Bitcoin experienced a significant 5% weekly decline, marking its steepest drop since March, as bullish positions unwound below the $110,000 threshold. This correction reflects broader market volatility and shifting investor sentiment amid macroeconomic uncertainties. However, historical data indicates October has traditionally been a strong month for cryptocurrency performance, with seasonal trends often favoring renewed bullish momentum.
Market analysts note that despite short-term pressure, long-term Bitcoin holders continue demonstrating remarkable stability in their positions. On-chain metrics reveal minimal movement from wallets holding assets for over six months, suggesting underlying confidence in Bitcoin’s fundamental value proposition. The current pullback appears driven primarily by leveraged derivative liquidations rather than organic selling pressure from core investors.
Technical analysis shows key support levels holding above critical psychological thresholds, while trading volume patterns indicate accumulation during price dips. Market participants are closely monitoring institutional flows and regulatory developments that could catalyze October’s potential risk-on resurgence. The convergence of historical seasonality, holder behavior metrics, and technical support formations presents a compelling case for cautious optimism heading into the fourth quarter.
