Crypto Market Slumps as Veteran Bitcoin Holders Take Profits; Gold Eases After China Ends Retail Tax Break
November 3, 2025
Cryptocurrencies fell sharply on Monday as long-term Bitcoin holders ramped up profit-taking, dragging major altcoins lower and extending the market’s recent losing streak.
Data from Glassnode shows that selling by long-term Bitcoin investors has tripled since June, with many who bought near $93,000 locking in gains. The shift reflects fading confidence among experienced holders following October’s steep selloff — the worst October for crypto markets since 2015.
Bitcoin (BTC) slipped to around $106,000 in early trading, retreating from last week’s brief spike above $110,000. Dogecoin (DOGE) and Cardano (ADA) each tumbled about 5%, leading losses across major tokens, while Solana (SOL), Binance Coin (BNB), and Ether (ETH) fell up to 4%. Tron (TRX) traded flat over the same period.
The decline came without a clear macro driver, suggesting a wave of profit-taking after last week’s modest rebound. Analysts say sentiment remains fragile, with traders relying more on technical levels in the absence of major policy or regulatory catalysts.
“Without new support from Powell, crypto is once again leaning on technicals,” said Alex Kuptsikevich, chief market analyst at FxPro. “Bitcoin’s repeated failure to hold above $113,000 signals waning momentum. The market continues forming lower highs, but the $3.5 trillion total market cap zone has consistently attracted dip-buyers.”
Kuptsikevich noted that although November is typically a strong month for digital assets, the optimism from “Uptober” quickly dissipated after early gains.
Despite the recent pullback, spot trading volumes reached $300 billion in October, the highest in a year — signaling robust two-way activity and continued participation from both buyers and sellers.
Gold Retreats After Beijing Ends Tax Rebates for Retailers
Gold prices steadied near $4,000 per ounce after an early dip triggered by China’s decision to remove tax rebates for gold retailers — a move expected to dampen consumer demand in one of the world’s largest bullion markets.
The policy change, announced over the weekend, eliminates value-added tax offsets for gold sold through the Shanghai Gold Exchange and Shanghai Futures Exchange. The timing coincides with the cooling of gold’s record-setting October rally, fueled by a surge in retail and central bank demand.
Although gold remains over 50% higher year-to-date, the move underscores Beijing’s effort to curb speculative excess. The metal’s trajectory continues to parallel Bitcoin’s, with both assets influenced by shifting expectations for monetary policy and global risk sentiment.
With the Federal Reserve’s rate hikes on pause and speculation mounting over future easing, investors remain divided — balancing between safe-haven exposure and selective risk-taking across traditional and digital markets.
