Bitcoin News Today: Short-Term Holders Bear Brunt as Bitcoin Dives Below $95K

The crypto market is navigating a period of turbulence as Bitcoin's price retreats below key psychological thresholds, sparking debates over whether the selloff signals a bearish reversal or a cyclical correction. The Fear & Greed Index, a widely tracked sentiment indicator, has plummeted to 10-the lowest level since late February 2025-reflecting "extreme fear" among investors amid a week of losses across major cryptocurrencies according to market analysis. Bitcoin, the largest digital asset by market capitalization, fell below $95,000 on November 15, erasing more than 23% of its value from its October peak of $126,000 according to market data. Analysts attribute the decline to a confluence of factors, including profit-taking by long-term holders (LTHs), institutional outflows, macroeconomic uncertainty, and leveraged positions being liquidated according to market analysis.

Short-term holders (STHs) have borne the brunt of the downturn, with Glassnode data revealing that 2.8 million BTC held by STHs-defined as coins held for less than 155 days-are now underwater, the highest level since the FTX collapse in 2022 according to data. The STH Spent Output Profit Ratio (SOPR) has repeatedly dipped below 1, indicating active loss-taking behavior, while the bulk of the volume sold in recent days originated from coins held for less than three months according to analysis. Meanwhile, LTHs-holders with positions over 155 days-have continued to distribute, reducing their supply by 3% since July. Nicholas Gregory, a Bitcoin advocate, noted that many LTHs have opted to sell for lifestyle reasons rather than bearish sentiment, capitalizing on the liquidity provided by U.S. ETFs and the $100,000 price target according to market reports.

Institutional outflows have compounded the pressure. U.S.-listed Bitcoin ETFs saw net outflows of $870 million on November 14, signaling waning confidence amid shifting Federal Reserve policy expectations according to market data. The probability of a 25-basis-point rate cut in December has dropped to 53.6% from 94.4% a month earlier, according to the CME FedWatch tool, while the likelihood of no change has surged to 46.4% according to market analysis. This uncertainty has amplified risk-off sentiment, with leveraged longs in crypto markets facing cascading liquidations. Over $600 million in forced closures occurred within hours of key support levels breaking, according to XWIN Research.

Despite the near-term pain, some experts argue the correction is a healthy part of the bull market cycle rather than a reversal. XWIN Research posits that Bitcoin's price could remain in a correction phase until mid-2026 if the $92,000–$94,000 support zone is breached, with further declines to $85,000 possible. Conversely, on-chain data suggests the market retains resilience: 72% of Bitcoin's supply remains in profit at $100,000, and the Realized Cap metric shows continued inflows from new buyers despite the price drop according to analysis. Michael Saylor, CEO of MicroStrategy, has reaffirmed his bullish stance, dismissing reports of corporate Bitcoin sales and predicting the asset will outperform gold and the S&P 500 by year-end according to market reports.

Ethereum, meanwhile, has shown relative strength, trading at $3,205 as of November 15-a 0.2% gain-despite broader market weakness according to market data. However, analysts caution that a drop below $3,000 could undermine bullish price targets for 2025, prompting investors to explore alternative opportunities within the Ethereum ecosystem, such as payment-focused tokens like Remittix (RTX) according to analysis.

The crypto market's next inflection point may hinge on renewed institutional demand and clarity on Fed policy. While ETF inflows have stalled recently, BlackRock's spot Bitcoin ETF remains a bright spot, amassing $28.1 billion in year-to-date inflows despite competitors facing outflows according to market analysis. Bitfinex analysts frame the current correction as a mid-cycle consolidation akin to those seen in early 2025, with historical patterns suggesting recoveries follow such drawdowns according to market analysis.