Bitcoin Could Face Deeper Correction After Recent Peak as Asian Stocks Slide Amid Global Bank Stress

• Market impact: Global equities and banks sold off, feeding crypto liquidations.

• Bitcoin fell 6.3% in the week to October 12, trading between its 200DMA ($107.4k) and 365DMA ($99.9k).

• Safe havens rallied: gold surpassed $4,380 and U.S. Treasury yields declined, altering Fed rate-cut probability.

Bitcoin market outlook: October 17, 2025 update — Bitcoin faces near-term pressure after bank-related risk-off; see key technical levels and market implications. Read COINOTAG’s concise market brief now.

What is the Bitcoin market outlook after global bank stress?

Bitcoin market outlook shows elevated short-term vulnerability after U.S. regional bank losses and cross‑market risk aversion pushed liquidations across crypto and equities. Technicals place Bitcoin below its 200‑day moving average at $107.4k but above the 365DMA at $99.9k; on‑chain data suggest the 365DMA is a critical support level. (Published: 2025-10-17 • Updated: 2025-10-17 • COINOTAG)

How did Asian and global markets react to U.S. regional bank worries?

Asian equities dropped broadly as Friday trading reflected spillover from U.S. bank stress. Hong Kong’s Hang Seng fell 2.48% to 25,247.1, the CSI 300 plunged 2.26% to 4,514.23, and Japan’s Nikkei 225 declined 1.44% to 47,582.15. The Pan‑European Stoxx 600 was down 1.7% early in London, with bank stocks leading declines—the Stoxx Europe 600 Banks Index lost 2.8%. CNBC reported that two U.S. regional lenders disclosed fraud‑linked write‑downs erasing more than $100 billion of market value in a single session, which amplified risk‑off flows. Currency and fixed income markets moved accordingly: the yen briefly strengthened past 150 per dollar, U.S. Treasury yields fell (five‑year at 3.51%, two‑year near multi‑year lows, 10‑year under 4%), and the Dollar Spot Index extended a losing streak to 0.7%.

Frequently Asked Questions

Will Bitcoin drop further after the U.S. regional bank write‑downs?

Bitcoin recorded a 6.3% weekly decline through October 12, 2025. Short‑term downside is possible while risk aversion persists and Bitcoin remains below its 200DMA ($107.4k). On‑chain analytics provider Glassnode states that holding above the 365DMA ($99.9k) could stabilize price action; failure to hold that level would increase the probability of a deeper correction.

How is gold responding to market turmoil?

Gold has continued to rally amid the risk‑off environment, surpassing $4,380 for the first time. Rising demand for safe havens, combined with falling Treasury yields and a softer dollar, has supported the metal’s advance, according to market data and reporting by Cryptopolitan (plain text reference).

Key Takeaways

• Cross‑market contagion: Bank write‑downs and equity selling in the U.S. and Europe accelerated crypto liquidations and broader risk reduction.
• Technical watch: Bitcoin sits below its 200DMA ($107.4k) but above the 365DMA ($99.9k); the 365DMA is the immediate support to monitor.
• Macro shifts matter: Falling Treasury yields, a weaker dollar and a stronger yen support safe havens like gold, which breached $4,380.

Conclusion

This COINOTAG market brief shows a cautious near‑term Bitcoin market outlook as banking sector shocks have forced broad risk reduction across equities, FX and crypto. Key technical levels — the 200DMA ($107.4k) and the 365DMA ($99.9k) — will guide short‑term positioning. Monitor official data releases, on‑chain analytics (Glassnode), and macro indicators for confirmation; traders should manage risk and liquidity accordingly.

Author: COINOTAG | Published: 2025-10-17 | Updated: 2025-10-17

Sources (plain text): CNBC, Glassnode, Cryptopolitan, market exchange data.