Bitcoin Crashes To $105K As ETFs Record Net Outflows, Cardano Falls Below Critical Support

The crypto market is experiencing yet another major breakdown this week, with the Bitcoin price crashing to the support level of $105k. Along with the massive price drop, U.S. spot Bitcoin ETFs recorded a record $536.4 million in outflows on October 16. 

The predominant price action in the market has also hit Cardano (ADA) strongly. Losing 25% of its value over the last seven days, the price of Cardano has dropped below a crucial support level at $0.66. Now trading around $0.600, Cardano is at a critical level that could spark a massive sell-off if bulls don’t act. 

Bitcoin (BTC) Crashes To $105k, ETFs Outflows Skyrocket: Where Would Bitcoin Go Next?

In the ‘Black Friday‘ event last week, the Bitcoin price plunged from $124,000 to $109,000 in hours. However, Bitcoin managed to recover to $116,000 this week. The recovery didn’t last long, as the Bitcoin price has tumbled yet again, this time falling beneath the support level of $105,000.

Bitcoin is down 14.1% on the weekly timeframe and could drop even further to the critical $100k support level. Because of the latest price dip, there has been a surge in liquidations. Bitcoin leads the crypto market, with over $414.6 million liquidated in the last 24 hours, per CoinGlass.

The 11 spot Bitcoin (BTC) ETFs in the United States registered their biggest outflows since August at $536.4 million, data from SoSoValue shows. The rise in outflows for consecutive days suggests that investors are booking profits, or some institutions are reducing their exposure to BTC.

With most metrics bearish, the technical indicators of Bitcoin are just as bearish. To prevent a significant price crash, the Bitcoin price will be forced to protect the support level of $100,000. In the event that Bitcoin recovers on this support, the $110,000 resistance might be retested. If BTC bulls fail to defend this support an additional 5% drop to $95,000 could happen.

Cardano (ADA) Plunges Under Critical Support Level

In the recent market crash, Cardano (ADA) has suffered one of the biggest losses. On the weekly timeframe, the price of Cardano has tumbled by more than 25%. Because of the market crash, ADA has lost support levels at $0.660 and $0.600.

With the Cardano price flirting with the $0.600 support level, the next few days will be crucial for the recovery of ADA. If this support gives way, the next support level is around $0.58–$0.56. Before ADA regains its bullish footing, it first needs to reclaim support levels $0.600 and $0.64.

If that doesn’t happen, the Cardano price drop could likely continue. The crypto analyst, CryptostarExpert, shares a different sentiment. The analyst explains that ADA is forming a descending triangle pattern on the 1W timeframe. 

According to this price movement, the critical level of support is between $0.5200 and $0.5600. Should the Cardano price rebound on this support level, it will possibly trigger a run-up that will push ADA price back to $1.25.

In Summary

After recording massive uptrends for most of the year, the crypto market is now suffering sharp pullbacks. Although it does not indicate that the bear market has begun, Bitcoin and Cardano are near the critical support levels, which makes investors worried.