On the morning of November 16th, Binance recorded each Bitcoin trading around $95,000. This marked the third consecutive day of price drops for the cryptocurrency, its lowest level since May. The sell-off not only affected Bitcoin but also caused turmoil in numerous other major cryptocurrencies. Ethereum fell 7.7%, and Solana lost as much as 11% of its value in just one week.
The CoinDesk 20 overall index was no exception, plummeting by approximately 5.8%. The underlying cause is believed to stem from last month's sell-off, when a large number of leveraged positions were liquidated and long-term investors began taking profits.
Another worrying sign comes from Bitcoin ETFs. Data from Bloomberg shows that outflows from these funds in a single day recently reached the second-highest level since their approval. This reflects caution and a tendency for institutional investors to withdraw.
A report from 10X Research further reinforces the negative outlook, stating that there is currently "no strong enough new buying pressure to push the price up." The organization believes that on-chain indicators confirm Bitcoin has entered "bear market mode." They warn that if the price breaks below $93,000, a deeper decline is highly likely.
Even Sean Farrell from Fundstrat, an analyst known for his optimistic market outlook, now has to admit that "Bitcoin's upward momentum is currently very weak." According to him, the market is lacking "catalysts"—major news or policy changes—to attract capital back. The situation is further complicated by the US government shutdown lasting longer than expected, disrupting liquidity and slowing the return of funds to the economy .
In addition, the likelihood that the US Federal Reserve will not cut interest rates in December has dimmed expectations of a "Christmas price surge" for Bitcoin.
However, Farrell also offered a positive perspective. He suggested that a sharper correction across the risk market could be the necessary "cleansing" to re-establish price levels, thereby opening up attractive buying opportunities for new investors. And in his view, Bitcoin probably needs to return to the $90,000 price range to once again become attractive to them.
Source: https://baovanhoa.vn/kinh-te/bitcoin-lao-doc-thi-truong-hoang-mang-182027.html
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