Bitcoin’s price is facing mounting pressure as it slips toward the $97,000 mark, driven by a combination of intensified outflows from U.S.-based spot Bitcoin exchange-traded funds (ETFs), waning technical indicators, and deteriorating macroeconomic sentiment. At the time of writing, Bitcoin is trading at approximately $97,527, marking a 5.5% drop over the previous 24 hours. This continues a broader downtrend, with the cryptocurrency falling 4.3% over the past week, shedding 13% in a month, and plunging 22% from its October peak of $126,080.
The most notable market development fueling the decline is the significant capital flight from spot Bitcoin ETFs. On November 13, these funds experienced a net outflow of $867 million—the second-largest single-day outflow on record. Grayscale’s Mini Bitcoin Trust led the retreat with over $318 million in redemptions. It was followed closely by BlackRock’s IBIT, which saw $257 million withdrawn, and Fidelity’s FBTC with $119 million.
These large redemptions are typically seen as institutional investors reducing exposure to volatile assets, especially toward year-end when profit-taking and portfolio rebalancing are common. The sharp pullback in ETF demand reduces spot market buying pressure, amplifying downside risk.
Market activity surged in parallel with the price decline. Trading volume spiked by 50% over the last 24 hours, signaling heightened participation and volatility. Derivatives markets also saw a significant uptick—futures volume jumped over 34% to reach $153 billion, although open interest edged down 2% to $66.65 billion. This suggests a market in a state of transition rather than one preparing for a decisive directional move.
Several analysts point to the broader macroeconomic backdrop as a crucial factor behind Bitcoin’s recent weakness. According to Hashdex’s head of global market insights, Gerry O’Shea, the fading likelihood of a December interest rate cut in the U.S. has discouraged risk-on sentiment. Additionally, long-term U.S. holders are increasingly locking in gains as the tax year draws to a close.
O’Shea also noted that post-ETF approval, Bitcoin has shown lower volatility, suggesting a shift in ownership toward more institutional hands. While short-term pressure is apparent, long-term demand remains relatively undisturbed, offering a degree of underlying support.
Analysts from CryptoQuant highlighted that the negative Coinbase Premium Index—indicating that Bitcoin trades at a discount in U.S. markets compared to global exchanges—has persisted for several weeks. This points to stronger selling pressure from American investors, a trend that aligns with daily sell-offs during U.S. trading hours despite occasional overnight recoveries.
Furthermore, long-term holders across nearly all age demographics have been offloading positions, reinforcing the idea that tax-related selling is underway. Fidelity echoed this sentiment, suggesting that institutional and retail investors alike are closing out profitable trades as part of year-end financial planning.
The macro environment has also played a destabilizing role. The recent U.S. government shutdown temporarily resulted in a fiscal surplus, tightening market liquidity and reducing appetite for high-risk assets. This liquidity crunch has spilled into equities and crypto alike, with a noticeable retreat in related stocks and softening expectations for Federal Reserve policy easing. Analysts believe that once liquidity conditions normalize, risk assets like Bitcoin could find firmer footing.
From a technical standpoint, Bitcoin’s trajectory remains bearish. The price is now trading below all major moving averages—from the short-term 10-day to the long-range 200-day average—indicating persistent downward momentum. Resistance remains robust between the $102,000 and $110,000 levels, and until BTC reclaims these zones, any rally is likely to be short-lived.
Currently, the cryptocurrency is hovering near the lower Bollinger Band, a signal of short-term exhaustion and continued selling pressure. Momentum indicators further confirm weakness: the Relative Strength Index (RSI) stands at 33, approaching oversold territory, while both the MACD and Awesome Oscillator remain in negative territory. Some short-term indicators hint at easing pressure, but a sustained recovery remains uncertain without a shift in broader sentiment.
Crucial support is now concentrated in the $96,500 to $97,000 range. A decisive break below this zone could open the door to deeper declines, with $92,000 the next major level, followed by a potential drop into the $88,000–$90,000 range. For Bitcoin to regain positive momentum, it must reclaim $102,000 and then challenge stronger resistance at $106,000 and $110,000.
Looking beyond the immediate price action, several structural trends continue to shape Bitcoin’s outlook. The post-ETF era has brought more institutional participation, fostering greater market maturity. However, it also exposes the asset to traditional market cycles, including quarter-end rebalancing and macro-driven sentiment shifts.
Investors should also consider the evolving regulatory landscape in the U.S. and abroad. As frameworks around digital assets become clearer, they may provide either tailwinds or headwinds to capital flows, depending on the tone and scope of new policies. Heightened scrutiny could pressure speculative trading, while clarity and institutional-grade safeguards might attract long-term players.
Another key factor is the increasing correlation between Bitcoin and traditional financial markets. As more institutions allocate to BTC via ETFs and other vehicles, Bitcoin is behaving more like a macro asset, sensitive to interest rates, inflation expectations, and global liquidity. This interdependence means that Bitcoin’s narrative as “digital gold” is being tested in real-time, especially in periods of economic uncertainty.
Despite the current sell-off, the long-term case for Bitcoin remains supported by its capped supply, growing institutional infrastructure, and expanding use cases—from cross-border payments to decentralized finance platforms. However, in the short term, volatility is likely to persist as investors reassess risk amid changing macro conditions and year-end positioning.
In conclusion, Bitcoin’s retreat toward $97,000 is not just a technical correction but a confluence of institutional behavior, macroeconomic shifts, and evolving market dynamics. While the fundamentals remain intact for long-term bulls, the near-term path is fraught with uncertainty and will depend heavily on ETF flows, liquidity conditions, and whether Bitcoin can hold key support levels or face deeper retracement.