Daily Crypto Signals: Bitcoin ETF Investors Underwater; Solana Sees $390M Inflow
The cryptocurrency market faces intense pressure as Bitcoin briefly drops to seven-month lows around $89,400 while Solana attempts to hold
Quick overview
- Bitcoin briefly dropped to seven-month lows around $89,400, marking a significant decline from its October peak of over $126,000.
- The cryptocurrency market is experiencing extreme fear, with major assets like Ethereum, XRP, and Solana losing between 1% and 5% of their value in the last 24 hours.
- Despite the downturn, some analysts believe Bitcoin may be nearing a bottom, while Solana shows signs of stabilization around the $130 support level.
- Institutional interest in Solana is increasing, with recent inflows into SOL ETFs and a rise in daily active addresses indicating a healthy ecosystem.
The cryptocurrency market faces intense pressure as Bitcoin BTC/USD briefly drops to seven-month lows around $89,400 while Solana SOL/USD attempts to stabilize near $137, with both assets caught in a broader risk-off environment affecting technology stocks and digital assets.
Crypto Market Developments
As November 2025 comes to an end, the cryptocurrency market is quite unstable. The overall market value has dropped substantially because of a number of bad circumstances coming together. On Tuesday, Bitcoin fell sharply below the psychologically key $90,000 threshold, marking its lowest position since April 2025. This was the result of a severe six-week slide that wiped out all of the asset’s gains for the year.
Since Bitcoin hit an all-time high of over $126,000 in early October, the rest of the crypto market has lost more than $600 billion in value. The sell-off has gotten worse as investors pull out of all risky assets. Ethereum ETH/USD, XRP XRP/USD, BNB BNB/USD, and Solana, four of the most important cryptocurrencies, have all lost between 1% and 5% of their value in the last 24 hours. This shows how broad the drop has been.
The crypto fear and greed indices are showing readings between 10 and 17, which are levels usually seen during capitulation events. This means that the market is in “extreme fear” mode. The connection between crypto assets and technology stocks has become even stronger. The tech-heavy Nasdaq has dropped 6.6% from its late October highs, losing around $2.6 trillion in market value.
There are a number of reasons why things are weak right now. The possibility of the Federal Reserve cutting interest rates in December has made people less willing to take risks. The chance of a 25 basis point rate decrease has dropped from 70% to about 50% in the last few days. Additionally, Bitcoin’s downward swings have been bigger since the October 10 liquidation event, which saw $19 billion in positions disappear. This is because market makers are still being careful.
Some people think that the current market conditions are more like an accumulation phase than the start of a long bear market, even though prices are going down. Institutional buying is still going on. For example, Strategy Inc. (previously MicroStrategy) bought 8,178 Bitcoin between November 10 and 16 at an average price of $102,171, spending almost $835 million. El Salvador also bought the most Bitcoin in one day, getting 1,090 BTC for around $100 million at current pricing.
Bitcoin Recovers to $92,000 Amid Volatility
The price of Bitcoin has dropped a lot. On Tuesday, the world’s largest cryptocurrency traded as low as $89,420, its lowest point since April. It then bounced back to roughly $91,000-$93,000. The drop marks a 26% drop from the peak of $126,250 in October. The asset broke below its 200-day moving average, and for the first time, the average US spot Bitcoin ETF investor is underwater, with the flow-weighted cost basis sitting under $89,600.
Even though the technical picture is negative and there were huge ETF outflows of $254.6 million in a single day recently, some well-known market watchers think a bottom could be formed shortly. Tom Lee, the chairman of BitMine, and Matt Hougan, the chief investment officer of Bitwise, have both said that Bitcoin could strike a bottom this week. Hougan called the present price levels a “generational opportunity” for long-term investors.
Solana Holds $130 Key Support
Solana has held up better than Bitcoin, which is currently trading between $137 and $141 after finding support near the important $130 mark. The asset has dropped over 15% in the last week and almost 25% from its recent highs above $173. However, technical analysts say that the $130 support zone could be a major bottom for the network’s native coin.
The Relative Strength Index has risen from oversold levels near 28 to above 50, which suggests that the market is gaining momentum. On Solana’s four-hour chart, there is a V-shaped recovery effort after the steep plunge from $173. In the past, the $130 level has been a significant support level on the weekly chart. When the price bounced back from this area, it led to huge rallies, such as a 108% rise to $265 between September and November 2024 and a 98% rise to $250 between June and September 2025.
Several pieces of information point to the fact that Solana may have hit rock bottom at $130. In the last 24 hours, open interest in futures has grown by 5% to $7.3 billion. At the same time, perpetual funding rates have become positive, which means that demand is coming back to SOL’s futures market. Net taker volume has also turned positive, which means that more buyers are coming in at lower prices. Spot cumulative volume delta is also growing, which is a sign that the market is in a good position for possible upside.
Even though the price is modest right now, more and more institutions are becoming interested in Solana. Spot Solana exchange-traded funds have seen inflows for the 15th day in a row. On Monday, US-based SOL ETFs added $8.26 million, bringing the total inflows to $390 million and the total net assets to over $513 million. VanEck’s Solana ETF just came out, and other ETFs are likely to come out in the next week, which might provide the asset some more support. Network indicators are also very robust. In the last 30 days, the number of daily active addresses has gone up by 18% and the number of daily transactions has gone up by 9.1%. This shows that the Solana ecosystem is still fundamentally healthy.
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