Bitcoin News Today: Bessent's Pubkey Visit: Omen of Crypto Recovery or Deeper Downturn?

Treasury Secretary Scott Bessent's unannounced visit to Washington, D.C.'s Pubkey Bitcoin bar on Thursday sparked a mix of excitement and skepticism within the crypto community, even as Bitcoin continued its downward spiral below $85,500 according to a report. The bar, which opened in late 2025, is part of a chain that gained national attention after Donald Trump visited its New York sister location in 2024. Bessent's appearance, described by some as a "sign you have been waiting for", was interpreted by traders as a subtle nod to the U.S. Treasury's evolving stance on digital assets. However, market analysts cautioned against overreacting. "In this type of market, signals like this don't matter much-until later, when everyone realizes they did," trader MacroScope noted according to a report.

Bitcoin's price decline has accelerated in recent weeks, erasing all gains from 2025 and trading near $85,500 as of November 21-its lowest level since April 2025. The sell-off has been fueled by macroeconomic uncertainty, including speculation about delayed U.S. interest rate cuts and broader equity market weakness. Institutional players, however, have shown resilience. Strategy's recent purchase of 8,178 Bitcoin worth $835 million has partially offset selling pressure, according to Edul Patel of Mudrex. Meanwhile, on-chain data reveals a surge in activity from short-term holders, a pattern often seen near market bottoms.

The downturn has also triggered a wave of liquidations. Over $1 billion in positions were liquidated in a 24-hour period, with 70% of the losses coming from long positions. This marks the latest in a series of billion-dollar liquidation events in late 2025, reflecting a structurally fragile market. "Once liquidations start, they tend to trigger a feedback loop," a trader cited in Yahoo Finance explained, noting that leveraged positions are particularly vulnerable to even minor price swings.

Despite the volatility, some analysts argue the market is not in freefall. Danny Nelson of Bitwise and Tim Sun of HashKey emphasized that unlike past crashes, this downturn lacks a catastrophic catalyst like the FTX collapse. Instead, they point to ongoing infrastructure improvements-such as tokenization and stablecoin expansion-as signs of a strengthening ecosystem according to a report. Ashish Singhal of CoinSwitch added that historical patterns suggest short-term volatility often precedes recoveries, though he warned that a move toward $80,000 "cannot be ruled out" according to a report.

Bessent's pro-crypto credentials, including his support for the GENIUS Act and his department's exploration of a Strategic Bitcoin Reserve, have bolstered optimism among Bitcoin maximalists according to a report. Yet, the timing of his visit-amid a 28% drop in crypto's total market capitalization since October-has left traders divided. Social media sentiment remains split, with some predicting a rebound to $130,000 and others forecasting a drop to as low as $20,000 according to reports.

As the market grapples with its next move, Pubkey's cultural significance as a hub for Bitcoin enthusiasts underscores the sector's unique blend of innovation and controversy. Whether Bessent's appearance will be remembered as a pivotal moment or a footnote in the ongoing saga remains to be seen.