Bitcoin News Today: Bitcoin ETF Exodus Sparks Bull-Bear Standoff as Fed Uncertainty Lingers

Bitcoin spot exchange-traded funds (ETFs) experienced a record exodus in November, with over $3.5 billion in outflows, raising questions about the cryptocurrency's near-term trajectory. The largest weekly redemptions came from BlackRock's iShares Bitcoin Trust (IBIT), which lost $1 billion, while Fidelity's FBTC and Grayscale's GBTC also faced significant withdrawals according to market data . These outflows, the third-largest since the ETFs' launch in late 2023, coincide with a 33% drop in Bitcoin's price from its October peak of $126,000 to a low of $81,000 in early November as reported . Analysts attribute the sell-off to shifting macroeconomic expectations, including fading hopes for a third Federal Reserve rate cut in 2025 and renewed volatility in artificial intelligence-driven markets.

The decline has triggered a broader capital flight from crypto, with stablecoin supply shrinking for the first time in months and algorithmic stablecoins like USDE losing nearly half their value since October according to CoinDesk . NYDIG's Greg Cipolaro noted that these mechanics-rather than sentiment-drive Bitcoin's slide, warning of a volatile near-term environment despite a long-term bullish outlook. Meanwhile, corporate treasury strategies tied to digital asset token (DAT) premiums have reversed, with firms now selling assets or repurchasing shares as discounts emerge as detailed in CoinDesk .

Market participants are divided on the implications. Eric Balchunas of Bloomberg emphasized Bitcoin's historical resilience, pointing to past recoveries from deeper corrections, while Nicholas Roberts-Huntley of Blueprint Finance suggested the selloff could clear excess leverage and set the stage for a healthier rebound. However, the Federal Reserve's tightening stance remains a wildcard. Recent data showing a hotter-than-expected jobs market reduced the likelihood of a December rate cut, though Barclays Research hinted that Chair Jerome Powell might push for a 25-basis-point reduction according to financial reports . This uncertainty has kept Bitcoin in a $85,000–$90,000 trading range, with analysts like Michael van de Poppe noting technical indicators such as oversold RSI readings and liquidation exhaustion as potential catalysts for a short-term rebound.

For now, Bitcoin's price is consolidating in a narrow range, waiting for a clear macroeconomic catalyst to break out or break down. Technical analysis suggests that the recent RSI oversold readings might present a short-term buying opportunity, though traders should remain cautious due to the high volatility and uncertain Fed policy.

Market participants are closely watching the RSI and moving average crossover indicators to identify potential turning points in the current bearish trend. While Bitcoin’s long-term fundamentals remain strong, the near-term volatility suggests a lack of consensus on the market's direction.

Institutional demand for Bitcoin-native financial tools, such as yield-generating and collateralized products, could provide the next phase of adoption if custody solutions and regulatory clarity improve according to CoinDesk . For now, however, the market remains in a wait-and-see mode. As Andreas Brekken of SideShift.ai observed, the current downturn aligns with historical bear market patterns, with a potential bull market likely to begin in early 2026 as reported by Forbes .