Bitcoin, Ether Correction Deepens as Macro Shock Exposes a Tired Rally

TL;DR: Bitcoin and Ether fell sharply after months of fading momentum collided with a surge in oil prices and Treasury yields near 5.35%—triggering $484.9m in single-day ETF redemptions and nearly $974m in liquidations, with Bitcoin’s next key support at 75,026–76,040 and Ether already testing its 55-day EMA near 2,480.

Why This Matters

Bitcoin and Ether are entering a more developed corrective phase after their September rallies stalled below 87,354.33 and 2,805.98 respectively. Both cryptocurrencies failed twice to extend their advances, while daily momentum had already begun deteriorating before the latest risk-off move. Bearish MACD divergence developed as prices tested their highs, rising trendlines subsequently gave way, and the pace of spot Bitcoin ETF inflows slowed even while prices struggled to make further progress.

That sequence matters. The latest selloff was not created by one macro headline or by ETF redemptions alone. The rally had already become vulnerable as momentum faded and marginal ETF demand weakened. Higher oil prices, elevated Treasury yields and renewed concerns around AI-related financing then provided the catalyst for investors to reduce risk, while subsequent ETF withdrawals and leveraged liquidations amplified the decline.