Bitcoin failed to stabilize on Wednesday, sliding under $88,000 in a fast continuation of the market downturn.
Key Takeaways:
Bitcoin fell below $88,000 as selling pressure accelerated across exchanges.
Liquidations exploded, with over $780M in the past 24 hours and $236M in the last hour alone.
ETF flows turned positive on Nov. 19, but inflows were too small to offset heavy outflows from earlier sessions.
Fading expectations of a December Fed rate cut triggered risk-off sentiment in crypto.
The broader crypto sector weakened alongside it, erasing another chunk from its capitalization, which now hovers around $3.01 trillion. Ethereum mirrored the slump, trading around $2,850.
Liquidations Hit With New Force — Last Hour Worse Than 24h Trend Suggests
The wipeouts in leveraged markets escalated again. In the past 24 hours, crypto traders absorbed $780.35 million in liquidations, a figure dominated by Bitcoin ($256.41 million) and Ethereum ($221.47 million).
But the real shock came moments before Bitcoin slipped under $88K: during the past hour, leveraged traders lost $236.50 million, mostly from long positions trying to catch a bounce that never arrived. That one-hour spike highlights how aggressively traders were positioned for a recovery and how little liquidity was available to absorb panic selling.
ETF Flows Show a Glimmer — But It Was Not Enough
Spot Bitcoin ETF activity confirms institutional sentiment remains fragile. Over the past two weeks, BTC ETFs have logged multiple days of steep outflows, often in the hundreds of millions of dollars. These redemptions have translated into elevated exchange supply and increasing sell pressure.
However, Nov. 19 was a rare outlier: several funds actually recorded net inflows, breaking the streak of red days. Even so, the inflows were modest compared to the cumulative damage done earlier in the month. The prior sessions — particularly Nov. 12, 13, 14, 18 — saw some of the heaviest withdrawals of November, wiping out billions in investor exposure.
In short, one day of ETF inflows could not offset the impact of the sustained wave of exits that preceded it.
Rate-Cut Optimism Fades, Triggering Risk-Off Behavior
Crypto markets continue to react sharply to expectations around the Federal Reserve’s December decision. Morgan Stanley’s latest prediction that the Fed will not cut rates in December quickly rippled across high-risk assets. The Fed minutes released Wednesday only added uncertainty, showing internal disagreement — with “most” officials leaning toward cuts, while “several” pushed back against a December move.
The macro picture isn’t helping clarity. September U.S. payrolls came in at 119,000 jobs, far above expectations, reinforcing the view that the labor market remains too warm for immediate easing. With the delayed October unemployment figure still unavailable, investors are forced to position without a clear view — and markets tend to punish uncertainty.
Fear Is Now Dominating Traders
Sentiment collapsed in sync with price action. The Crypto Fear & Greed Index has plunged to 15, a level associated with capitulation-style selling and extreme panic. Retail investors have stepped back, while institutions appear to be de-risking rather than buying dips.
Bitcoin’s 4-hour TradingView chart shows no bullish divergence so far:
RSI remains weak near 32, hovering just above oversold territory.
MACD stays deep in negative territory, with no sign of a bullish crossover.
BTC continues to print lower highs and lower lows — a structure that won’t change unless bulls reclaim the mid-$90K region.
Another factor now catching traders’ attention is a fresh TD Sequential signal spotted on the Bitcoin chart. Analyst Ali (@ali_charts) pointed out that the TD indicator has just flashed a sell signal, a pattern that previously preceded major corrections in Bitcoin’s price.
TD Sequential just flashed a sell signal on Bitcoin $BTC. The last two times this happened, prices dropped 78% and 32%. pic.twitter.com/RysM8hVpHD
— Ali (@ali_charts) November 20, 2025
Historically, the last two appearances of this setup were followed by drops of 78% and 32%, respectively. While past performance does not guarantee future outcomes, many market participants see the newly triggered TD setup as a sign that bearish momentum could persist unless buyers stage a decisive reversal soon.
What Traders Are Watching Next
The market has two catalysts left before year-end:
ETF flow direction — whether inflows return or if outflows persist
The December FOMC decision — rate cut vs. rate hold
Until there is clarity, volatility is likely to remain elevated, with sudden whipsaws and forced liquidations shaping price behavior. For now, the path of least resistance continues downward, and liquidity remains too thin for a solid rebound.
