Bitcoin Price Recovers After Brief Dip Below $90,000 as Stocks Struggle in Asia Market Open
Bitcoin briefly dropped below $90,000, reaching a seven-month low of $89,286.75 in Asia before recovering to around $92,361. This price level remains approximately 26% below its October peak above $126,000.
In the past six weeks, approximately $1.2 trillion of crypto value has evaporated. US spot Bitcoin ETF outflows have totaled about $3.7 billion since October 10, including $2.3 billion in November, contributing additional selling pressure.
The crypto market is influenced by a risk-off mood and fading expectations for further US rate cuts. This occurs despite a rally in global equities that shows limited conviction. Asian stock markets presented a mixed picture ahead of Nvidia earnings, with the Nasdaq falling 1.2%, the Nikkei rising 0.4%, and the Kospi declining 0.8%.
The Fear & Greed index is currently at extreme fear levels. Ignacio Aguirre of Bitget pointed to recent $800 million Bitcoin liquidations as evidence of a shakeout and a potential bottom in the market. While Bitcoin’s correlation with tech stocks may fade over time, proponents still regard Bitcoin as a digital store of value, viewing sub-$100,000 levels as potential buying opportunities.
A market snapshot shows Bitcoin at $90,970, up 0.8%; Ether at $3,036, up 0.7%; XRP at $2.16, down 0.5%; and total crypto market capitalization at $3.20 trillion, up 0.8%.
