Bitcoin News Today: "Bitcoin's $80K Floor in the Crosshairs as Fed's Pivot Triggers Liquidity Surge"

Arthur Hayes, co-founder of BitMEX, has reaffirmed his conviction that Bitcoin's recent decline to the $80,000 range marks a critical support level, signaling a potential floor for the cryptocurrency amid evolving macroeconomic conditions. Hayes cited improving liquidity trends, including the U.S. Federal Reserve's scheduled halt to quantitative tightening (QT) on December 1 and increased lending activity by U.S. banks in November, as key catalysts for a near-term stabilization in BTC's price. While acknowledging short-term volatility, he anticipates a "final stab" into the low $80Ks before the level holds, with plans to accumulate small positions now but defer larger purchases until early 2026.

The Fed's pivot away from QT, which has been a primary driver of liquidity constraints in global markets, is seen as pivotal. Hayes emphasized that the end of QT will halt the shrinkage of the central bank's balance sheet, easing pressure on risk assets and creating a "rising-tide effect" for crypto. This aligns with broader market observations: Swissblock noted a sharp decline in its "Risk-Off Signal," suggesting the most aggressive phase of selling may have subsided, with remaining weakness likely to manifest as a smaller, secondary wave. On-chain data further supports this narrative, showing rapid absorption of forced sellers and a swift rebound in market sentiment following a record net realized loss.

However, Bitcoin's path to stability has not been without turbulence. CoinShares reported $1.94 billion in digital asset outflows last week, with Bitcoin accounting for $1.27 billion of the exodus amid its price correction. The BlackRock Bitcoin ETF led outflows, while Ethereum faced $589 million in withdrawals. Despite this, partial reversals on Friday and a 2.5% rebound from recent lows indicate waning seller momentum according to analysts. Hayes noted that Bitcoin's recovery hinges more on credit expansion than interest rate cuts-a dynamic evidenced by its prior ascent to $100,000 amid high rates.

Other market developments underscore the interconnectedness of crypto and traditional finance. Metaplanet, a Japanese Bitcoin treasury firm, secured a $130 million loan to fuel further BTC purchases, leveraging its 30,823 BTC holdings as collateral. Meanwhile, XRP surged 7%, its largest single-day gain in weeks, as Grayscale's new ETFs attracted institutional interest. These moves highlight growing institutional appetite for digital assets despite broader market jitters.

Hayes' outlook remains cautiously bullish, balancing macro optimism with tactical caution. "We're playing for more money printing," he stated, arguing that AI-driven corrections could precede a broader crypto rebound. With the Fed's December meeting looming and liquidity conditions poised to improve, the $80,000 support level will be a critical barometer for Bitcoin's next move.