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Bitcoin Drops Below $90,000: Correction or Bear Market?

ProofProtector  · 2025-12-01 ·  21 days ago
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Bitcoin just dropped over 5% below $90,000 — is this the start of a deeper crypto bear cycle, or just a short-term correction triggered by broader market risk aversion?

5 Answer

  • The slide of Bitcoin below the $90,000 mark, with intraday lows around $86,754, is a strong signal that market conditions are shifting. Reuters Historically, Bitcoin had hit record highs not long ago, but November’s $18,000 drop — the largest since May 2021 — shook investor confidence.


    What’s driving the dip seems to be a broader retreat from risk assets. Crypto is increasingly acting like a high-beta asset — moving in tune with equities and macro sentiment, rather than as a standalone digital store-of-value.  Add to that record outflows from U.S.-listed spot Bitcoin ETFs and weaker demand following downgrades to major stablecoins, and the pressure looks multi-dimensional.


    That said, this could well be a correction rather than a full-blown bear market. Some historical patterns suggest December tends to bring a rally — Bitcoin’s average December performance has been positive over past years.  If macro conditions stabilize, volatility calms, and capital flows slow their exit or reverse, we might see support form around the current levels and maybe a rebound.


    For now, though, caution makes sense. With volatility up, ETF outflows continuing, and risk sentiment fragile, short-term swings could remain sharp. If you’re holding — brace for turbulence. If you’re trading or entering new positions — wait for signs of stabilization before jumping back in.

  • Could be a correction — could be more. I’m keeping some Bitcoin but setting stop-losses. Wait for volume and macro to stabilize before deciding.

  • Short-term shakes don’t bother me. Bitcoin’s been resilient before. I’m holding through dips and focusing on long-term fundamentals.

  • Drops like this bring opportunity. If it bounces, we might get good entry prices. I’m watching support zones closely.

  • Wow, big red candle and lots of warnings. This feels like a slide into deeper crypto winter. I’m staying out until price shows strength.

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