Bitcoin News Today: Bitcoin's Tug-of-War: Bearish Pressures Clash with Historical Rebound Hopes

Bitcoin fell below $87,000 on November 20, 2025, narrowing its 24-hour gain to a mere 0.41% amid a broader market selloff driven by shifting Federal Reserve policy expectations and macroeconomic uncertainties. The cryptocurrency's price retraced from a brief rally above $93,000 following Nvidia's (NVDA) earnings beat earlier in the week, which had briefly lifted tech stocks and crypto markets. However, renewed selling pressure emerged as investors recalibrated expectations around the likelihood of a December rate cut, which now stands at less than 40% according to derivatives markets.

The decline intensified as the U.S. government reopened after a prolonged shutdown, revealing stronger-than-expected September jobs data-adding 119,000 jobs-that reinforced the Fed's hawkish stance. Federal Reserve officials, including Cleveland President Beth Hammach, emphasized concerns over inflation and stock market exuberance, echoing Alan Greenspan's 1996 "irrational exuberance" warnings. This sentiment was compounded by delayed October employment data, leaving policymakers without critical information to guide their December meeting.

Bitcoin's struggles mirrored broader market weakness, with the Nasdaq trimming its early gains to just 0.3% and even Nvidia trading flat after an initial 5% surge. The crypto market, highly sensitive to liquidity and interest rate cycles, saw over $820 million in liquidations within 24 hours according to Coinglass data. Ether (ETH) and Solana (SOL) also slid, with ETH dropping below $2,900 as institutional treasury sales added to downward momentum.

Analysts highlighted the precarious technical outlook for Bitcoin, which now tests critical support levels. Santiment noted that retail traders' extreme bearishness often precedes market reversals, while historical patterns suggest rebounds after prolonged capitulation. CoinMarketCap's Fear and Greed Index hit a yearly low of 15/100, a level that previously signaled bullish rebounds months later. However, the immediate outlook remains grim: Bitcoin could face further declines to $82,045, with some analysts warning of a catastrophic drop to $10,000 if 2018's market dynamics repeat.

The Fed's internal debate over December policy added to uncertainty. While traders priced in a 67% chance of a 25-basis-point rate cut, officials like Boston Fed President Susan Collins urged caution, emphasizing the need for more data before easing. This divide reflects a broader tension between dovish calls to stimulate a cooling labor market and hawkish concerns about sticky inflation, particularly in housing and services.

Amid the volatility, political developments in Japan and geopolitical tensions with China underscored macroeconomic fragility. Japan's new prime minister, Sanae Takaichi, faced backlash from Beijing after remarks perceived as supportive of Taiwan, heightening regional risks that could further strain global markets .

Despite the gloom, some crypto segments showed resilience. Meme coins like TNSR surged over 54% in 24 hours, while institutional adoption, including Rep. Warren Davidson's proposed Bitcoin for America Act, signaled long-term interest in digital assets according to reports. Yet, these gains offered little solace to traders grappling with immediate losses.

The coming weeks will hinge on the Fed's December decision and the release of delayed October jobs data. For now, Bitcoin's path remains uncertain-a tug-of-war between bearish fundamentals and historical rebounds that could yet redefine its trajectory.