Bitcoin Market on October 30: After the Long-Short Stranglehold, Is the $110,000 Mark a Lifeline?

Having just experienced a "double kill" of long and short positions, Bitcoin stands at a critical crossroads on October 30—at one point, it fell below the $110,000 threshold, with a short-term decline exceeding $3,500. The number of liquidations across the network surged to 133,600 people within 24 hours, with a total liquidation amount reaching $588 million, and the largest single liquidation value was $11 million. This violent fluctuation is certainly not coincidental, as the core logic of long and short battles has quietly changed.

Technical Aspect: Support Battle Under the Shadow of M Top

Currently, Bitcoin is trapped in a narrow trading range of $110,000 to $113,000, with technical signals showing significant divergence. The 1-hour candlestick chart indicates that after reaching a high of $113,600, the price quickly retreated, forming a potential M top pattern with previous highs, and has fallen below the short-term moving average. The MACD indicator has developed a death cross at a high position, and the green momentum bars continue to extend, signaling a clear short-term adjustment.

The effectiveness of key levels is being tested:

• Core support level: The $110,000 threshold is the current psychological defense line, with $108,500 below serving as strong technical support. If this level is breached, it may further test $105,000;

• Short-term resistance level: $112,300 has become the first hurdle for a rebound. Only by stabilizing at this position can the assault on the key level of $113,000 be restarted.

It’s worth noting that a large amount of long liquidation liquidity still gathers below the current price. If short selling continues, it may trigger further declines to hunt these positions.

Capital and Sentiment: Key Signals Following the Cooling of Frenzy

Market sentiment has quickly retreated from high levels, with the fear and greed index dropping to 60, reflecting a rational return of speculative sentiment after the double kill of long and short. However, the capital flow shows characteristics of "short-term exits and long-term stays": a net outflow of $1.59 million in a single day, while weekly and monthly capital still maintains net inflows, indicating that long-term investors have not exited the market. This adjustment seems more like a healthy de-leveraging.

Support from institutional levels is still strengthening: Public companies and ETFs have accounted for 28.5% of Bitcoin circulation, becoming the market's "ballast". Since October, U.S. Bitcoin spot ETFs have attracted a large influx of capital, with a net inflow of $870 million on just October 29, marking the third-highest in history. This continuous entry of institutional funds provides underlying support for the market.

Remember to fill in the 🐎 permanent reverse leverage when trading spot contracts.