Bitcoin dropped below $90,000, deepening a month-long slide that has erased the cryptocurrency’s gains for 2025 and rocked sentiment across the digital-asset world.
The largest token fell as much as 2.4% on Tuesday, extending its decline from a record of more than $126,000 set in early October. Bitcoin last traded below $90,000 — eventually tumbling to as low as $74,400 in April — after President Donald Trump upended financial markets worldwide with his initial plan for trade tariffs. It recovered some losses to trade at around $91,400 at 11 a.m. in London.
The reversal comes amid rising economic headwinds, including renewed concerns over interest-rate policy and stretched valuations across speculative markets.
With traders reassessing the likelihood of a Federal Reserve interest-rate cut in December and stock markets slipping from recent highs, risk appetite has soured — leaving Bitcoin vulnerable to further downside.
“With Fed December rate cuts pricing below 50% chance now, crypto markets continue to grind lower after losing the important 100k level in BTC,” said Shiliang Tang, managing partner of Monarq Asset Management.
Options traders are betting on deeper losses, with demand for downside protection at the $85,000 and $80,000 strikes dominating recent flows.
The crypto market has struggled to find support after an early-October selloff triggered more than $19 billion in liquidations and wiped out over $1 trillion in token market value. While a cohort of institutional holders have largely held their ground, retail participation and dip-buying have faded, particularly among speculative altcoins. Long and short positions worth about $950 million have been liquidated in the past 24 hours as crypto prices gyrated, Coinglass data shows.
Some market watchers pointed to an uncertain outlook for Bitcoin, as selling by exchange-traded funds hit by outflows and distress among digital-asset treasuries present an opportunity for longer-term bulls to pounce on recent declines.
Digital-asset treasuries — public companies such as Michael Saylor’s Strategy Inc. that amassed crypto holdings earlier this year — have come under increased strain, with some forced to reassess positions as token prices fall below key accumulation levels.
A group of 12 spot ETFs dedicated to Bitcoin have seen net outflows of about $2.8 billion so far in November after adding tens of billions of dollars in fresh assets during the rally that followed Trump’s presidential victory last November.
“We expect Bitcoin to see more volatility for the next few months as long-term buyers view this drop as a good opportunity, while trading institutions may derisk as global macro factors change portfolio projections,” said Nick Ruck, a director at LVRG Research.
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