BitMart Market Report: Under liquidity pressure, Bitcoin tests key support levels, with risk appetite significantly cooling.

The U.S. government shutdown has led to a lack of key economic and employment data, raising market uncertainty about the fundamentals. The market still holds high expectations for a rate cut in December, around 70%, while the SOFR rate has surged to 4.22%, highlighting tight USD liquidity. Given the overvaluation of the U.S. stock market and disappointing earnings reports from some consumer and retail sectors, its vulnerability is increasingly pronounced. In the cryptocurrency market, there has been continuous net outflow from BTC and ETH spot ETFs. The weekly adjustment for BTC is still ongoing, currently trying to stabilize around $98,000. The daily chart shows that BTC has rebounded from a key support level, but the strength of the rebound remains to be seen. A fall below $98,000 would mean the last line of defense for the bull run has been weakened, necessitating a shift to defensive strategies. ETH has failed to hold above $3,900 and continues to decline, performing far worse than BTC. Due to the overall weakness of altcoins and decreased risk appetite, the market is currently in a high volatility, defensive phase.