Bitcoin News Today: Bitcoin's $90K Slide: Institutional Plot or Market's Reality Check?

Bitcoin's price has tumbled below $90,000 for the first time in months, sparking fresh debates over whether a shadowy "cabal" of institutional players is artificially propping up the cryptocurrency to mask deeper structural weaknesses in the market. The claim, floated by CNBC's Jim Cramer in recent commentary, has gained traction amid a confluence of record outflows from Bitcoin ETFs, shifting macroeconomic conditions, and strategic moves by sovereign wealth funds.

The crypto asset, which hit a record $126,251 in October, has since erased its year-to-date gains, trading at $91,526 as of Nov. 18. Analysts point to a perfect storm of waning institutional demand, profit-taking by long-term holders, and a cooling of risk appetite across global markets. "The selloff is a confluence of profit-taking by LTHs, institutional outflows, macro uncertainty, and leveraged longs getting wiped out," said Jake Kennis, a senior research analyst at Nansen.

A key factor in the recent decline has been the exodus from spot Bitcoin ETFs, which have seen $3 billion in outflows this month alone. BlackRock's IBIT, the largest of these products, recorded a record $523 million in outflows on Nov. 13, according to Bloomberg data. This follows months of inflows that fueled Bitcoin's rally, with ETFs collectively amassing $169 billion in assets by mid-2025. The reversal has left the market without a critical stabilizer, exacerbating volatility and eroding confidence.

Meanwhile, Abu Dhabi's Mubadala Investment Co. has emerged as an unexpected focal point in the debate. The sovereign wealth fund tripled its Bitcoin holdings in the months leading up to the recent crash, according to Bloomberg reporters. Mubadala's actions, alongside its expansion of crypto expertise through hires like former Canada Pension Plan executive Ben Samild, highlight growing institutional interest in the asset despite its volatility. However, critics argue such moves may mask broader fragility, as governments and institutions continue to test the viability of Bitcoin as a strategic reserve.

Cramer's recent remarks have added fuel to the fire. While praising Capital One's acquisition of Discover Financial as a "blockbuster" deal, the Mad Money host suggested that a "cabal" of powerful players is keeping Bitcoin artificially elevated. "Some AI stocks hold greater promise for delivering higher returns and have limited downside risk," he said, indirectly questioning whether Bitcoin's rally is driven by fundamentals or coordinated manipulation. His comments contrasted with his more critical take on PayPal, where he noted that even a strong CEO hasn't offset the stock's 24% year-to-date decline according to Bloomberg.

The idea of a coordinated effort to support Bitcoin's price has found some resonance with Mike Alfred, a crypto entrepreneur who argues the U.S. government will only create a Strategic Bitcoin Reserve when "enough pressure externally" forces its hand. Alfred's comments underscore a broader skepticism about Washington's pace in adopting crypto, with some experts warning that delays could allow other nations-like El Salvador or Pakistan-to outpace the U.S. in building BTC reserves.

As the market grapples with these dynamics, traders have priced in a 50% chance that Bitcoin will end 2025 below $90,000, according to options desk Derive.xyz. This bearish outlook is compounded by the Federal Reserve's shifting stance on interest rates, with traders now assigning just a 46.6% probability of a December rate cut. "Until BTC moves back toward the top of its range, market breadth is likely to stay narrow and narratives will remain short-lived," said Wintermute, a crypto trading firm.

The coming weeks will test whether Bitcoin's current slump signals a deeper bear market or a temporary correction. For now, the interplay of institutional bets, regulatory uncertainty, and Cramer's provocative rhetoric has left the market in a state of flux, with no clear consensus on where the asset is headed.