Crypto Weekly: ZEC Plunges as Bitcoin and Ether Hold Key Support Levels

Key Takeaways

• Bitcoin gained 1% to reach $85,500 by Oct. 4, helping crypto market capitalization recover to $2.99 trillion.
• Altcoins saw mixed momentum as ether added 0.4% to hit $2,700, while quant surged 39% and zcash plummeted 17%.
• Traders are monitoring early “Uptober” macro signals to gauge if top digital assets can sustain Q4 gains.

Crypto Market Rebounds After Macro-Driven Dip

The cryptocurrency market ended a volatile week nearly flat, recovering from a Sept. 29 slump that erased $50 billion in value before a late-week rally driven by “Uptober” sentiment. The initial downturn, which briefly knocked aggregate market capitalization down to $2.95 trillion, coincided with surging oil prices and rising Treasury yields.

Bitcoin led the broader market’s wild swings, closing September up 7% and narrowing its year-to-date losses to 4%. After dipping below $83,000 on Monday, the asset held above that support level until Wednesday, when a brief spike to $85,300 quickly surrendered its gains.

The start of October offered a glimpse into how bitcoin might perform in a month known historically for strong returns. Market data showed bitcoin surging to $87,217 on Oct. 2, matching levels not seen since Sept. 23. However, the top cryptocurrency quickly surrendered those gains, sliding to $84,250, just below its weekly open of $84,720. A weekend rebound pushed bitcoin’s price up over $1,200 to close at $85,500, securing a modest weekly gain of nearly 1% and carrying its market cap just past $1.7 trillion.