Bitcoin News Today: Why Crypto's New Market Structure Signals a Downturn's End

Bitwise Asset Management CEO Hunter Horsley has struck a bullish tone amid the ongoing crypto bear market, asserting that the sector is nearing the end of a six-month downturn and that long-term fundamentals remain robust. His comments contrast sharply with current market sentiment, as the Crypto Fear and Greed Index plunged to 16, a level signaling extreme fear-highlighting the chasm between institutional optimism and retail investor anxiety.

Horsley argues that the traditional four-year crypto market cycle has evolved, replaced by a "new market structure" shaped by U.S. regulatory progress and the launch of Bitcoin ETFs. He emphasized that the sector now benefits from institutional infrastructure, political support, and clearer regulatory frameworks, creating a foundation for a different trajectory than historical patterns according to analysis. This view aligns with broader industry trends, including the growing adoption of Bitcoin as a portfolio diversification tool, despite recent outflows from crypto funds totaling $2 billion last week, according to CoinShares.

The bearish backdrop is underscored by Bitcoin's six-month low of $94,590 and a 20% decline from its 2025 peak. Analysts attribute the slump to fading optimism over U.S. pro-crypto policies, macroeconomic risk aversion, and the quiet withdrawal of institutional buyers such as ETF participants. Meanwhile, liquidity constraints have exacerbated price swings, with order-book depth remaining structurally weaker since October's market crash. The Federal Reserve's uncertain policy path further complicates the outlook, as only 44% of traders anticipate a December rate cut, reflecting divergent expectations about the central bank's next move.

In a related development, BTC Inc, a Bitcoin-focused media and events company, reported strong preliminary financial results for the nine months ended September 30, 2025, with $61.9 million in revenue and $23 million in EBITDA-140% growth year-over-year-despite a 4.3% stock decline following a leadership transition. The company's resilience highlights the broader crypto ecosystem's adaptability, even as smaller altcoins face steeper declines. A MarketVector index tracking the bottom 50 of the top 100 digital assets has plummeted 60% this year, reflecting heightened risk-off sentiment.

Horsley's contrarian stance is not without precedent. History shows that pessimism often precedes rebounds in crypto cycles, with bear markets typically bottoming after 30–40% declines. JPMorgan analysts recently estimated a potential floor of $94,000 for Bitcoin, with a target of $170,000 within a year. However, short-term challenges persist, including the ongoing deleveraging of $140 billion in open bitcoin futures and options contracts- a far cry from the $220 billion peak in October.

As the market grapples with volatility, Horsley's message underscores a key theme: while pessimists may appear visionary in downturns, optimists who withstand the noise often reap long-term rewards. With regulatory clarity, institutional adoption, and a maturing market structure in play, the crypto sector's next chapter may hinge on balancing caution with conviction.

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