Bitcoin News Today: "Bitcoin's $90k Drop Exposes Crypto Liquidity Crisis as ETFs Lose $492M"

Bitcoin fell below $90,000 for the first time since April 2025 as spot ETFs faced record outflows, signaling growing liquidity pressures in the crypto market. The decline, which saw the world's largest cryptocurrency drop nearly 30% from its October highs, left ETF investors collectively in the red, with the average cost basis of inflows at 89,600. The selloff coincided with a historic $492 million net outflow from U.S. Bitcoin ETFs on November 14–15, led by BlackRock's IBIT, which lost $463.1 million in a single day—the largest withdrawal since its launch. Fidelity's FBTC and Grayscale's GBTC also reported significant redemptions, while smaller products like Grayscale's Bitcoin Mini BTC attracted modest inflows according to data.

The exodus of capital from crypto ETFs reflects broader market anxiety. The Fear and Greed Index, a key sentiment indicator, plummeted to 10 on November 15—the lowest level since March 2020's pandemic crash. Analysts attribute the turmoil to macroeconomic uncertainty, including hawkish Federal Reserve signals and global debt concerns. "Liquidity shortages often signal deeper structural issues," noted a CryptoQuant analyst, though some see opportunities for resilient assets like Bitcoin according to reports. The selloff has also widened the gap between top-performing cryptocurrencies and others, with most digital assets falling 10–30% over the past month as data shows.

Institutional investors, however, have shown mixed responses. Emory University increased its stake to $51.8 million by Q3 2025. Meanwhile, Bitcoin advocacy group Strategy (MSTR) added 8,178 BTC—worth $835.6 million—at an average price of $102,171 per coin, its largest purchase since July. Michael Saylor, Strategy's executive chairman, dismissed concerns about liquidation rumors, insisting the firm is "accelerating purchases" despite the market downturn according to reports. His comments contrast with broader ETF outflows, which have erased $3.2 billion from crypto ETPs over three weeks, reducing assets under management to $191 billion from a peak of $264 billion in early October.

The price decline has tested key technical levels, with Bitcoin briefly dipping below its 365-day moving average at $102,000, a threshold that historically marks the start of bearish cycles. On-chain data reveals growing pressure on investors who bought during the ETF-driven rally, with holders from the 6–12 month window now facing unrealized losses according to analysis. Analysts warn that a failure to reclaim the $92,000–$95,000 support range could push Bitcoin toward $85,000–$90,000, a typical mid-cycle correction target. Privacy-focused coins like Zcash and Monero, however, gained traction amid the broader selloff, rising 15–13.7% in 24 hours.

Market observers remain divided on the outlook. While some view the volatility as a buying opportunity for Bitcoin's long-term scarcity value according to reports, others caution that macroeconomic risks— including potential U.S. debt ceiling issues and Fed policy—could prolong the downturn as data shows. The crypto Fear and Greed Index's extreme fear reading, last seen during the 2020 crash, underscores the market's fragile state according to analysis. As ETF flows continue to fluctuate, investors are urged to balance short-term turbulence with long-term fundamentals, though the path to recovery remains uncertain.