Wintermute: The market remains weak after the Binance incident, with $76,800 as support
Cryptocurrency market maker Wintermute pointed out in its latest market report that last week's market direction was determined by the Binance hacking incident rather than the Federal Reserve and PCE data. Binance lost approximately $6.3 billion on October 29, reportedly related to the North Korea-associated TraderTraitor, with about $3 billion frozen.
The liquidation amount after the incident reached $1.5 billion, of which about 85% were long positions. Wintermute stated that the buying funds after this round of decline mainly came from leveraged perpetual contracts, lacking support from spot buying and new funds, indicating that the market remains weak in the short term. Bitcoin has fallen below the critical level of $80,000, currently observed around $78,000, with the 50-week moving average at approximately $76,800 being the next support level. If Bitcoin recovers and holds above $80,000, and buying comes from spot and ETF funds, it will stop the short-term caution; if it falls below the 50-week moving average, the bearish outlook will further intensify.