The total cryptocurrency market capitalization sits at $2.84 trillion, marking a 0.07% increase from the previous day’s close and sitting 1.16% above yesterday’s low.
Yesterday, the market dropped 4.73% from its peak to its trough after strong US economic figures caused bond yields to rise.
1. Leveraged Longs Were Flushed Out
According to CoinGlass data, speculators betting on higher prices accumulated $454.11 million in liquidations over a 24-hour period, compared to $70.56 million for short sellers.
The trend reversed over the last hour. Short sellers took $10.38 million in losses against just $0.77 million for long positions. Because squeezed short sellers are forced to buy back assets, the market has managed to stay slightly in the green.
- 24-hour longs: $454 million, amounting to 6.4 times the short liquidations
- Traders hit: approximately 121,400 wiped out in a single day
- Last hour: $10.38 million in short liquidations, helping keep valuations afloat
2. Hot US Data Lifted Yields as Fund Buying Slowed
S&P Global published its flash business survey on September 23, showing an increase to 58.4 for September compared to August’s 56.0. This indicates the quickest growth rate since July 2021, alongside the steepest cost acceleration seen in four years. Following the release, Bitcoin dropped below $84,000 in roughly an hour.
Bond yields climbed in tandem. On September 23, the 10-year Treasury yield finished at 5.11%, rising from 4.96% on September 22. Meanwhile, the two-year yield reached 4.85%, marking a new peak for September. Elevated yields enhance the appeal of safe-haven returns over speculative assets like digital currencies.
Spot Bitcoin ETFs attracted $346.98 million on September 23, marking their fifth consecutive day of net inflows. However, this figure is roughly one-third of the $998.95 million that drove the breakout on September 21.
After being rejected at the $2.95 trillion mark, the market currently changes hands just below $2.85 trillion. Reclaiming a daily close above $2.85 trillion will preserve the current recovery. Conversely, failing to hold this level opens the door to $2.79 trillion, followed by support levels at $2.74 trillion and $2.69 trillion.
- Business survey: 58.4 in September, marking the fastest expansion since July 2021
- 10-year yield: 5.11% on September 23, up from 4.96% previously
- ETF inflows: $347 million, totaling roughly one-third of September 21’s total
Coin Spotlight: Bitway (BTW)
Over a 24-hour period, Bitway (BTW) advanced roughly 16% to surpass $1.07, bringing its 30-day gains to 136%.
The asset has traveled inside an upward-sloping channel since August 8, initiating a new leg upward on September 19. Trading volume has declined since mid-August—a weakness previously highlighted by BeInCrypto during the September 15 breakout volume—indicating that the price action relies more on hype than organic demand.
- Move: up about 16% in one day, and 136% over the past month
- Breakout trigger: a daily close past $1.13, situated right above the channel’s upper boundary, which could clear a path toward $1.40
- Floors: $1.04, followed by $0.97 roughly 9% lower, and then the channel’s midline near $0.87
Analyst’s View: The recent price rebound is largely supported by short seller liquidations. If ETF inflows continue to taper off while the 10-year Treasury yield remains above 5%, pushing back above $2.85 trillion will prove increasingly difficult, leaving $2.79 trillion as the next likely target.
Frequently Asked Questions
Why did the crypto market experience a sharp drop recently?
The market fell 4.73% from its high to its low after hot US economic data—specifically S&P Global’s flash business survey—lifted bond yields and increased expectations for another Federal Reserve rate hike.
How much did leveraged traders lose during the recent market fluctuation?
Traders betting on higher prices (longs) lost $454.11 million over a 24-hour period, whereas short sellers lost $70.56 million, according to CoinGlass.
What are the key technical levels to watch for the total crypto market cap?
A daily close above $2.85 trillion keeps the ongoing rebound intact. If the market fails to hold this level, downside targets include $2.79 trillion, $2.74 trillion, and $2.69 trillion.
How have Spot Bitcoin ETFs performed recently?
Spot Bitcoin ETFs recorded $346.98 million in inflows on September 23, marking their fifth straight day of inflows, though this is about one-third of the $998.95 million brought in during the September 21 breakout.
What is driving Bitway’s (BTW) recent price movement?
Bitway rose roughly 16% in 24 hours to trade above $1.07, pushing its 30-day gains to 136%. Analysts note that the asset has moved inside a rising channel since August 8, though declining volume suggests the surge is driven more by hype than fresh demand.
