Bitcoin

Reserve

Bitcoin nosedived to $92,808 early Friday, shedding 9% in a single day. Just days ago, it was basking in its glory above $108,000, its highest price ever. Now, the scene looks different. 
The sell-off comes as the <a href="https://www.cryptopolitan.com/federal-reserve-cuts-interest-rates-by-25bps/">Federal Reserve</a> drops a bombshell: fewer interest rate cuts are expected next year. And oh, no Bitcoin national reserve will get any support from them. That’s not the kind of news anyone wanted heading into the holiday season. 
Crypto isn’t falling alone. Wall Street took a hit too. The ripple effects from the Fed’s tighter stance dragged down equities. And all predictions point to things only getting worse. 
<h3 id="span-style-font-weight-400-bitcoin-carnage-blood-on-the-crypto-charts-span">Bitcoin carnage: Blood on the crypto charts&nbsp;</h3> 
The Bitcoin crash is pulling the entire crypto market into a downward spiral. Ethereum? Down 15%. XRP? A brutal 17% drop in just 24 hours. 
Even Bitcoin-focused ETFs felt the heat. Yesterday, U.S.-listed ETFs investing directly in Bitcoin recorded $671.9 million in outflows. That’s literally their worst day since these funds came into existence. 
Fidelity’s FBTC ETF saw $208.5 million walk out the door, while Grayscale’s GBTC wasn’t far behind, losing $188.6 million. BlackRock’s IBIT ETF, a favorite in recent weeks, recorded no inflows for the first time in a while. It’s like investors suddenly got cold feet. 
Meanwhile, the CME Bitcoin futures market isn’t faring much better. The annualized premium on one-month BTC futures dropped to 9.83%, its lowest level in over a month. Lower premiums mean those arbitrage trades that made traders easy money aren’t so lucrative anymore. 
Ether ETFs bled $60.5 million on Thursday too, breaking a streak that had been running since November 21. <a href="https://coinmarketcap.com/currencies/ethereum/" rel="nofollow noopener" target="_blank">Ethereum</a>, once flirting with $4,100, is now down 20% in just a few days. 
Markets don’t like uncertainty, and Trump’s aggressive policies are adding fuel to the fire. He’s already threatening tariffs against U.S. allies and rivals alike, making investors wonder if geopolitical tensions will make an already jittery market worse. 
Combine that with the Fed’s hawkish tone, and you’ve got a recipe for a volatile holiday season. Is a Santa Rally even possible at this point? 
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Bitcoin tumbles to $92k as the bears get comfortable. Is it heading for $90k next?

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