Bitcoin and Ethereum retreated sharply on Nov 4 as profit-taking, risk-off sentiment and forced liquidations weighed on the broader cryptocurrency market.
At the time of writing, Bitcoin was trading at US$99,030, down sharply from recent highs, while Ethereum slipped to US$3,184 amid renewed market caution.
Dealers said the pullback came after a strong rally last week, with investors locking in gains ahead of key macroeconomic events and central bank speeches that could influence global interest rate expectations.
Data from derivatives exchanges showed a wave of long-position liquidations in both Bitcoin and Ethereum futures, amplifying the decline as leveraged traders exited their positions.
As Bitcoin briefly dipped below US$99,000, testing a key psychological support level, while Ethereum hovered just above the US$3,100 mark, analysts said a sustained break below these levels could trigger further downside pressure in the near term.
Despite the correction, market participants remain upbeat on the longer-term outlook for the two largest cryptocurrencies, citing growing institutional interest and steady on-chain activity.
