Bitcoin Edges Up After Losing All Gains for 2025 Amid Market Caution
November 18, 2025 — Al Jazeera
Bitcoin experienced a slight rebound on Tuesday after tumbling below $90,000 for the first time in seven months, a drop that wiped out all its gains for the year and underscored a growing risk-averse sentiment among investors across financial markets.
The cryptocurrency fell sharply on Monday amid renewed doubts about future interest rate cuts by the US Federal Reserve, contributing to a broader cautious tone that has gripped global markets following a prolonged rally. During European trading hours, Bitcoin was down 0.5% at $91,338.47, having dipped to a low of $89,286.75. This decline marks a nearly 30% fall from Bitcoin’s peak of around $126,000 in October. The downturn in Bitcoin coincides with a significant contraction across the wider cryptocurrency market, which has seen approximately $1.2 trillion wiped off the total market capitalization over the past six weeks, according to data from market tracker CoinGecko.
Market experts highlight multiple factors driving the sell-off. Joshua Chu, co-chair of the Hong Kong Web3 Association, pointed to a "cascading selloff" exacerbated by institutional players and listed companies retreating after earlier accumulating substantial crypto holdings during the rally. He noted that "when support thins and macro uncertainty rises, confidence can erode with remarkable speed."
Similarly, Joseph Edwards of Enigma Securities observed that speculative investors who had anticipated supportive US regulatory measures are now pulling back. He attributed recent outflows from crypto exchange-traded funds (ETFs) and other vehicles to weakened buyer interest, especially among retail investors still recovering from a significant flash crash in October, which triggered $19 billion in liquidations across leveraged positions.
Not only Bitcoin but other major cryptocurrencies have faced pressure. Ethereum (ETH), for example, has lost nearly 40% of its value since peaking above $4,955 in August.
Publicly listed companies with significant cryptocurrency treasuries, such as miners Riot Platforms and Mara Holdings, as well as exchange Coinbase, have also seen their stock prices decline amid the market downturn. Standard Chartered has warned that if Bitcoin remains below the $90,000 threshold, about half of these corporate Bitcoin holdings could be “underwater” — meaning their market value is less than the acquisition cost.
According to Standard Chartered, listed companies collectively hold approximately 4% of all Bitcoin in circulation and 3.1% of Ethereum, which places them at considerable risk should prices continue to fall.
Matthew Dibb, Chief Investment Officer at Astronaut Capital, summarized the prevailing mood: "Sentiment is pretty low in crypto and has been since the leverage wipeout of October," referencing last month’s sudden plunge that rattled markets and undermined confidence.
As the cryptocurrency sector navigates these headwinds, market participants are closely monitoring developments in US monetary policy and broader economic signals that could influence investor appetite for high-risk digital assets moving forward.
For more coverage on cryptocurrency trends and financial markets, visit Al Jazeera’s Economy and Crypto News sections.