Bitcoin Heading for Worst Month Since Crypto Collapse of 2022
Bitcoin is on track for its worst monthly performance since the crypto collapse of 2022, as the flagship cryptocurrency plunged below $90,000 in mid-November 2025, erasing all gains for the year and sparking widespread liquidations and market panic.
After reaching an all-time high above $126,000 in early October, Bitcoin entered a steep correction that accelerated in November. By mid-month, the price had dropped below $90,000 for the first time since April, marking a loss of over 30% from its peak and triggering a wave of forced liquidations. Over $463 million in leveraged positions were wiped out, with more than 173,000 traders affected, according to market data.
The selloff was fueled by a confluence of macroeconomic and technical factors. The collapse in expectations for a near-term Federal Reserve rate cut—driven by hotter-than-expected inflation data—sucked liquidity from risk assets, including Bitcoin. The probability of a December rate cut fell from 95% to just 46% within days, causing a sharp repricing of the yield curve and a flight from high-beta assets.
Technical indicators also turned bearish. The so-called “death cross”—where the 50-day moving average falls below the 200-day moving average—triggered algorithmic selling and further destabilized the market. Bitcoin’s price structure was invalidated, with key support levels at $92,000 and $98,000 breached, leading to cascading stop-loss orders and a breakdown in market confidence.
On-chain metrics reflected the turmoil. Active addresses and transaction volumes declined sharply, with active addresses dropping 26.1% to 872,000 by late October. Transaction fees fell from $8.44 to $0.56, signaling a dramatic drop in user engagement and retail participation. The broader crypto market followed suit, with major altcoins such as Ethereum, XRP, Solana, and Binance Coin also suffering steep declines.
Market sentiment turned increasingly fearful, with many analysts warning of further downside. Some predicted a potential drop to $72,000 if the $100,000 support level failed to hold. The event reinforced Bitcoin’s status as a risk asset rather than a safe haven, especially amid broader equity market sell-offs and global economic uncertainty.
Despite the grim outlook, some analysts remain cautiously optimistic, citing historical November strength and the possibility of a Fed rate cut in the coming months. However, for now, the market is grappling with a “perfect storm” of macroeconomic friction, technical deterioration, and geopolitical instability. The immediate focus is on whether Bitcoin can stabilize above $83,000, a critical support level, or if the downtrend will continue.
As the crypto market navigates this turbulent period, investors are advised to closely monitor on-chain data, global macroeconomic trends, and key technical levels to assess the potential for a rebound or further decline.