Data from Cointelegraph Markets Pro and TradingView showed BTC/USD nearing $20,600 at the time of writing — a three-day low.

Fluctuations around the mid-terms and the Consumer Price Index (CPI) for October were expected later in the week.

An additional hurdle in the form of controversy over the FTX trading platform added to the cold feet of the market, with commentators worried about unnecessary damage to growth.

“This whole thing is very bad for the industry, especially retail,” summed up the famous trader and analyst Pinocchi.

“Fragmentation is what pays for it when war breaks out. But it can also end up with unintended consequences. It is sad to see.”
Bitcoin had headed south overnight amid comments from Changpeng Zhao, CEO of the world’s largest exchange Binance, in which he confirmed that the exchange would dump its in-house cryptocurrency, the FTX Token.

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William Clemente, co-founder of crypto research firm Reflexivity, has offered a silver lining in the form of increasing value for decentralized exchanges (DEXs) going forward.

“Similar to how mismanaged risk from central cryptocurrency lenders earlier this year, the bullish case for DeFi also illustrates the bullish case for DEXs,” he wrote on Twitter, referring to the Terra debacle and associated fallout.

A look at the top 10 cryptocurrencies by market capitalization showed mixed performance on the day, with larger losses over the 24 hours for Solana.

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, down 12.4%.

Returning to Bitcoin, Crypto trader Il Capo has been holding close to the current $21,500 theoretically suggesting an upcoming local top, which will be followed by a sharper downside.

21500 and Nuke. Do it,” he wrote the other day.

This theory included an overall drop target of $14,000, in stark contrast to other forecasts, which called for $30,000 within weeks.

Analyst: DXY is “the key to everything”
Meanwhile, the S&P 500 and the Nasdaq Composite Index did not move before the midterm.

Related: Financing Rates Hit a 6-Month High Ahead of CPI – 5 Things to Know in Bitcoin This Week

The US Dollar Index (DXY) has been busy trying to push back last week’s losses, and is circling around 110.5 at the time of writing, unable to find bullish momentum.

A meticulous researcher into macro markets, Raoul Pal, founder and CEO of Global Macro Investor, calls the dollar’s weakness “the key to everything right now.”

The research added: “We’re not entirely convinced we can’t make a final push up towards 117 but we are getting close to the top.”