Bitcoin Holds Near $88K Amid Thin Year-End Trading as Asian Markets Dip
Bitcoin hovered near $88,000 as year-end trimming continued following October’s leverage shock, which caused over $19 billion in forced liquidations within approximately one day. Q4 saw significant spot Bitcoin ETF outflows, reaching about $6 billion, contributing to Bitcoin staying below the $90,000 mark into year-end. Trading volume decreased markedly in late 2025, with markets remaining flat or unpredictable and holiday schedules reducing risk-taking activity.
Asian markets experienced low liquidity; Hong Kong volumes fell below the yearly average, and the Hang Seng index declined as holiday closures approached. Meanwhile, Japan and South Korea markets were closed. Despite regional dips, global equities remained strong overall, with the MSCI All Country World Index reaching a fresh high. Fed meeting minutes suggested rate expectations stayed anchored ahead of the upcoming January 27–28 session.
The near-term cryptocurrency outlook depends on whether new inflows return in January or if the thin liquidity conditions keep price action range-bound, as Bitcoin defends the mid-$80,000 range heading into 2026. Market snapshot at the time showed Bitcoin at $88,501 (up 1.7%), Ether at $2,974 (up 1.6%), XRP at $1.88 (up 1.7%), and total crypto market capitalization at $3.07 trillion (up 1.5%).
In the U.S. equity sector, Meta announced a planned acquisition of AI startup Manus, reflecting a broader context of increased risk appetite.
