bitcoin challenge $79,107. A negative update or a failure to reclaim that level risks a retest of $76,141. The market sits in a delicate balance, awaiting fundamental clarity. U.S. spot Bitcoin ETF flow figures on November 2 also matter because they can show whether institutional selling pressure has eased.

Ethereum’s report is thinner on coin-specific catalysts. ETH rose 1.22% to $2,279.47 and closely tracked Bitcoin’s 1.16% gain. The total crypto market cap rose 0.75%, which confirms a broad risk-on drift. Ethereum showed a strong 0.87 correlation with the S&P 500 over 7 days. That points to a macro-driven shift. The primary reason was a beta-driven recovery, with Bitcoin as markets stabilized after Binance pledged to cover losses and reopen withdrawals. The provided figures show no clear secondary driver for the specific 24-hour action. Earlier events gave a tailwind. Validators captured a $30 million windfall from hack-induced arbitrage, and hackers lost $119 million in rushed trades. Their direct impact on this precise timeframe remains unclear. So I treat Ethereum’s gain as a follow-through trade, not an independent signal.

Ethereum’s technical structure is cautiously constructive. ETH is testing resistance at the recent swing high near $2,300. The 7-day RSI at 60.58 suggests room for upward movement if buying pressure continues. If ETH holds above $2,250 support and breaks $2,300, it could target $2,400 to $2,450. A close below $2,250 risks a drop toward $2,200. The immediate trigger is U.S. ISM Manufacturing PMI data, which could shape macro sentiment. Monday’s U.S. spot Ethereum ETF flow figures on November 2 will also matter because they can show whether the recent outflow streak has stopped. Sustained Bitcoin strength above $78,000 would help maintain positive momentum for ETH. My view on Ethereum is cautiously bullish but conditional. The coin lacks a distinct recent catalyst in the figures, so it needs Bitcoin and macro cooperation to hold its rise.

The correlation readings add an important layer. Bitcoin showed an 87% correlation with the S&P 500 and an 80% correlation with Gold over 7 days. Ethereum showed a 0.87 correlation with the S&P 500 over 7 days. These numbers tell me crypto is trading as part of a shared macro shift. The reports don’t support a crypto-specific demand story. They support a story of broad risk sentiment and post-hack easing. That makes the upcoming macro prints and ETF flows more important than any individual coin headline.

My overall view is neutral-bearish on Bitcoin and cautiously bullish on Ethereum, with the caveat that Ethereum’s strength is borrowed. I would not chase the Bitcoin move until it reclaims and holds above $79,107. A failure there keeps $76,141 in play, and a break below opens $75,000. For Ethereum, I would want a decisive break above $2,300 on solid volume before targeting $2,400 to $2,450. A rejection sends price back to test $2,250, and a close below that level risks $2,200. The Binance update on November 3 and the November 2 ETF flow figures are the near-term tests. If the short squeeze fades and the Binance document disappoints, the advance lacks a durable base. If Bitcoin reclaims $79,107 and ETF flows improve, Ethereum can follow.

Until then, the market sits in a delicate balance, and I would treat the bounce as corrective rather than a reversal.

 

https://e27.co/bitcoin-and-ethereum-rebound-through-a-shaky-relief-move-20261102/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author. The latest book is Web4: The Age of Autonomous Intelligence.

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Does the US$1,780 support zone hold the key to a US$2,200 Ethereum rally

Does the US$1,780 support zone hold the key to a US$2,200 Ethereum rally

Ethereum developers are pursuing an aggressive technical roadmap to secure the blockchain against future computational threats while vastly improving transaction throughput. The primary objective is to achieve a processing capacity of 10,000 transactions per second. This massive scalability upgrade runs parallel to a comprehensive integration of quantum safety measures. Network architects recognise that the advancement of quantum computing poses a legitimate threat to current cryptographic standards.

Consequently, the development teams prioritise post-quantum cryptography to ensure long-term viability. This dual focus on speed and absolute security demonstrates a mature approach to the evolution of blockchain. The community understands that maintaining relevance requires continuous innovation rather than resting on past achievements.

By targeting such high transaction speeds, the protocol prepares itself for mainstream global adoption, where millions of users will demand instant settlements every single day. Engineers constantly refine the underlying code to eliminate bottlenecks and ensure seamless data transmission worldwide. This relentless pursuit of perfection guarantees that the infrastructure can handle immense future loads without compromising decentralisation.

To achieve these ambitious targets, the core teams actively explore alternative execution options that reach far beyond the traditional Ethereum Virtual Machine. This exploration represents a profound strategic shift in fundamental ecosystem design. Relying solely on legacy execution environments limits the ceiling for both security and scalability. Developers therefore investigate new virtual environments that process complex smart contracts with unprecedented efficiency. The blueprint specifically outlines the introduction of native rollups and the advancement of post-quantum scaling mechanisms by 2029.

Native rollups will integrate layer 2 scaling solutions directly into the base protocol. This integration eliminates the fragmentation that currently exists across various third-party scaling networks. Consolidating these technologies directly into the core protocol streamlines the user experience and fortifies the underlying security guarantees. These scheduled upgrades ensure the system remains robust against emerging technological paradigms over the coming decade. Architects envision a seamless future where complex applications run flawlessly without burdening the main layer with excessive computational overhead.

Despite these monumental technical strides, the digital token currently trades amid high volatility, reflecting broader financial uncertainties. Over the last 24 hours, the valuation declined by 2.6 per cent to settle at US$1.88k. Interestingly, this drop coincided with a massive surge in participation. Trading volume skyrocketed by +34.72 per cent to reach US$8.14b.

This divergence between cost and volume suggests intense activity where buyers and sellers aggressively contest the current valuation. Technical analysts note that the coin is defending a crucial range between US$1,720 and US$1,780. Holding this foundational level keeps the broader bullish recovery setup completely intact.

A decisive breakout above the US$1,875 resistance level would immediately strengthen upward momentum and open a clear path toward a US$2,200 target. Participants closely watch these specific technical levels to gauge future directional momentum and adjust their trading strategies accordingly. High volume during a slight dip often indicates strong underlying absorption by larger entities who quietly accumulate positions while retail traders panic and exit their trades.

Significant participants demonstrate immense conviction in the long-term value proposition despite short-term fluctuations. A prominent crypto whale operating under the wallet address 0x2d59 recently executed a massive accumulation. Just two hours ago, this entity purchased and immediately staked 50,000 tokens valued at approximately US$93.6 million. This substantial acquisition follows a previous purchase of 40,000 tokens worth US$76.66 million exactly one week prior. These sequential purchases total US$170 million.

The decision to lock these newly acquired assets into the consensus mechanism carries profound implications for circulating supply. Staking removes the tokens from liquid exchanges and strongly indicates that the buyer has no intention of selling in the near future. This massive reduction in available supply creates a solid foundation for future appreciation once broader financial conditions turn favourable.

Large buyers clearly look past temporary corrections and focus entirely on fundamental upgrades scheduled for the coming years. Their aggressive buying patterns provide a crucial layer of underlying support that stabilises the ecosystem during turbulent periods.

The current neutral action persists primarily due to macroeconomic factors influencing the entire digital asset ecosystem. The leading cryptocurrency recently entered a downward trend, and this broader correction is heavily impacting all altcoins. Buyers are currently seeking to restore bullish momentum, but they face strong headwinds stemming from this sentiment. Traditional financial products tracking this specific protocol currently struggle to capture the same enthusiasm evident in the broader crypto space.

Spot exchange-traded funds tracking the coin recently posted US$14.59 million in net redemptions across the entire category. This negative flow contrasts sharply with competing products that track the leading cryptocurrency and have successfully attracted consistent positive inflows over the past month. Since their initial launch in July, these specific funds have struggled to convert initial curiosity into long-term capital.

A major structural flaw severely hampers their value proposition. Holding the token through a regulated fund forces individuals to completely forgo the lucrative rewards that native holders easily earn. This missing yield becomes an increasingly severe drag on performance as on-chain reward rates steadily rise.

Individuals naturally prefer direct ownership when the alternative involves sacrificing a significant portion of their potential returns. The current regulatory environment prevents fund issuers from addressing this yield problem. The Securities and Exchange Commission firmly blocks the inclusion of staking returns within regulated investment vehicles. The only minor bright spot involves the Ethereum Mini Trust, which recently recorded an inflow of US$8.59 million. This relatively small inflow suggests that cost-conscious individuals currently test these waters rather than large institutional whales.

From my perspective, the protocol stands at a critical crossroads where technical brilliance clashes with the limitations of financial products. The developers successfully engineered a highly secure system capable of processing 10,000 transactions per second while preparing for quantum threats. True mass adoption requires both flawless underlying technology and accessible financial products that capture the full economic benefits.

Lawmakers must eventually recognise these locking mechanisms as essential functions rather than unregistered securities offerings to unlock true institutional participation. Bridging this gap between raw technological capability and accessible financial wrappers will define the next major growth phase.

 

 

Source: https://e27.co/does-the-us1780-support-zone-hold-the-key-to-a-us2200-ethereum-rally-20260812/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author. The latest book is Web4: The Age of Autonomous Intelligence.

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The market finally exhaled, Ethereum turned 11: The question is whether it can hold its breath again

The market finally exhaled, Ethereum turned 11: The question is whether it can hold its breath again

The crypto space climbed 1.1 per cent to US$2.21 trillion in the last 24 hours. What caught my eye first was where the demand concentrated. Layer 1 tokens led the charge, with the category gaining 1.45 per cent and outperforming the broader landscape. Ethereum and Solana dominated social media conversations, and the timing was no accident. Ethereum celebrated its 11th anniversary on the same day, and posts commemorating the mainnet launch generated a wave of bullish energy across trading communities.

This was not some manufactured hype cycle. People were genuinely reflecting on what Ethereum has built over more than a decade, and that reflective mood translated into real purchasing activity. Capital rotated into these core protocol assets in a way that signals a risk-on shift within crypto itself, not just a mindless beta play riding external momentum. I find that encouraging because it suggests participants are making deliberate allocation choices rather than simply chasing whatever ticks up first.

The supporting conditions around this advance also tell a compelling story. Bitcoin liquidations plunged 62 per cent over 24 hours to just US$22.55 million. Read that number again. When forced selling dries up to that degree, it removes a persistent ceiling that had previously capped attempts at prolonged upward movement.

Traders who might have been squeezed out of positions simply were not there to create that downward weight. The market had room to breathe, and it used that room effectively. A cleaner base with less leverage hanging over it gives any climb more legitimacy, and I believe we are watching exactly that unfold.

No honest assessment of this session can ignore the macro backdrop, because crypto did not advance in isolation. The correlation between digital assets and the S&P 500 hit 76 per cent over the past 24 hours, while the correlation with Gold reached 79 per cent. Those are high numbers, and they confirm this was a broad, macro-driven rotation rather than something unique to the blockchain world. Wall Street rebounded with force after a bruising stretch.

The Nasdaq jumped 2.8 per cent to snap a six-day losing streak. The S&P 500 climbed 1.7 per cent to 7,437.63. The Dow Jones Industrial Average surged 613.92 points, or 1.2 per cent, to close at 52,208.06. Microsoft alone skyrocketed 16 per cent after robust cloud and Azure results eased investor anxiety over artificial intelligence spending, adding a record US$450 billion in market value in one session.

Chip stocks followed suit, with Micron Technology soaring 18 per cent and Advanced Micro Devices climbing over 13 per cent. Across the Pacific, South Korea’s Kospi Index rocketed by up to 15 per cent in a historic intraday rebound powered by SK Hynix and Samsung Electronics, while Japan’s Nikkei 225 jumped over 5 per cent.

When traditional markets rally with that kind of determination, crypto benefits from the improved liquidity environment, and pretending otherwise would be intellectually dishonest. I view this correlation as a positive for now because it means digital assets are participating in a genuine global risk-on rotation rather than floating untethered from reality.

Looking ahead, the technical picture presents a clear test. The total market cap sits right at the US$2.21 trillion pivot point, and the immediate hurdle is the 23.6 per cent Fibonacci level at US$2.23 trillion, with a stronger barrier at the recent swing high of US$2.26 trillion.

If buyers can push through that zone, the advance gains real credibility. If they cannot, we likely return to the range-bound trading that has defined recent weeks. For Ethereum specifically, analysts point to US$1,975 as the key breakout level that could open a path toward US$2,300. I will be watching that threshold closely because a decisive reclaim there would confirm the anniversary-driven enthusiasm has legs beyond a single news cycle.

One event looms large over the next 24 hours and could inject significant volatility into the picture. Over US$10.5 billion in Bitcoin and Ethereum options expire on July 31. That is an enormous notional amount, and an expiry of this magnitude has historically created sharp price swings as market makers adjust their hedges and positions roll over.

The climb we witnessed could either accelerate through expiry as bullish positioning reinforces itself, or it could stall and reverse as profit-taking meets the mechanical selling that large expiries often generate. I lean toward the former given the reduced liquidation environment, but I would not bet the house on it.

My overall read is cautiously bullish, and I use the word cautiously deliberately. The ingredients for a lasting push higher are present. Narrative-driven demand in Layer 1 tokens gives the run a story and a reason to exist beyond pure speculation. The macro backdrop broadly supports risk assets.

Leverage has flushed out, leaving a healthier structure underneath. But translating one good day into a trend requires follow-through, and the US$2.23 trillion to US$2.26 trillion barrier will demand exactly that. Social mood can ignite a move, but only continued capital inflow can carry it through meaningful overhead supply.

All things considered, this session felt like the market exhaling after holding its breath for too long. The combination of Ethereum’s milestone, Solana’s continued relevance, a dramatic drop in forced selling, and a powerful global equity rebound created conditions where buyers finally had permission to step in. Whether they maintain that confidence through a massive options expiry and into next week remains the open question. But for now, the tape looks constructive, the narrative feels organic, and the macro winds are at our backs.

 

Source: https://e27.co/the-market-finally-exhaled-ethereum-turned-11-the-question-is-whether-it-can-hold-its-breath-again-20260731/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author. The latest book is Web4: The Age of Autonomous Intelligence.

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