BTC Drops Under $90K After Sharpest Monthly Decline Since 2021

Bitcoin plunged below $90,000 on Monday, December 1, 2025, marking its largest single-day decline since early November as renewed risk aversion swept through global markets. The world’s leading cryptocurrency fell 5% to $86,627, continuing a troubling trend that saw Bitcoin shed more than $18,000 throughout November—its steepest monthly decline since the devastating crypto crash of May 2021.

As of 11:08 AM UTC, Bitcoin traded at $86,512.21, down $4,806.63 or 5.26% from its previous close of $90,379.84, with trading volume reaching $63.7 billion over 24 hours across 12,489 active markets.

Crypto Market Loses $1T as Bitcoin Nears Multi-Month Lows

The cryptocurrency’s November decline represents its largest dollar loss since May 2021, when multiple digital currencies collapsed in a market-wide crash. Bitcoin now hovers dangerously close to last month’s eight-month low of $80,553, having lost over $18,000 in value throughout November.

This downturn triggered massive liquidations across the crypto market, with over $637 million in positions wiped out as investors fled risk assets. European stocks declined in early trading while U.S. futures pointed to drops of 0.6-0.7% for major indices, with safe havens like gold and the Swiss franc gaining ground.

The broader cryptocurrency market has suffered considerably, with the entire sector shrinking by over $1 trillion from its record peak of approximately $4.3 trillion, according to CoinGecko data. Ethereum, the second-largest cryptocurrency, fell 6% to $2,840 and lost 22% in November—its worst monthly performance since February’s 32% slide.

U.S.-listed spot bitcoin exchange-traded funds experienced record outflows of $3.43 billion in November, according to LSEG data, though these products have still attracted a net $21 billion in inflows year-to-date.

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Analysts Warn BTC’s Risk Correlation May Pressure Stocks Into December

Bitcoin’s tight correlation with traditional stock markets has emerged as a significant concern for analysts monitoring the decline. XTB research director Kathleen Brooks noted that Bitcoin currently serves as a leading indicator for overall risk sentiment, suggesting its slide does not bode well for equities entering December.

The sharp decline in market volatility last week, with the VIX falling below its 12-month average, may have unsettled investors already concerned about an uncertain year-end outlook. Bitcoin’s 52-week range now spans from $74,436.68 to $126,198.07, with its current market capitalization standing at $1.72 trillion.

Historical seasonality data offers mixed signals for December performance. Since Bitcoin’s inception in 2012, the cryptocurrency has averaged gains of approximately 9.7% in December, ranking it the third-best performing month behind October’s 16.6% average gain. However, given Bitcoin’s relatively short trading history and current correlation with broader risk assets, analysts suggest that recent market dynamics may prove more relevant than seasonal patterns.

The cryptocurrency’s circulating supply stands at 19.96 million coins against a maximum supply of 21 million, with miners continuing to generate new BTC through the mining process.

Disclaimer: The author does not hold or have a position in any securities discussed in the article. All stock prices were quoted at the time of writing.