Bitcoin News Update: Short-Term Investors Face Losses as Bitcoin Falls Under $95K

The cryptocurrency market is currently experiencing significant volatility, with Bitcoin dropping below important psychological levels. This has led to discussions about whether the recent decline marks the start of a bearish trend or is simply a routine market correction. The Fear & Greed Index—a popular gauge of investor sentiment—has plunged to 10, its lowest reading since late February 2025, indicating "extreme fear" among market participants after a week of widespread losses in major digital assets

. , the top cryptocurrency by market value, slipped under $95,000 on November 15, wiping out over 23% from its October high of $126,000 . Experts point to several contributing factors, such as profit-taking by long-term investors, withdrawals by institutions, broader economic uncertainty, and the forced closure of leveraged positions .

Short-term investors have been hit hardest by the downturn. Glassnode reports that 2.8 million BTC held by short-term holders—defined as coins held for less than 155 days—are now at a loss, the highest since the FTX crisis in 2022

. The STH Spent Output Profit Ratio (SOPR) has consistently fallen below 1, signaling ongoing loss realization, and most of the recent selling has come from coins held for under three months . Meanwhile, long-term holders—those with assets held for more than 155 days—have continued to sell, reducing their holdings by 3% since July. Bitcoin proponent Nicholas Gregory observed that many long-term holders are selling for personal reasons rather than bearish outlooks, taking advantage of the liquidity from U.S. ETFs and the $100,000 price milestone .

Institutional withdrawals have added to the downward pressure. U.S.-listed Bitcoin ETFs recorded net outflows of $870 million on November 14, reflecting declining confidence as expectations for Federal Reserve policy shift

. The odds of a 25-basis-point rate cut in December have fallen to 53.6% from 94.4% a month ago, according to the CME FedWatch tool, while the chance of no change has risen to 46.4% . This uncertainty has heightened risk aversion, leading to a wave of liquidations among leveraged long positions in crypto. More than $600 million in forced liquidations occurred within hours after key support levels were breached, .

Despite the current challenges, some analysts maintain that this correction is a normal part of the ongoing bull market, not a sign of a trend reversal.

that if Bitcoin fails to hold the $92,000–$94,000 support range, the correction could last until mid-2026, with potential drops to $85,000. On the other hand, on-chain metrics indicate underlying strength: 72% of Bitcoin’s supply remains profitable at $100,000, and the Realized Cap metric shows continued buying from new participants despite falling prices . Michael Saylor, CEO of MicroStrategy, has reiterated his optimistic outlook, dismissing rumors of corporate Bitcoin sales and forecasting that Bitcoin will outperform both gold and the S&P 500 by the end of the year .

Ethereum has shown relative resilience, trading at $3,205 as of November 15—a 0.2% increase—despite the broader market downturn

. Still, analysts warn that a fall below $3,000 could jeopardize bullish forecasts for 2025, prompting investors to consider other opportunities within the ecosystem, such as payment-oriented tokens like Remittix (RTX) .

The next major turning point for the crypto market may depend on renewed institutional interest and clearer signals from the Federal Reserve. Although ETF inflows have slowed, BlackRock’s spot Bitcoin ETF stands out, attracting $28.1 billion in net inflows this year even as other funds see withdrawals

. Bitfinex analysts view the current pullback as a mid-cycle consolidation similar to those observed in early 2025, with historical trends indicating that recoveries often follow such declines .