As cryptocurrencies slip back into the red, Bitcoin (BTC) has almost reached $85,000 again. Let’s take a look at this continued bearish trend, which supports the bear market scenario.
Bitcoin (BTC) experiences another bearish leg
Still in a phase of uncertainty, the price of Bitcoin (BTC) has fallen back to nearly $85,000. After hitting a low of $80,600 on November 21, BTC attempted a recovery, gaining more than 17%. However, price action seems to point to a continuation of the downtrend in recent days, with a loss of nearly 9%:
At the time of writing, BTC is trading at $86,450, down 3.6% over 24 hours. Other cryptocurrencies are posting heavier losses, with ETH down 6%, XRP down 5.3%, and HYPE down 8.7%.
In terms of liquidations, Coinglass data reports $576.55 million in forced closures on long positions over the last 24 hours, for a total of $652.94 million.
After hitting a low of 10 on November 22, CoinMarketCap’s Crypto Fear and Greed Index currently stands at 22, which corresponds to a feeling of fear in the market.
Even more symbolic, the total crypto capitalization is now just over $3 trillion. Last month, it briefly fell below this threshold before recovering. As days of gains become increasingly rare and declines no longer necessarily respond to negative news, the prospect of a continued bull run recedes a little further each day.
On the US spot Bitcoin ETF side, Monday’s session saw $357.69 million in outflows, bringing total assets under management down to $112.27 billion. Furthermore, if the monthly close were to take place today on BTC, the current 4.18% decline would represent the worst December since 2021 and the fourth worst month of the current year.
