Crypto price today: Hold onto your crypto wallets, December started with a bang, and not in a good way!
On 1 December, the cryptocurrency market tumbled, with Bitcoin losing 4.3% to dip below $88,000 and Ether taking an even bigger hit, sliding 6% to under $2,900, Bloomberg reports. Traders and investors are feeling the jitters as leveraged positions unwind and macroeconomic worries mount. Are we seeing the start of a fresh sell-off or just a short-term wobble?
With volatility back in the spotlight, every price movement is creating ripples. Keep a close eye, this is a market you won’t want to blink through!
Crypto Prices Today (Top 5 Coins)
- Bitcoin: $86,440.40, down 4.63%, market cap $1.72T, volume $52.4B
- Ethereum: $2,830.06, down 5.07%, market cap $341.57B, volume $18.02B
- Tether: $1.00, stable, market cap $184.65B, volume $82.19B
- XRP: $2.05, down 6.55%, market cap $123.94B, volume $3.15B
- Binance Coin: $831.89, down 4.71%, market cap $114.58B, volume $1.91B
Crypto Market Wobbles: 30-Day Decline Deepens Amid Macro Fears
Crypto traders, get ready for the challenging month of December, which has just begun! The last 24 hours brought about the downfall of Bitcoin and other cryptos to the tune of almost 20% for the past month, as indicated by CoinMarketCap, the cause being the market’s reaction to leveraged liquidations and macroeconomic uncertainties.
What’s the reason for the panic? Fears linking a possible Bank of Japan rate hike with Japanese government bonds hitting the highest yields in 15 years were the causes for the selloffs in the Asian markets.
The unwinding of crypto leverage is indeed substantial, as evidenced by the $16 million long positions in Bitcoin being liquidated in a single day, following the $19 billion mixed-up levered bets wipeout in October after Bitcoin’s all-time high of $126,251.
Traders are meticulously observing the scenario, asking whether this is merely a correction or if we are moving into a period characterized by avoidance of risks. They are pondering over macro signals, support levels, and liquidity flows. One thing is certain: every dip and rally in the cryptosphere has all the players in the ringside seats!
Reasons Behind Crypto Price Movements Today
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Critical Technical Levels Breached
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Bitcoin fell below key support at $90,954, triggering accelerated selling toward $87,000 Fibonacci levels.
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Traders are closely monitoring if ongoing liquidations will push Bitcoin toward its October low of $80,659.
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Trader Sentiment & Risk-Off Mood
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Sean McNulty, APAC derivatives trading lead at FalconX, highlighted a risk-off start to December.
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Low inflows into Bitcoin ETFs and a lack of dip buyers are creating additional downward pressure.
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$80,000 is now seen as a critical support level for market participants.
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Macro Factors & Global Economic Signals
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Investors are tracking US economic data and the Federal Reserve’s interest rate policy for 2026.
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US President Trump announced his nominee for the next Fed chair, emphasizing expectations for interest-rate cuts.
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These macro signals directly influence market confidence and crypto valuations.
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Leverage Unwinding & Liquidations
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Recent leveraged positions in Bitcoin and other cryptocurrencies are being liquidated, increasing selling pressure.
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Previous wipeouts, including $16 million in Bitcoin longs and $19 billion in October levered bets, set a precedent for heightened volatility.
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Geopolitical & Global Market Fears
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Fears of a Bank of Japan rate hike and 15-year high Japanese bond yields triggered broader Asian market selloffs, indirectly impacting crypto sentiment.
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