Bitcoin is finally showing signs of strength again. After spending days hovering around the $100,000 level (after a brutal October and early-November selloff), BTC has now broken back above $105k. Altcoins reacted immediately: Ethereum and Solana jumped around 6% in the past 24 hours, while XRP surged nearly 8% as traders rushed back into risk assets.
Several major macro and crypto-specific catalysts lined up at the same time, helping fuel this recovery. Here’s what’s driving today’s move.
A Liquidity Flood Is Replacing the Liquidity Drought
The biggest force behind the rebound is liquidity, and right now, it’s pouring back into the system.
Over the past week, the macro backdrop flipped sharply bullish:
- •The Federal Reserve pumped a record $125 billion through its Standing Repo Facility
- •Bank reserves fell below $3 trillion, the tightest liquidity conditions since January
- •The resolution of the U.S. government shutdown triggered a Treasury General Account (TGA) cash release, adding fresh liquidity
- •And starting November 13, XRP ETFs become auto-effective, bypassing any SEC shutdown complications
It’s simple: crypto loves liquidity. And this week, liquidity suddenly returned.
🔥Macro setup is wild right now:
— PaulBarron (@paulbarron) November 10, 2025
~ Fed pumped record $125B through SRF (repo facility under PRESSURE)
~ Bank reserves <$3T – tightest since Jan
~ Gov shutdown ending = TGA cash release = liquidity surge
~ $XRP ETFs auto-effective Nov 13+ (bypass SEC shutdown)
Liquidity drought…
That’s why Bitcoin, Ethereum, XRP, and top altcoins are bouncing at the same time.
U.S. Shutdown Resolution Sparked Confidence Back Into the Crypto Market
The market also reacted strongly to the November 9 bipartisan agreement that officially ended the prolonged U.S. government shutdown.
Within hours, crypto moved:
- •Bitcoin: +3.1%
- •Ethereum: +6%
- •XRP: +8.2%
Traders interpreted the deal as a reduction in regulatory uncertainty, especially around upcoming crypto ETF approvals and tax reform discussions that had been frozen during the shutdown.
Macro sentiment instantly improved. The crypto–Nasdaq correlation jumped to +0.70, showing that crypto is once again moving with broader risk assets rather than decoupling downward. And ETH ETF inflows flipped back positive, with +$113 million entering on November 9 after weeks of bleeding.
Whale Selling Is Slowing Down, And Altcoins Are Absorbing Liquidity
Despite the bounce, one concern was the heavy selling from Bitcoin OGs earlier in the week. According to Bitcoinist, long-term holders offloaded roughly $1.7B worth of BTC.
But instead of triggering another crash, the market absorbed it surprisingly well.
Altcoins (especially Layer-1s like Solana and Ethereum) actually rose around 5% collectively, which signals that liquidity is rotating rather than retreating.
Two key metrics show improving conditions:
- •The Fear & Greed Index climbed from 24 to 29, hinting that retail investors are slowly re-entering
- •Derivatives open interest increased 4.96%, showing fresh positioning
- •Funding rates remain near flat (+0.0034%), meaning the rally isn’t overheated or driven by leveraged longs
This is the “healthy bounce” traders wanted to see, one driven by real liquidity and real flows, not reckless leverage.
The Market Finally Has Breathing Room Again
With liquidity improving, ETFs back in motion, macro pressure easing, and altcoins absorbing sell-side shocks, the crypto market finally has room to breathe again.
Bitcoin reclaiming $105k is a strong psychological win, but the real story is the shift in liquidity conditions, something that often precedes sustained uptrends.
If liquidity keeps flowing and ETF discussions restart this week, this breakout could turn into something bigger.