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Эксперт по макроэкономике и инвестициям Лин Олден (Lyn Alden) заявила в подкасте What Bitcoin Did, что в ближайшее время значительный обвал биткоина и всего рынка криптовалют маловероятен.

Банк России сообщил о продлении до 31 декабря 2026 года льготного периода, в течение которого с компаний не будет взиматься комиссия за проведение операций в цифровых рублях.

Cardano’s mainnet experienced a rare chain partition on November 21, 2025 after a malformed staking-delegation transaction exploited a long-standing deserialization bug, briefly producing a “poisoned” branch containing the transaction and a parallel healthy branch that rejected it. The network continued producing blocks on both sides until emergency node upgrades restored convergence later that day; Intersect said no user funds were lost and that a CIP-135 disaster-recovery playbook was prepared but ultimately not needed.

Should Cardano’s Attacker Face The Feds?

What turned a technical postmortem into an industry flashpoint was the public fallout between Cardano founder Charles Hoskinson and Solana co-founder Anatoly Yakovenko over whether the incident should be treated as a federal crime.

Yakovenko opened by praising the protocol behavior rather than the politics: “I am gonna go out on a limb and actually say this is pretty cool. Nakamoto style consensus without proof of work is extremely hard to build. The protocol functioned as designed in the presence of bugs.” He was reacting to Berry Ales’ observation that Cardano “recovered from a minority chain and got rid of the symptom while preserving most of the history and progress since the incident.” Hoskinson replied tersely: “Thanks man. It was a wild day.”

The exchange sharpened when Yakovenko framed exploit traffic as inherent to permissionless networks and warned against involving law enforcement. “Communicating arbitrary bits is fundamentally speech, even if they break the receiver,” he wrote. “The fact that it’s not always the case in the US is lame. Don’t send the feds after the poor guy who f’d up vulnerability disclosure.”

Hoskinson’s counterclaim was that this was not disclosure at all. “It was a premeditated attack by a disgruntled SPO with extensive knowledge of Cardano and who had already observed the testnet fork, the patch efforts, and was in direct contact with the core devs,” he said. According to Hoskinson, the attacker watched the Preview testnet incident, waited through patching efforts, then reproduced it on mainnet.

“We spent hours studying it, reconstructing for mainnet, and then delegating to my personal pool Rats as a message. He only admitted this act after I doxed him in a video then claiming it was a terrible mistake, but somehow neglected to mention it during the entire day while we were fixing it.”

He then argued that intentional exploitation of public infrastructure crosses into criminal territory: “Blackhats exploiting bugs to cause harm to public infrastructure is not a new thing. Its a federal crime because of the catastrophic harm to society such acts could carry. Cardano is a large network and many people derive their entire livelihood from the network’s operation. He hurt every single person in our ecosystem.”

Yakovenko accepted the ugliness of blackhat behavior but maintained that legal escalation is strategically risky in open systems. “Yea. I get it. We have had shitheads that watch public branches for any bug fixes and try to exploit them immediately. It’s a huge pia. Any potential bugs have to be fixed in private and rolled out p2p patches first. It has a chilling effect on the industry if you call in the Feds.” In his “mental model,” if operators run “a system that accepts arbitrary public messages, they are taking on the risk of what happens with any message they receive,” and only permissioned systems with explicit liability framing should be regulated as such.

Hoskinson pressed that model against the realities of regulated finance and cross-chain norms. “Furthermore, are you going to tell all the regulated financial entities that are building on Solana that if they lose money from hackers while using Solana, they shouldn’t file a criminal complaint?” He followed with a direct hypothetical: “So if a blackhat found an exploit in solana and it forked the network resulting in huge losses for your defi community, they should accept its a risk of solana and the blackhat did nothing wrong? What is the remedy?”

Yakovenko’s answer separated moral blame from deterrence. “The blackhat is an absolute piece of shit. The remedy is that we need multiple implementations and formal verification to minimize the risk of that happening… We have to make it impossible.” In his view, prosecution is not a reliable control because serious attackers do not expect to be caught, so resilience must come from engineering redundancy and verification, not the threat of the state.

Intersect’s incident report says the wallet responsible for the malformed transaction has been identified and that authorities including the FBI are being engaged. The immediate Cardano story is a fast-patched validation mismatch that re-converged without rollback. The bigger story is a live, founder-to-founder clash over whether permissionless security failures are primarily a matter for protocol design or criminal law—and what precedent the answer sets for every PoS network, Solana included.

At press time, ADA traded at $0.41.

Сын президента США Эрик Трамп постарался опровергнуть обвинения, выдвинутые группой сенаторов-демократов в отношении кредитной платформы World Liberty Financial о продаже токенов WLFI лицам, связанным с Россией, Северной Кореей и подсанкционными компаниями.

Криптовалюты могут дорожать в двух случаях: при росте спроса и падении предложения. И только с помощью большого ресурса, который есть не у всех, можно повлиять на эти параметры. Поэтому важно заблаговременно выявлять периоды, когда те, у кого есть крупный капитал, начинают накапливать криптовалюту.

Strategy (formerly MicroStrategy) has been in the headlines recently following the Bitcoin price crash into the $84,000 territory. The market crash had put it dangerously close to the company’s average buy price of $74,443, with only a 30% crash separating the company’s massive 649,870 BTC holding from being in the red. This has led the company to publicly defend its position and strategy amid call-outs from the likes of economist Peter Schiff.

Strategy’s Bitcoin Stash In Trouble?

Last week, economist Peter Schiff first called out the Strategy team, questioning the viability of its Bitcoin strategy given that the price of the digital asset was crashing. This came amid call-outs that Michael Saylor’s strategy of issuing MSTR shares to buy Bitcoin was already failing.

Schiff, in an X post, called out the company’s entire business model of issuing preferred stocks and then using the proceeds to actually buy more Bitcoin. According to the analyst, the company’s entire business model was actually based on the fact that the issued preferred shares were being bought by income-oriented funds while the company accumulates Bitcoin.

However, Schiff called out the company that it would not be able to actually pay out the published yields. In this case, once the fund managers realize that these published yields will never be fulfilled, they would have no choice but to begin dumping out their MSTR stocks, triggering a ‘death spiral.’

At the time, the company had addressed the rumors of its potential bankruptcy, explaining that the company had a very long runway. As the post made on X read, “At current $BTC levels, we have 71 years of dividend coverage assuming the price stays flat.” Additionally, the post explained that only a 1.41% appreciation in the Bitcoin price actually covers the company’s dividend obligations.

Despite this, Schiff has not let up on the company, with another post addressing Strategy’s claim that a 90% Bitcoin crash would not affect the company. The economist explains that even if this were true, it is unlikely that Strategy’s investors would actually be fine with losing 90% of their investment.

In the event that the Bitcoin price does crash 90%, Peter Schiff explains that the MSTR stock will likely be trading at a huge discount compared to its BTC holdings. In this case, it could accelerate the losses of its investors.

On the BTC front, with the price still trending above $80,000, the Strategy stash is still firmly in profit. According to data from the Bitcoin Treasuries website, the company is still sitting on 16% gains, bringing its current profit on its holdings to over $5 billion at the time of writing.

Aerodrome, the largest decentralized exchange (DEX) on the Ethereum Layer 2 network Base, reported a suspected front-end compromise on Saturday, November 22. In the early hours of the weekend, the project disclosed that it is investigating an attack and asked users to avoid their centralized domains.

Dromos Labs’ Sister Protocols Hit With Another DNS Hijack

On Saturday, Aerodrome took to the social media platform X to report its ongoing investigation of a DNS hijack of its centralized domains. While assuring users that all smart contracts remain secure, the project told users to access the DEX through its decentralized mirror.

For context, a DNS hijack allows an attacker or bad actor to manipulate the Domain Name System (DNS) in order to redirect users from a legitimate website to a malicious one. In essence, this compromise redirected users of the Base-native Aerodrome to a fraudulent website on Wednesday.

It appears that the problem with the decentralized exchange might have stemmed from its domain provider. Earlier in the day, Aerodrome went on the X platform to inform Web3 domain provider My.box that its infrastructure had likely been compromised and to reach out to them.

Base-domiciled Aerodrome was not the only decentralized exchange affected by this DNS hijack, as its sister protocol Velodrome appears to be facing a similar issue. Velodrome, the largest decentralized exchange on Optimism, also reported that it is investigating a similar front-end compromise.

Interestingly, this latest DNS hijack comes roughly two years after a similar attack affected the ability of users to access both decentralized exchanges in November 2023. Blockchain detective ZachXBT, at the time, estimated the loss from the 2023 attack at about $100,000.

According to data from DefiLlama, about $399.17 million in value is locked on the Aerodrome, reflecting an almost 4% decline since the DNS hijack. Meanwhile, Velodrome’s TVL stands at about $49.74 million.

Aero And Velodrome To Become A Unified Platform In 2026

The timing of this DNS attack is rather interesting, especially as Dromos Labs, the development company behind the Base-native Aerodrome and Optimism-based Velodrome, recently disclosed plans to consolidate both protocols into a trading hub called “Aero.” 

This development will also unify the protocols’ existing tokens into the single AERO token, Dromos further revealed. The Aero trading hub is expected to launch first on the Ethereum mainnet and Circle’s Arc blockchain in the second quarter of 2026. 

According to recent reports, VanEck’s leadership has warned that rising quantum computing risks could force the firm to reduce or even exit its Bitcoin holdings.

The firm’s CEO Jan van Eck said he would “walk away from Bitcoin if we think the thesis is fundamentally broken,” a line that has stirred debate across markets and crypto circles.

Matt Sigel, VanEck’s head of digital-assets research, added that a narrow “window of uncertainty” could open if quantum machines reach a level that threatens current cryptography.

VanEck Issues Stark Warning

VanEck’s comments focus on the time between a credible quantum breakthrough and a full, network-wide migration to post-quantum signatures.

Reports have disclosed that this gap could be dangerous because attackers could exploit the period to steal funds or undermine trust.

Some researchers estimate that a careful migration might need about 76 days of highly coordinated action, a logistical challenge for a decentralized network that typically moves slowly on major changes.

VanEck CEO Jan van Eck on CNBC:

“There’s something else going on within the Bitcoin community that non-crypto people need to know about.

And that is: ultimately, VanEck has been around before Bitcoin. We will walk away from Bitcoin if we think the thesis is fundamentally… pic.twitter.com/pCUtuqBVHD

— Arjun Khemani (@arjunkhemani) November 22, 2025

Technical And Coordination Hurdles

Bitcoin’s current cryptography relies on elliptic curve signatures. A sufficiently powerful quantum computer could run known algorithms to derive private keys from public data.

That is the technical fear. Based on reports, making Bitcoin “quantum safe” would likely mean adopting lattice-based or hash-based schemes and coordinating a hard fork.

Coordination is hard because miners, exchanges, wallet makers, and node operators must all agree. That difficulty is the heart of the worry, not just the math.

VanEck’s public stance is also a hedging move. The company has launched investment products tied to quantum technology, signaling it expects quantum computing to matter financially.

VanEck CEO said the $BTC quantum risk and their readiness to dump it if the risk grows.

We must quantum proof Bitcoin in 2026.

— Ted (@TedPillows) November 22, 2025

At the same time, the CEO’s warning has put pressure on institutional players to reassess risk models and contingency plans. Some long-time Bitcoin holders are said to be looking at privacy coins that emphasize different cryptographic approaches.

Market And Policy Implications

If an institutional player with VanEck’s profile signals a possible exit, market confidence could shift quickly. Institutional flows matter. A scramble to move large holdings would increase price volatility and could trigger further sell orders.

Regulatory and national security agencies have also been paying attention; guidance from some national cyber centers suggests critical systems should adopt post-quantum measures well before threats are immediate, with planning horizons that reach into the next decade.

Featured image from Yuichiro Chino/Getty Images, chart from TradingView

In a recent announcement, cryptocurrency exchange Coinbase revealed that it is conducting a scheduled migration of significant amounts of digital assets to new internal wallets.

Why Move Funds To New Wallets?

On Saturday, November 22, Coinbase executed the migration of large crypto funds (specifically Bitcoin and Ether tokens) from internal legacy wallets to fresh wallets. According to the exchange’s announcement, this significant asset movement is a standard security practice to avoid keeping funds in the same publicly known wallet addresses for long periods.

The crypto exchange noted that this wallet migration has been “planned well in advance” and is not related to industry landscape shifts or the current price structure. Additionally, the exchange said that any large-volume on-chain movement is not associated with any cybersecurity threats or data breach incidents. 

Coinbase wrote to users in the announcement: 

As part of our efforts to maintain our industry-leading security standards, Coinbase will undergo internal wallet migrations for BTC and ETH. This is a standard practice that reflects our commitment to keeping assets safe. During this time, Coinbase will migrate funds on-chain from legacy internal wallets to new internal wallets.

The US-based exchange warned users to be vigilant during and after the migration, as scammers and bad actors may try to take advantage of the situation. Coinbase reminded users that no representatives will reach out to customers requesting their login information or ask them to move their funds.

As seen with significant security breach incidents in recent years, hackers tend to target cryptocurrency exchanges due to their centralized nature. Moreover, the (often necessary) use of hot wallets, which are always connected to the internet, adds an extra layer of security risk to crypto exchange operations.

Hence, Coinbase’s initiative to not keep user funds in a single reserve or publicly known internal wallets minimizes the risk of long-term exposure. 

How Much BTC Did Coinbase Move?

The Bitcoin Exchange Reserve metric fell significantly on Saturday, with over 200,000 BTC withdrawn from exchanges in the past day. Given Coinbase’s earlier announcement, it should be little surprise that there was a substantial impact on this on-chain metric on the day.

According to Darkfost, a pseudonymous on-chain analyst on the X platform, this wallet migration saw the exchange move around about 300,000 BTC (equivalent to over $25 billion). The analyst noted that the Bitcoin Exchange Reserve metric will eventually correct and update with the new Coinbase-controlled addresses.

Crypto ATM company Crypto Dispensers is considering a $100 million sale in an ongoing strategic review. Interestingly, this development comes just three days after the firm’s founder was charged with money laundering by the US Department of Justice.

Crypto Dispensers: Sale On The Table, Founder In The Spotlight

Crypto Dispensers was founded in 2017, initially offering users a cash-to-Bitcoin service via hardware-based ATMs placed in high-traffic shopping centers. In 2020, the company expanded with a software solution that enabled in-store cash deposits at retail registers, and later developed into a full payment platform supporting Bitcoin purchases through debit/credit cards, ACH transfers, and wire transfers

On November 21, 2025, the ATM operator announced its decision on onboard advisers in a strategic review to determine its phase of development. In particular, the company is evaluating a $100 million sale offer amid a consolidation wave moving across the cash-to-crypto.

However, this potential transaction is drawing much traction following a recent indictment of Crypto Dispensers founder and CEO Firas Isa. On November 18, the DOJ, Northern District of Illinois, laid allegations of money laundering against Isa and Virtual Assets LLC, a registered business name for Crypto Dispensers. 

According to the US prosecutors, Isa, a 36-year-old man from Frankfort, Illinois, allowed criminals and fraud victims to transfer over $10 million in narcotics activities and wire fraud proceeds using Crypto Dispensers ATMs. Thereafter, Isa, whom the DOJ alleges knew of these illegal sources, converted the funds to cryptocurrencies, which were distributed to virtual assets to mask the original ownership. 

Notably, Firas Isa makes no reference to this indictment in announcing Crypto Dispensers’ potential acquisition. Rather, the CEO has attributed the ongoing process to understanding the most valuable future for the crypto ATM operator. 

Isa said:

From day one our mission was simple. Build a safer and more accessible way for ordinary people to get Bitcoin. Hardware showed us the ceiling. Software showed us the scale. We built the infrastructure, the compliance controls, and the partnerships that allow people to buy Bitcoin with the same payment methods they use in their daily lives. This review is about understanding the next stage of growth and determining which path creates the most value for the platform we have built.

The DOJ has charged both Isa and Crypto Dispensers with one count of wire fraud, to which the defendants have pleaded not guilty. If convicted in the expected trial, the company CEO faces a maximum prison sentence of 20 years.

Crypto Market Overview

At the time of writing, the total crypto market cap is valued at $2.9 trillion, following a slight 0.02% gain in the last day. 

A recent on-chain evaluation has been published, which suggests that Bitcoin may be entering into a classic deceptive phase in its market cycle, a dynamic that poses a trap for potential market participants expecting a straightforward price recovery.

‘New Whales’ Capitulate, But Market Accumulation Resumes

In a QuickTake post on CryptoQuant, a market analyst with the pseudonym Sunny Mom explored the signs typically indicative of a brewing trap within Bitcoin’s current market structure. The crypto expert began by revealing that the recent heavy price corrections have been driven by a surge in Bitcoin investors’ realized losses. In particular, the analyst had identified New Whales, i.e, large BTC holders who bought late into the rally, as the major selling force, as they have been moving to offload their positions and cut their losses.

While the rise in realized losses usually signals a local price bottom formation due to wipeouts of these weaker hands, Sunny Mom also warns that such conjecture holds no significant water in this scenario, because the current stage of the market cycle (cooling phase) is one where buy-side strength can only be verified with presently unavailable data.

However, there is a concurrent accumulation among the ‘smart money’ investors. As seen in the chart above, Sunny Mom notes there is a momentum shift in the market pattern, as the 30-day % change in investor accumulation pattern has flipped into positive values from negative readings, alongside the total Whales’ Total Balance showing signs of gaining stability and a slight upward orientation. All of these positive developments began unfolding within the $80,000-$95,000 price levels amid the market-wide panic, reflecting that smart money investors are highly attracted to this price range and are accordingly accumulating within it.

Price May Rally Into January To Retest ATH — If All Goes Well 

Notably, the bullish signs, i.e., whale balance stabilization and accumulation patterns identified by Sunny Mom, suggest that a local price bottom could soon be established, leading to a price rebound in the short term. 

However, the on-chain analyst warns that this possible price rebound may not necessarily extend into a sustained upward rally. In the right conditions are right conditions as seen earlier this year, Bitcoin may record a price rally into January next year, where a ‘lower high’ close to the ATH is formed, or perhaps the ATH value might even be tested.

Notably, Sunny Mom also warns that Bitcoin’s oldest holders, its ‘Old Whales’, remain largely inactive despite weakening prices and increased accumulation. This inactivity can result in a trap where even the modest price recovery may trigger Old Whale selling activity, which historically signals the end of market cycles.  As of this writing, Bitcoin is worth $84,301, reflecting a 1.09% loss over the past day.

Состояние президента США Дональда Трампа сократилось за пару месяцев с $7,3 до $6,2 млрд из-за снижения стоимости акций компании Trump Media (TMTG). Цена бумаг принадлежащей президентской семье компании снизилась до $10,18 по причине падения биткоина и других криптовалют, сообщил журнал Forbes.

Кредитование под залог криптовалют выросло за год на 38,5%, превысив объемом $73 млрд. Причинами роста стали новые программы стимулирования клиентов и рыночная рефлексия, объяснили аналитики Galaxy Research.

Совладелец и инвестиционный директор компании ProCap BTC Джефф Парк (Jeff Park) заявил, что сильным катализатором роста биткоина может стать новость о начале закупки первой криптовалюты каким-нибудь крупным государством.

Инвестиционный директор компании Bitwise Мэтт Хоуган (Matt Hjugan) назвал падение крипторынка хорошей точкой для входа новых крупных инвесторов. К концу года ведущие криптовалюты могут возобновить рост, уверен топ-менеджер.

Падение цены эфира до уровня поддержки $2800 может указывать на дно рыночного цикла, заявили специалисты онлайн-платформы анализа данных CryptoQuant. Крупные держатели второй по капитализации криптовалюты продолжают накопление актива, несмотря на снижение курса, обратили внимание эксперты.

Fundstrat’s Tom Lee disclosed in a recent interview that last month’s flash event is still echoing through crypto markets, and that those ripples help explain Bitcoin’s recent slide.

According to Lee, the shock on October 10 damaged key market makers—firms that provide trading liquidity—forcing them to pull back and tighten activity.

That pullback, he said, has fed a slow drip of selling that continued into November as investors reassessed risk.

Market Maker Strain Triggered By Trading Glitch

Based on reports, Bitcoin traded near $125,000 on October 6 and held around $120,000 days later before tumbling to the mid-$80,000 range by November 20.

Lee pointed to a technical fault on one exchange where a stablecoin briefly lost its $1 peg amid thin liquidity and internal pricing errors.

That misquote was used by the exchange to price trades, which set off Auto-Deleveraging (ADL) events and a chain of forced liquidations across venues.

The result: several market makers saw their balance sheets weaken, and their reduced activity helped sustain selling pressure rather than absorb it.

ETF Outflows And Macro Forces Add Pressure

The market hit has not been only structural. Reports show Bitcoin fell about 23% this month, while ETF outflows have approached $3 billion, giving traders another reason to step back.

A stronger US dollar and talk of more Federal Reserve tightening have also weighed on sentiment, making it harder for risk assets to hold gains.

Technical indicators picked up by analysts show an RSI around 25.47, which many read as oversold, while MACD readings remain in bearish mode. That mix leaves traders divided between bargain hunters and cautious sellers.

Why Traders Might See A Swift Turnaround

Lee argued that past episodes of forced selling tended to reverse once pressured accounts were exhausted and patient buyers reentered the market.

He suggested Bitcoin could test $77,000 and that Ether might fall toward $2,500 before any steady rebound. Based on his view, the repair of market-making systems and code fixes should stop similar cascades from repeating.

Some funds, he noted, are holding large cash positions and are waiting for clearer signs that liquidity has returned.

A Narrow Window For Recovery Or Further Downside

Investors should watch several things in the coming days: the behavior of large funds, ETF flows, and whether exchanges change how they source prices for margin events.

Reports have disclosed that when automatic systems rely too heavily on internal quotes during low-liquidity moments, risk can amplify rapidly.

Lee thinks volatility isn’t done, though he also argues that once the market’s core problems are patched up, the rebound toward old highs could race ahead of the recent slide.

Featured image from Pexels, chart from TradingView

Crypto pundit Cobb has explained why a supply shock could be imminent for XRP. This follows the launch of two ‘33 Act XRP ETFs, including Bitwise’s fund, with more set to launch next week. 

Why XRP Could Soon Witness A Supply Shock

In an X post, Cobb declared that a supply shock is coming for XRP. This came as he noted that the market is not pricing in the impact the XRP ETFs could have, like they did with Bitcoin and Ethereum. Notably, BTC had rallied to new highs following the launch of the Bitcoin ETFs last year. ETH also saw a significant price increase this year, as Ethereum ETFs experienced a massive spike in inflows. 

Cobb’s statement came in response to crypto pundit Chad’s prediction of the funds taking in a net inflow of a billion daily, with 500 million of the altcoin sent to storage daily. He stated that the token’s price won’t remain at $2 as that happens. It is worth noting that there are currently two existing ‘33 Act spot XRP ETFs issued by Canary Capital and Bitwise. 

SoSo Value data shows that these two funds haven’t come close to recording daily net inflows. So far, their highest daily net inflows have been $245 million, which was what Canary recorded on the first day of trading. However, since then, the daily net inflows have dropped despite the launch of Bitwise’s fund earlier this week. 

The drop in net inflows for the funds comes amid the crypto market decline, which may be contributing to this development. Notably, Canary Capital CEO Steven McClurg had predicted that the funds could take in $10 billion in inflows in their first month, depending on the market conditions. 

More Funds Set To Launch

More XRP ETFs are set to launch, which could further boost the inflows into these funds as a group. Bloomberg analyst Eric Balchunas revealed that Grayscale has received approval from the NYSE Arca to launch its fund on November 24. Meanwhile, his colleague James Seyffart had earlier stated that Franklin Templeton was also likely to launch its fund next Monday. 

Asset manager 21Shares has also filed a Form 8-A for its fund and could begin trading as soon as next week once it gets certification from CBOE. Crypto pundit Chad recently claimed that the altcoin’s price could rally to as high as $220 as these funds continue to accumulate more coins. He noted that BTC’s price nearly doubled following the launch of Bitcoin ETFs and expects the impact of the funds on XRP to be far more significant. 

At the time of writing, the altcoin’s price is trading at around $1.91, down over 2% in the last 24 hours, according to data from CoinMarketCap.

In a market renowned for its volatility, Bitcoin is currently navigating a particularly challenging period that is poised to mark an unfortunate milestone. As the trading week draws to a close, BTC is on track to post its worst weekly performance in over a year. 

Will This Week Mark A Capitulation Point For Bitcoin?

Bitcoin is now firmly on track to log its worst weekly performance in over a year, and it’s also shaping up to become its second-worst November in history. A full-time crypto trader and investor, Daan Crypto Trades, has mentioned on X that historically, November is the best-performing month in terms of average returns. This sharp deviation from the norm is a significant disappointment for many, making 2025 a challenging year so far for the crypto market.

Daan believes that BTC will shine again in the decade to come. These unexpected downturns in the market may not always be enjoyable, but they are essential in the long run. The most crucial thing you need to do is survive. It is worth noting that red rectangles usually come with a lot of green rectangles. Thus, Daan claims investors need to endure the red for long enough.

The CEO of SwanDesk Financial, Jacob King, has highlighted that one of the biggest red flags signaling the Bitcoin bubble was about to burst when Jamie Dimon, CEO of JPMorgan, suddenly flipped bullish on BTC earlier this year. For years, Dimon told investors to stay away from BTC, calling it a giant fraud. The reality is that these Wall Street banks probably bought billions worth of BTC early on and needed more time to accumulate their positions quietly, without driving up the price against themselves.

At the peak, when they need exit liquidity, they would promote it to their customers to buy, and push extreme price targets to draw in fresh demand. King stated that “Wall Street is sleezy, and anything they say should be taken as a direct cue to expect the opposite, especially when it comes to crypto.”

A Capitulation Event Bitcoin Has Never Seen Before

An analyst known as the Master of Crypto has offered insights into investors’ action, noting that short-term Bitcoin holders are experiencing pressure at a level the market has never recorded before. During the COVID-19 crash in March 2020, when BTC swiftly slipped to about $3,850, roughly 92% of recent buyers were sitting on losses. 

Fast forward to the devastating fallout from the FTX collapse in November 2022, and that number rose to roughly 94% as BTC tumbled to the $16,000 mark. The current data show an even sharper shock as over 99% of all short-term holders are in the red near the $89,000 level. Analysts across the board are calling this the most intense wave of capitulation that the BTC market has ever experienced.

Bitcoin’s series of bearish swings has evidently instilled in its market participants a wave of pessimism bordering on flat-out fear. After losing almost 28% of its value this November, the flagship cryptocurrency looks set for the onset of a full bearish cycle. Interestingly, recent on-chain data has been released, which explores a few key metrics to explain the landscape of liquidity pushing Bitcoin’s price, with implied mentions of what to realistically expect in the near term.

Available Liquidity Tapers As Long-Term Demand Rises

In a QuickTake post on CryptoQuant, analytics platform Arab Chain highlights the growing divergence between Bitcoin’s seasoned investors and its ‘smart money’ market players.

The DeFi firm begins its report with readings obtained from the Total Sell-side Liquidity metric, which tracks the amount of Bitcoin available to be sold into the market, based on the behavior of parties that usually serve as liquidity sources. Per Arab Chain, this metric’s reading has recently dropped to about 975,000 BTC, indicating a decline in the amount of coins available for sale by active market participants.

In tandem, the Accumulator Address Demand indicator has shown a surge above 355,000 Bitcoin. For context, this metric reveals how much persistent buying pressure is coming from reputable Bitcoin accumulation wallets over an extended period of time. A surge to 355,000 and levels above reflects a growing accumulation appetite amid the premier cryptocurrency’s strongest holders. Typically, a positive accumulation behavior displayed by market participants helps foresee a sustainable price action in the long term. 

On the other hand, Arab Chain also cites a confluence of two indicators, the Liquidity Inventory Ratio and the ETF Demand. The first, which is a measurement of how long extant liquidity can sustain market activity, shows a reading of 2.74 months, thus indicating there is slower replenishment of active supply. The latter metric, which indicates the net outflows from US spot ETFs, has dropped to -51,000 BTC, indicating sustained net outflows. Taken together, both metrics point to weakening institutional demand, which stands in clear contrast to the rising on-chain accumulation seen elsewhere.

Notably, Binance data reveals that there has been a visible downturn in the price-to-net buying correlation. At the time of the DeFi firm’s report, when Bitcoin was around $83,000, the correlation had seen a decline to as low as 0.72. A weakening correlation typically signals declining inflows relative to price action, thereby implying that the market’s movement is based only on the increasingly fragile liquidity available. Historical data points out that in such conditions, a slight introduction of downward pressure could trigger an exaggerated price crash.

Bitcoin Price Overview 

As of the time of writing, Bitcoin is worth approximately $85,100, with about 1.81% lost over the past day.