Bitcoin and Ethereum extended their declines on November 17, reflecting a growing risk-off sentiment in global financial markets. Bitcoin was trading around US$94,860, while Ethereum hovered near US$3,140, signaling heightened caution among investors in the wake of fading hopes for rapid interest rate cuts. Renewed scrutiny over central bank policy has led market participants to retreat from high-volatility assets, intensifying pressure on the crypto space.
Outflows from spot ETFs linked to both Bitcoin and Ethereum are further amplifying market stress. Reduced liquidity and waning institutional support are weighing on prices, underscoring how deeply interconnected crypto markets have become with broader financial sentiment. Ethereum is also contending with strains in the derivatives market, where short positions are building and funding rates have turned negative. Despite this, key on-chain support levels suggest some resilience among long-term holders, hinting that the cryptocurrency may avoid a more severe slide if these levels hold.
Technically, Ethereum faces a crucial test at the US$3,950-US$4,100 band; a failure to reclaim this range could prolong downward momentum, while a drop below US$3,713 might trigger deeper losses. Bitcoin, meanwhile, remains tightly linked to macroeconomic headlines, with its trajectory highly sensitive to central bank communications and market sentiment shifts.
Market observers are closely monitoring central bank signals, ETF flows, derivatives positioning, and on-chain trends to gauge whether the current dip will deepen or stabilize. From an expert perspective, the situation highlights the persistent vulnerability of crypto assets to global financial conditions, despite ongoing structural growth in blockchain networks and institutional adoption.
Looking ahead, traders and long-term investors are likely to focus on macro developments and liquidity flows to determine market direction. While volatility remains elevated, these conditions may also present strategic entry points for those assessing crypto’s longer-term potential. Bitcoin and Ethereum’s current trajectory underscores the ongoing interplay between monetary policy, investor psychology, and the evolving maturity of the digital asset ecosystem.
