The leading cryptocurrency by market value, Bitcoin, reversed its Asian session advances this Monday. The Bitcoin price today fell below the support level of 88,000 dollars, after briefly surpassing the 90,000 dollar mark. According to CoinDesk data, this fall negatively impacted the major altcoins in the ecosystem, such as Ether and Solana.
The correction of the digital asset coincides with a retreat in Nasdaq 100 index futures. Consequently, the positive correlation between cryptocurrencies and tech stocks has become more pronounced during the last trading hours. This movement has caused the CoinDesk 20 index to return to initial levels after a failed rebound attempt.
On the other hand, volatility has led traders to significantly reduce their leveraged positions. Global open interest in Bitcoin futures decreased from 540,000 to approximately 533,000 BTC. Therefore, cautionary sentiment prevails among investors looking to protect their capital. Likewise, selling pressure in U.S. hours persists due to year-end tax harvesting flows.
Adjustments in the derivatives market and institutional investment projections
Analysts at Laser Digital suggest that underperformance during the U.S. timezone is cyclical. In this way, selling for year-end tax benefits is pressing the prices downward currently. On the other hand, the weakness of Wall Street futures adds an extra layer of uncertainty for short-term holders.
Is this the ideal moment to accumulate assets before a new rise?
Despite the immediate drop, experts like John Glover from Ledn maintain a bullish outlook. The specialist notes that the market could trade sideways or lower during the coming weeks or months. However, he suggests that levels between $71,000 and $84,000 represent attractive buying zones for long-term positions in this environment.
Projections indicate that the asset follows a promising technical structure to reach new all-time highs. However, macroeconomic uncertainty could prolong the current correction of the market during the close of 2025. In this way, investors should closely monitor the opening of traditional markets. Therefore, the success of the bulls will depend on the stability of global stock indices.
