Asia Morning Briefing: Weak Sentiment Drives Crypto Markets Down
The cryptocurrency landscape is experiencing significant fluctuations as investor sentiment weakens, reflecting broader market uncertainties. Recent trends indicate a decline in institutional demand, pushing Bitcoin and Ethereum prices down at the start of November 2025.
Market Overview: Weak Sentiment Drives Crypto Markets Down
As of early November, Bitcoin’s price slipped from a notable $71,000 to approximately $66,000, igniting concern among traders. This situation bears resemblance to events from the previous year, when Bitcoin initially dipped before rallying by 60% within 45 days. In that period, Ethereum surged 75%, contributing to a total market cap increase of 138%.
- Bitcoin price: Decreased from $71,000 to $66,000
- Previous year performance: Bitcoin increased by 60% post-dip
- Ethereum surge: 75% increase last year
- Total market cap increase: 138% in a similar timeframe
Despite the recent downturn, macroeconomic indicators seem promising. The Federal Reserve is expected to cut interest rates in December 2025, which could reactivate liquidity in the markets. Additionally, quantitative easing is already underway with the Fed purchasing Treasury bills.
Ethereum’s Challenges and Predictions
Ethereum has been notably affected, particularly by Bitmine’s staggering $1.3 billion loss in holdings. Analysts warn that with major buyers like Bitmine unable to re-enter the market, the confidence may further erode. Ethereum’s resistance levels have come under pressure, leading to discussions about potential downsides.
- Bitmine’s loss: $1.3 billion
- Current Ethereum support levels: Under scrutiny
- Future predictions: Analysts caution against a potential price drop
However, some analysts maintain that Ethereum is showing resilience, with potential bullish momentum expected to guide it towards target prices of $4,500, $4,955, and $5,766 if the market conditions stabilize.
Institutional Reactions and Market Dynamics
The ongoing decrease in demand from institutional investors has put extra pressure on the cryptocurrency markets. Reports indicate that Bitcoin’s demand has declined below new coin issuance rates for the first time in several months. Additionally, wallet activities of long-term holders suggest a shift towards profit-taking.
As various altcoins also experience significant declines, trader sentiment remains cautious. The index tracking the performance of the bottom 50 cryptocurrencies in the market has fallen 8.8% recently, reflecting deeper market fragility.
Ripple’s Strategic Moves
In an effort to advance its institutional offerings, Ripple has acquired digital wallet firm Palisade. This acquisition aims to bolster Ripple’s custody services for fintech labs and corporate partners, responding to the growing demand for secure digital asset solutions.
Technical Analysis and Future Perspectives
In terms of technical analysis, Bitcoin’s next significant pivot point is noted to be around $99,000. This level could become critical should it lose support from previous Fibonacci levels. If this occurs, strong buying demand may resurface in the $99,000 to $102,000 range.
As the market grapples with these developments, investors remain on high alert, monitoring indicators and news for signals that could define the trajectory of cryptocurrency prices in the forthcoming weeks.
