Crypto Markets Stumble as Liquidations Surge Amid Macroeconomic Uncertainty
Coinbase (COIN) and MicroStrategy (MSTR) led crypto-related stocks downward Monday as digital asset markets faced mounting liquidations. Bitcoin's retreat from its October 6 peak of $126,080 has dragged down major altcoins including ethereum and Solana, triggering a sell-off among retail investors seeking liquidity.
The downturn reflects broader macroeconomic anxieties. Market participants await two critical developments: stabilization in global economic indicators and a decisive dovish pivot from the Federal Reserve. While the central bank implemented rate cuts this month, its continued hawkish rhetoric weighs on risk assets.
MicroStrategy's aggressive Bitcoin accumulation strategy—now exceeding 214,000 BTC—has failed to buoy its stock price. Meanwhile, Coinbase shares have shed 18.5% over three months as trading volumes decline, raising questions about the exchange's ability to maintain profitability in volatile markets.
