Bitcoin News Today: Bitcoin's Bull Market Fractures as Institutional Demand and Liquidity Dry Up

Bitcoin has entered its most bearish phase since the 2023 bull market began, as the cryptocurrency broke below its 365-day moving average-a critical technical level it had held through every prior correction in the cycle. According to CryptoQuant's analysis, the breakdown signals a shift in market structure and has intensified worries among analysts about the sustainability of current trends as reported by analysts. At $89,376 as of late November, Bitcoin faces mounting pressure after a 28% drawdown from its recent highs, with support now testing at $90,000–$92,000 as the market has weakened.

Technical indicators paint a grim picture. CryptoQuant's Bull Score Index plummeted to 20/100, a level historically associated with extreme bearishness, driven by weakening spot demand, negative price momentum, and stagnant stablecoin liquidity growth as data shows. The 365-day moving average, which had previously acted as a floor during the 2022 bear market, now serves as a resistance barrier near $102,600 as confirmed by market analysis. Meanwhile, Bitcoin's failure to hold above its 200-day exponential moving average-part of a

"Death Cross" pattern-has reinforced downward momentum.

Demand-side pressures compound the technical weakness. Bitcoin Treasury companies have seen their market capitalizations collapse by 70–90%, leaving them unable to fund further BTC purchases. Firms like Strategy, previously the largest consistent buyer, have sharply curtailed accumulation as their stock values neared the worth of their Bitcoin reserves. This evaporating demand has left the market vulnerable, with institutional investors also scaling back. Bitcoin spot ETFs recorded $373 million in outflows on November 19 alone, reducing net assets to $122.29 billion from a peak of $170 billion in early October.

The bearish sentiment extends beyond Bitcoin. Ethereum and XRP also trade lower, with Ethereum ETFs facing prolonged outflows and open interest in XRP derivatives hovering near $3.85 billion as reported by market analysts. Stablecoin liquidity, a key driver of crypto adoption, has stagnated despite regulatory advances. Circle, issuer of $74 billion in USDC, reported tripled quarterly profits but faces scrutiny as the stablecoin's growth slows.

Market participants are debating whether this marks the end of the current four-year bull cycle or a delayed extension into 2026. Historically, Bitcoin cycles align with halving events, but CryptoQuant warns that institutional demand-like its Treasury counterparts-can vanish just as quickly. The Federal Reserve's uncertain rate-cut timeline and waning retail appetite further cloud the outlook.

Bitcoin's latest breakdown underscores the fragility of a market still grappling with macroeconomic headwinds and structural shifts. With key technical levels shattered and demand sources disappearing, the path to recovery remains fraught.