Bitcoin Nosedives Below $85K: Critics Warn of Incoming ‘Chaos’

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Well, folks, gather ’round, ’cause it seems Bitcoin’s taken a nosedive-again. This time, it’s skidded down below $85,000, the lowest it’s been since the spring. I reckon the crypto crowd’s feeling a bit more than jittery. Those who thought this market’s downturn would be a quick dip are now realizing they’ve signed up for a merry rollercoaster ride of dread.

In the last 24 hours, Bitcoin dropped a whopping 10%, plummeting to $82,172. Now, if you’re one of the poor souls holding onto their digital treasure, you’re probably wondering if you’ve caught the crypto version of the flu. The blame, as always, seems to fall on the big fish-whales and ETF investors-along with the retail crowd that’s just about had enough of the wild ride. 🙄

Market Suffers Deepening Sell-Off as Bitcoin Breaks Key Support

So, here we are. Analysts are pinning the blame on a chain reaction that kicked off in October. Over $19 billion in leveraged positions went up in smoke after one massive liquidation wave. It’s been a slippery slope ever since, and liquidity’s still limping along like a man who’s had one too many at the bar. 🍻

James Butterfill from CoinShares says big-time holders have dumped over $20 billion in Bitcoin since September. What started as a simple correction has now turned into a market that’s wobbling like a one-legged chicken. 🐔

Let’s not forget the grand stage of macroeconomic drama-the Fed’s policy confusion, rate cut hopes that are about as likely as a unicorn sighting, and investors suddenly forgetting that speculative assets exist. Then Wall Street threw a hissy fit over Nvidia’s earnings, just to make sure everyone was sufficiently on edge. No wonder Bitcoin’s struggling to find new buyers.

ETF Outflows Hit Record Levels, Raising Liquidity Concerns

The misery doesn’t stop there, folks. Bitcoin ETFs in the U.S. saw their biggest single-day outflow ever, a monstrous $523 million. Institutional investors, it seems, are finally deciding they’d rather not ride this rollercoaster, thank you very much. The final tally for November’s ETF exodus is closing in on $3 billion-talk about a great big reversal from the good ol’ days when Bitcoin was flexing those muscles and making everyone feel rich.

According to JPMorgan, this mass exodus is coming from the retail crowd, not the big shots. A mere $4 billion has flown out of Bitcoin and Ether ETFs in November, marking a new trend where your average retail trader is bailing, possibly quicker than a gambler who’s just lost it all in Vegas.

With all these outflows, you’d expect liquidity to go the way of a fart in the wind. Spreads are widening, volatility’s going up, and the only thing that seems certain is that everyone’s feeling like they’ve been duped by a good ol’ Ponzi scheme. But don’t worry, the regulated funds still think they’re the golden ticket for institutional investors. Sure, guys, whatever you say. 😏

Critics Call for ‘Chaos’ Ahead, but Long-Term Bulls Stay Confident

As expected, critics are chomping at the bit, forecasting months of chaos. Jacob King, who’s probably sipping his tea somewhere smugly, says Bitcoin’s entered the worst mining environment in a decade. Others, like Peter Schiff, are claiming this liquidity crisis is spreading beyond crypto-meaning the whole financial world might be one giant house of cards, ready to collapse with the next gust of wind. 🌬️

Some say Bitcoin’s about to enter a full-blown bear market. After all, it’s down a hefty 32% from its all-time high. You can bet your bottom dollar that options traders are hedging left and right, bracing for more bad news. But hey, at least they’ve got the foresight, right? 💡

Now, not everyone’s buying into the doom and gloom. Former U.K. Chancellor Kwasi Kwarteng, probably chuckling to himself, sees this dip as the perfect opportunity to scoop up more Bitcoin. Long-term believers like Mike Alfred aren’t breaking a sweat, either. They’re betting on Bitcoin rebounding to a cool $150,000-$200,000 once this little storm passes. Guess we’ll see, won’t we?

Cover image from ChatGPT, BTCUSD chart from Tradingview

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2025-11-22 09:16