Bitcoin targets $73K as Nvidia turmoil shakes markets: Weekly BTC outlook
BTC reaches fresh multiweek lows while stock futures decline on Nvidia developments, as traders await upcoming US inflation data releases for CPI and PPI.
Late Sunday, Bitcoin (BTC) plummeted to approximately $73,500, marking its weakest performance since August, while leveraged cryptocurrency positions worth over $1 billion faced liquidation in anticipation of the week's upcoming inflation data from the United States.
Key points:
- BTC reached its weakest point since Aug. 21 just before the Sunday weekly close, subsequently staging a brief rally above $75,000.
- Futures for the Nasdaq 100 oscillated between positive and negative territory following Nvidia's board disclosure of an investigation into potential foreign intelligence targeting of CEO Jensen Huang.
- Consumer and producer price data from the US are scheduled for release on Tuesday and Friday, respectively. Economist Robin Brooks suggested declining oil prices might provide support for Bitcoin.
Leveraged positions face $1.1 billion in liquidations
Data from TradingView revealed that Bitcoin dropped beneath $74,000 just prior to the weekly close on Sunday, continuing the previous week's downward trajectory.
Data from CoinGlass indicates that approximately $1.12 billion in leveraged cryptocurrency positions underwent liquidation during the 24-hour period ending at 9 am UTC on Monday.
The leading cryptocurrency dropped beneath its 50-week simple moving average (SMA) positioned at $75,492 and moved closer to its 21-week SMA sitting at $73,078.
Additionally, Bitcoin's price fell below the short-term holder cost basis, which stood at $75,691 on Monday according to CryptoQuant. This metric provides an estimate of the average acquisition price for coins that experienced their last movement within the past 155 days.
A community analyst from CryptoQuant calculated the cost basis for coins with last movements occurring one to three months ago at approximately $79,300. According to the analyst, this level might serve as a resistance point should recent purchasers choose to sell when they reach their breakeven point.
"In 2026, price stayed below this line for months at a time (Feb–Apr, Jun–Aug) before reclaiming it," the analyst wrote Monday.
On Sunday, trader Rekt Capital noted that an increase in selling volume would be necessary before signs of seller exhaustion become apparent.
"Seller Exhaustion tends to happen exactly at or very close to a Bitcoin price bottom," Rekt Capital wrote on X.
Futures for Nasdaq fluctuate following Nvidia probe announcement
On Sunday, Nvidia's board disclosed the initiation of an independent investigation regarding allegations that CEO Jensen Huang had been targeted by foreign intelligence operations. The board stated it had found no evidence suggesting compromise of US national security or proprietary company information. On Monday, China's foreign ministry rejected the espionage accusations.
Early Monday trading saw Nasdaq 100 futures decline, subsequently rebound, and then reverse course again prior to the US market opening. Meanwhile, futures for both the S&P 500 and Dow maintained positive territory even as Nasdaq 100 futures retreated.
This investigation comes on the heels of the previous week's technology sector sell-off, during which market participants evaluated the prospects for artificial intelligence investment and possible regulatory modifications following the midterm elections.
Economist Mohamed El-Erian characterized the investigation's timing as "unfortunate," considering Nvidia's significance to both the technology industry and broader financial markets.
"The company is systemically important for tech, markets and the economy; Investors tend to struggle to price in key-person and governance issues; and there are fluid national security and geopolitical dynamics," he wrote in a blog post.
In Asian markets, South Korea's primary Kospi index concluded Monday's session down 0.8% at 5,018.85. The exchange had temporarily suspended trading on Friday following an over 8% decline shortly after the opening bell.
During a parliamentary budget committee session on Monday, South Korean Vice Minister of Science and ICT Ryu Jemyung expressed confidence that Nvidia chip deliveries under existing contracts would remain on track.
"We expect production and the delivery schedule for contracted volumes to proceed without disruption," he said, according to CNA.
Oil hovers near $90 as US inflation data approaches
The October Consumer Price Index (CPI) will be published by the US Bureau of Labor Statistics on Tuesday, with the Producer Price Index (PPI) following on Friday. Both releases are scheduled for 8:30 am ET.
In September, consumer prices demonstrated a 3.7% year-over-year increase. Gasoline prices experienced a 9.1% rise from August, representing more than half of the monthly gain in the overall index.
During a CNN interview on Sunday, US President Donald Trump indicated that additional US strikes against Iran were "highly unlikely" and stated the decision would hinge on whether Tehran enters into an agreement.
On Monday morning, West Texas Intermediate crude futures were trading in the vicinity of $90 per barrel.
On Sunday, economist Robin Brooks suggested that the ongoing conflict was maintaining elevated oil prices and that a reduction in crude prices could provide upward momentum for Bitcoin, equities, and precious metals.
"I'm not saying that risk premium should disappear completely, but can we go to $75 a barrel? Absolutely," he said.
Brooks predicted that Bitcoin would maintain its negative correlation with oil following the conclusion of the US midterm elections.
"I think there's a lot of downside for oil and I think that means upside for gold at the margin, for silver, the S&P 500 and for Bitcoin," he continued.
"I do think that the outlook as oil prices come down, both in terms of the risk premium more broadly in the market and in terms of interest rates, it should be a relatively favorable picture."
With markets currently pricing in 78.8% probability of a 25 basis point interest rate increase by the Federal Reserve in December, according to CME Group's FedWatch Tool data, several Fed officials are scheduled to make public appearances in the days ahead, offering perspectives on their views regarding inflation trajectories and economic conditions.
Notable speakers include Fed Governor Christopher Waller and Vice Chair for Supervision Michelle Bowman, both of whom will address economic outlook topics on Tuesday. Waller is scheduled to participate in the Bank of England and its Watchers Conference 2026 taking place in London, while Bowman will deliver remarks at the C. Peter McColough Series on International Economics held in Washington.