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Bitcoin Updates Today: Bitcoin Drops Sharply as ETF Outflows and Economic Uncertainty Challenge Market Stability

Bitcoin Updates Today: Bitcoin Drops Sharply as ETF Outflows and Economic Uncertainty Challenge Market Stability

Bitget-RWA2025/11/18 11:46
By:Bitget-RWA

- Bitcoin plummeted to a seven-month low below $90,000 in late November as market fear intensified, with the CoinDesk Fear & Greed Index hitting 10. - The selloff was driven by large holder exits, $240M in derivatives liquidations, Fed rate-cut uncertainty, and $2.8B in ETF outflows eroding demand. - Institutional buying (8,178 BTC worth $835M) partially offset declines, while technical indicators like a "death cross" signaled prolonged bearish pressure. - Geopolitical tensions over alleged U.S. Bitcoin th

Bitcoin experienced a deeper decline in late November, dropping to its lowest point in seven months—below $90,000—as market sentiment shifted to "extreme fear." The CoinDesk Fear & Greed Index

, marking its lowest reading since February 2025 and signaling widespread anxiety throughout the crypto sector. , which had in October, has now lost all of its yearly gains, returning to prices last seen in early March. The broader digital asset market, tracked by the CoinDesk 20 index, over the past week, with , , and all suffering double-digit percentage losses.

Market observers

. Blockchain analytics from Nansen , while the derivatives market saw over $240 million liquidated within a week. At the same time, broader economic uncertainty persisted, as the Federal Reserve’s reduced likelihood of rate cuts . The CME FedWatch tool indicated just a 43.9% probability of a rate cut in December, down from 80% at the start of November.

The selloff has been exacerbated by declining interest in Bitcoin spot ETFs.

these funds in the last month, removing a significant source of consistent demand. "The outflows from ETFs have left a gap, making the market more susceptible to short-term swings," said Edul Patel, CEO of Mudrex . Nonetheless, institutional investors have largely remained optimistic. Strategy’s recent acquisition of 8,178 Bitcoin—worth $835 million—has , Patel noted.

Bitcoin Updates Today: Bitcoin Drops Sharply as ETF Outflows and Economic Uncertainty Challenge Market Stability image 0
. Bitcoin’s price has formed a "death cross" on the daily chart—a bearish pattern often preceding extended declines. The asset is also showing signs of a falling wedge, with a breakout above $107,000 of $124,000. has returned to levels seen before major rebounds, suggesting a potential inflection point.

. The short-term holder seller exhaustion metric, which measures weaker investors leaving the market, . Blockchain data also indicates , a trend often seen near market bottoms. Swissblock, a private wealth advisory firm, to a low-risk phase, implying that selling pressure may be easing.

The global political environment has further complicated matters. China’s claim that the U.S. seized 127,000 Bitcoin—valued at $13 billion—has raised questions about supply. While this dispute could cause short-term price swings,

, reinforcing its status as a strategic asset.

The outlook for Bitcoin remains unclear. Retail traders are waiting for a clear trigger, while institutional confidence and on-chain liquidity trends suggest the possibility of stabilization. For now, the market is navigating a delicate balance between economic headwinds and ongoing selling, with critical support levels at $93,000 and $85,000

.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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