The crypto market has entered a recovery period: How can investors seize opportunities amid the fluctuations?

The crypto market experienced a widespread rebound at the beginning of this week after evaporating $500 billion in market capitalization over the weekend.

According to market data, the total market capitalization of the crypto market increased by about 5.7% in the past 24 hours, and trading volume surged by 26.8%, indicating that investors who were liquidated over the weekend are rebuilding their positions.

In this rebound, Bitcoin rose by 1.4%, Ethereum performed even better with an increase of 2.5%, while synthetic assets (SNX) shone brightly with a growth of 120%, becoming the market focus.

01 Market Review: Cautious Recovery After the Crash

Last weekend, the crypto market underwent a bloody cleansing, with a total market capitalization shrinking by as much as $500 billion, the holding volume dropping from $33 billion to $23 billion, and the liquidation amount in the derivatives market reaching $19 billion.

This severe volatility is mainly due to an overly leveraged market structure. When prices began to decline, it triggered a series of chain reactions, leading to massive liquidations of investors holding long positions.

Coinglass data shows that the liquidation amount reached 620 million dollars in just one day over the weekend, with a long to short ratio of 34-66. Among them, Ethereum (ETH) accounted for 218 million dollars, Bitcoin (BTC) for 124 million dollars, and Solana (SOL) for 43 million dollars.

The market welcomed a turning point on Monday, with a liquidation amount of $62.6 billion in 24 hours, of which $42 billion came from shorts, indicating a reversal in market sentiment.

02 Platform Updates: Gate Delists 17 Perpetual Contracts

Against the backdrop of increased market volatility, Gate.io announced that it will delist 17 perpetual contract trading markets on October 16, 2025.

The contracts involved include BAKE, XEC, ORBS, GNO, OBT, ALU, J, PYR, MILK, FUEL, DODO, SANTOS, GIGA, MLN, ROAM, ATA, and L3.

These trading markets will enter close-only mode on October 16, 2025, at 15:30 (UTC+8) and will completely stop trading at 16:00.

The platform will settle the closing of open positions based on the average index price in the last half hour before the suspension.

All relevant trading pairs will automatically cancel unfilled orders and liquidate remaining open positions when trading stops.

03 Token Performance: GT Ecosystem Demand Continues to Rise

As the platform token of Gate, GateToken (GT) has performed excellently in the recent market fluctuations.

According to CoinMarketCap data, GT has increased by 8.47% in the last 24 hours. With the launch of new products such as Gate Layer, Gate Perp DEX, and Gate Fun, the ecological demand for GT, as the only Gas token of Gate Layer, is continuously rising.

GT is the native encryption currency of the GateChain ecosystem, which uses a Proof of Stake (PoS) consensus mechanism and allows for GT staking.

GT can also be used to pay transaction fees on the GateChain blockchain network, as a tradable encryption currency for global peer-to-peer payments.

Currently, the circulation of GateToken is approximately 122.91 million pieces, with a maximum total supply of 300 million pieces and a fully diluted market capitalization of 6.73 billion USD.

04 Sector Rotation: AI Tokens Lead Market Rebound

In this round of market Rebound, AI tokens have stood out, becoming the main direction of capital inflow.

ChainOpera AI has risen by 70%, Bittensor has increased by over 35%, becoming the latest rotation star in the digital asset industry.

This indicates that during the market Rebound, investors are more inclined to invest in projects with real use cases and growth potential, rather than purely speculative assets.

At the same time, Plasma (XPL) and aster (ASTER) failed to benefit from Monday's Rebound, dropping by 4.2% and 2.5%, respectively.

05 Institutional Dynamics: An Important Force in Rebuilding Market Confidence

The activities of institutional participants have played a key role in rebuilding market confidence.

Marathon Digital has accumulated 400 BTC, estimated to be worth 46 million USD, indicating that despite recent market fluctuations, key participants remain optimistic about the long-term opportunities in the market.

This signal has strengthened market confidence, indicating that large institutional investors see the current market adjustment as an opportunity to accumulate positions rather than a reason to exit the market.

Bitcoin has regained momentum, with trading prices exceeding $115,000, ending the weekend decline. Ethereum also shows a slight rebound, hovering around $4,100.

Binance Coin (BNB) became one of the major winners of the day, with a rise of over 15%, breaking through the 1300 dollar level.

06 Macroeconomic Environment: The Impact of Regulation and Geopolitics

The crypto market is also influenced by the macro environment of traditional finance.

With the U.S. government entering its third week of shutdown, the crypto market remains tense. Due to only a small number of federal employees working, all pending cryptocurrency exchange-traded funds (ETFs) are on hold in the SEC's review.

This has delayed 16 ETF applications, and an additional 21 applications submitted in early October are still awaiting review.

In another development affecting the global market, officials from the United States and China have stated that they are working to ease recent trade tensions.

The Chinese Ministry of Commerce stated that it is ready to negotiate, while Trump hinted at softening his stance in a post on Truth Social. Such diplomatic moves would help boost investor confidence and could potentially drive the crypto market.

07 Market Outlook: Opportunities and Risks Coexist

Looking ahead, the crypto market may continue to fluctuate in the short term, but the medium to long-term outlook remains optimistic.

Bitcoin has recently tested its golden cross structure again, which is a technical indicator usually accompanied by a strong Rebound, possibly enjoying better risk sentiment in the global financial markets.

However, investors should closely monitor several key factors: Bitcoin's dominance remains high at around 58.45%, slightly down from recent highs, which means that when funds flow back into safer large market capitalization assets, altcoins may still lag behind.

The Bitcoin options market shows a tendency to become bullish again—over the past 24 hours, the put/call trading volume has shifted to be more bullish, currently exceeding 56%.

In addition, the 1-week 25 Delta skew has risen to 2.5% after a period of stability, indicating an increasing demand in the market for bullish exposure and upside protection.

Future Outlook

As the market enters a new round of adjustment, investors should closely monitor changes in technical and fundamental aspects. Bitcoin's dominance remains as high as 58.45%, which means that when funds flow back into safer large market capitalization assets, altcoins may still lag behind.

Technical indicators show that the Bitcoin options market is turning bullish again, with the 24-hour put/call trading volume ratio exceeding 56%, indicating an increasing demand for upward protection.

BTC-2.5%
ETH-2.28%
SNX-11.29%
SOL-4.06%
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