Bitcoin and Ethereum retreat, the crypto market falls back below 3 trillion

Year-end periods are rarely synonymous with a surge for bitcoin or altcoins. As the holidays approach, liquidity becomes scarce. Investors take their profits, order books empty, and movements become erratic. This cyclical phenomenon weakens the entire crypto market, undergoing a transition below 3 trillion dollars in capitalization.

Diluted liquidity and low sentiment: a tough cocktail for cryptos

The end of 2025 did not break the rule: cryptos stumble, and bitcoin flirts with 86,580 dollars – compared to 86,700 dollars last Monday. In a few days, the overall capitalization fell back below the symbolic 3 trillion mark. A drop fueled by weakened confidence and historically low volumes. Altcoins follow the same trajectory. Ether has lost its shine, falling back below 2,930 dollars. XRP, which tried to rebound, hit resistance at 1.90 dollars.

Analysts highlight a generalized drop in sentiment. The fear and greed index fell to 11, a level associated with phases of extreme tension. The erosion of technical supports reinforces doubts. Now, levels of 81,000 and 70,000 dollars are under watch for bitcoin.

Added to this is another factor: weak institutional demand. ETFs, supposed to play a buffering role, struggle to stem sales. According to Kuptsikevich, major cryptos are becoming victims of the institutional sentiment change, as they reconsider their risk exposure. This dynamic is not trivial and could signal a more lasting shift.

Bitcoin, altcoins and macro: an increasingly visible interconnection

The link between the crypto market and macroeconomic trends is increasingly visible. In Asia, stock indices such as the Hang Seng or Nikkei suffered notable declines. The fall of AI hopes, margin concerns, and the caution of central banks have contaminated the markets. Cryptos, though decentralized, no longer escape this interconnection.

Bitcoin and Ethereum react to the same signals as tech stocks. A monetary tightening or a poor economic statistic is enough to destabilize buyers. Even altcoins like Solana or Cardano show increased sensitivity to macroeconomic flows. Their dependence on liquidity and sector rotations makes their movements even more violent.

This synchronized slide pushes investors to rethink their strategies. Some adopt a wait-and-see stance. Others, on the contrary, see this drop as an opportunity. In this waltz of uncertainties, bitcoin becomes a thermometer of overall risk, oscillating between institutional caution and hopes of a restart as early as 2026.

The silent strategies of crypto whales

Behind the apparent lethargy of the crypto market lies strategic activity. Some institutional entities take advantage of pullbacks to quietly strengthen their positions. Strategy, for example, acquired 10,624 BTC for nearly one billion dollars. This discreet but significant move shows that part of the capital is not fleeing the market but repositioning itself methodically.

This selective accumulation reveals long-term conviction. Even if prices retreat, the fundamental prospects of bitcoin and major cryptos remain intact. Altcoins, more fragile, suffer harsher corrections. Yet some tokens linked to blockchain innovation or decentralized finance continue to attract interest.

The core problem remains liquidity. USDT growth, for example, collapsed in two months, dropping from 15.38 billion to 4.83 billion dollars. This shows that capital is waiting on the sidelines. The absence of incoming flows limits short-term upside potential.

Key points to remember

• The bitcoin price at the time of writing: 87,027 dollars;
• Crypto capitalization fell back below 3 trillion;
• USDT growth dropped from 15.38 to 4.83 billion dollars;
• Strategy acquired 10,624 BTC during the decline;
• The fear index dropped to 11, a high stress level.

Despite this gloomy year-end, a glimmer breaks on the horizon. According to a recent projection, bitcoin could experience a record rise before summer 2026. This announcement rekindles hopes for a structural rebound, driven by solid fundamentals and clearer regulation in the United States.