October 22 Cryptocurrency Morning Report: Precious Metals Plunge, Funds Shift to Crypto! Bitcoin and Ethereum Surge and Then Fall Back, Where Are the Opportunities in the Market?

CN
3 hours ago

Tracking real-time hotspots in the cryptocurrency market and seizing the best trading opportunities. Today is Wednesday, October 22, 2025. I am Wang Yibo! Good morning to all crypto friends ☀️ Iron fans check-in 👍 Like to make big money 🍗🍗🌹🌹

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Yesterday's market was a tale of "ice and fire"! Gold and silver experienced the most severe sell-off in years on Tuesday, as investors worried that the previous historic price increases had pushed valuations too high, leading to profit-taking. The maximum daily drop in spot gold reached 6.3%, marking the worst performance since April 2013; U.S. stocks showed mixed results, with the Dow Jones rising 0.47%, the S&P 500 slightly up, and the Nasdaq down 0.16%, while precious metal stocks plummeted. In this market switch, the crypto market received a capital boost—last night Bitcoin surged significantly, peaking at 113,948 in the early morning, while Ethereum also climbed to 4,109. This is a direct signal of capital moving from the precious metals market to the crypto space!

It is worth noting that despite the recent overall volatility in the market, mainstream cryptocurrencies such as Bitcoin, Ethereum, SOL, XRP, DOGE, LTC, and those expected to have spot ETF approvals have shown strong resilience against declines, presenting a positive pattern of "gradually higher bottoms." In contrast, the contract market saw a repeat of the double explosion scenario, with many investors suffering losses due to improper position management. Follow Yibo to get real-time market updates! Here’s a reminder: be sure to closely monitor the Federal Reserve's subsequent policy directions, avoid blindly chasing highs, strictly control positions, and hedge risks to stand firm and seize opportunities in a volatile market.

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Bitcoin: Significant pressure at the upper channel boundary, oscillating near the starting point


Bitcoin's performance yesterday was dramatic, completing a full cycle of "pullback - bottoming - surge - pullback," with the battle between bulls and bears reaching a fever pitch. The morning market began to oscillate downward near the 110,000 mark, with selling pressure gradually released, hitting a low of 107,423 in the afternoon, initially solidifying the bottom, and short-term bottom-fishing funds began to enter, stabilizing the market temporarily.

In the evening, the market saw a turnaround, driven by the dual benefits of a strong U.S. stock market and capital shifting from precious metals. Bitcoin began a strong surge, challenging the upper boundary of the 4-hour channel, peaking at 113,948 in the early morning. However, the resistance barrier above was solid, failing to break effectively, and bullish momentum quickly dissipated, leading to a reversal and forming a bearish "online door" pattern during the session, ultimately returning to the starting point from yesterday. As of now, Bitcoin is consolidating in a narrow range around 108,100, waiting for new directional guidance.

From a technical perspective, the upper boundary of the 4-hour channel remains the current core resistance. After multiple unsuccessful attempts to break through, short-term bullish sentiment in the market is suppressed. The key for subsequent operations lies at the previous bottom support level of 107,423: if it can stabilize at this position, bulls may reorganize for another offensive to challenge resistance; if the price falls below this support, the downside potential will further open up. It is especially important for contract players to note that the current volatility is high, and the risk of double explosions is extremely high, so strict position control and proper stop-loss settings are essential.

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Ethereum's movement is highly correlated with Bitcoin, also caught in a tug-of-war between bulls and bears yesterday, experiencing a "first suppression, then rise, and again suppression" scenario. The morning started with a pullback from the 3,980 level, and in the afternoon, bearish pressure intensified, hitting a low of 3,837. Subsequently, the forces of bulls and bears began to balance, and the market entered a sideways consolidation phase, building momentum for future movements.

In the evening, the market saw a turnaround, briefly dipping to 3,850 before quickly rebounding. Driven by the correlation with U.S. stocks and cross-market capital inflows, the market surged, peaking at 4,109, accurately testing the resistance at the upper boundary of the 4-hour channel. However, similar to Bitcoin, Ethereum failed to break through the resistance level and subsequently faced pressure, currently retracing most of its gains and weakly consolidating around 3,860. The technical outlook shows that Ethereum has fallen below the midline of the 4-hour channel and is gradually approaching the lower boundary, with short-term bearish sentiment rising.

The key for Ethereum's subsequent movement lies in the support strength of the 3,750-3,720 range. As an important level that has stabilized multiple times previously, if effective support can form here, combined with its resilience as a mainstream coin, the market may maintain a weak oscillation pattern within the channel; if the price falls below this range, short-term weakness will further intensify, likely testing lower levels. Investors are advised to closely monitor the performance of this support range, abandon the mindset of chasing highs and cutting losses, and remain rational in the capital rotation market.

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Yibo's Viewpoint: Seizing Structural Opportunities Amid Capital Rotation

In summary, yesterday's sharp decline in precious metals acted as a "catalyst" for the crypto market, with cross-market capital transfers driving Bitcoin, Ethereum, and other mainstream coins to surge. However, the pressure from core resistance exceeded expectations, ultimately leading to a pullback after the surge, further escalating the battle between bulls and bears. Nevertheless, the resilience and "higher bottom" pattern exhibited by mainstream coins and ETF expectation targets reveal structural opportunities in the market; meanwhile, the double explosion scenario in the contract market continues to warn that risks cannot be ignored.

In terms of operational strategy, it is recommended to closely follow the main theme of "capital rotation," focusing on mainstream coins and ETF expectation targets with strong resilience, but avoid blindly chasing highs. Waiting for a pullback and stabilization before entering is a more prudent approach. Specifically for targets: closely track the effectiveness of the 107,423 support level for Bitcoin, and focus on the support performance in the 3,750-3,720 range for Ethereum. Additionally, it is essential to continuously monitor the Federal Reserve's policy direction, U.S. stock market trends, and capital flows in the precious metals market, adjusting strategies in a timely manner based on market changes, strictly controlling positions, and effectively hedging risks. Follow Wang Yibo to track market dynamics in real-time and accurately seize trading opportunities!

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If you are feeling lost—don’t understand the technology, don’t know how to read the market, unsure when to enter, don’t know how to set stop-losses, don’t understand take-profit, randomly increasing positions, getting stuck while bottom-fishing, unable to hold onto profits, missing out on opportunities… these are common issues for retail investors. But don’t worry, I can help you establish the correct trading mindset. A single profitable trade speaks louder than a thousand words; finding the right direction is better than repeatedly failing. Instead of frequent trading, it’s better to strike precisely, making each trade more valuable. If you need real-time guidance, you can scan the QR code below the article to follow my public account. The market changes rapidly, and due to the timeliness of reviews, subsequent movements will be based on real-time layouts. I look forward to progressing steadily with you in the market.

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