Bitcoin Plunges Below $102K Amid Weak U.S. Demand, Fed Divided on December Cut

Overview

Bitcoin has recently experienced a significant decline, dropping below $102K. This downturn is linked to a prolonged negative trend in U.S. demand, as indicated by Bitcoin’s Coinbase Premium, which is an important measure of market interest in the United States. Additionally, the Federal Reserve’s shift towards a more hawkish stance has contributed to the current market dynamics.

What Happened

Bitcoin’s Coinbase Premium has entered its longest negative streak since the correction that occurred in April. This trend suggests a decreasing interest or demand for Bitcoin among U.S. investors. The negative streak in the Coinbase Premium coincides with a more hawkish approach from the Federal Reserve, which may have implications for investor sentiment and market stability.

The Fed’s divided stance on potential interest rate cuts in December has added to the uncertainty in the crypto market. As the central bank grapples with its monetary policy, the effects are being felt across various asset classes, including cryptocurrencies.

Impact on the crypto market

• The prolonged negative streak in Bitcoin’s Coinbase Premium indicates weakened demand among U.S. investors.
• The shift towards a hawkish stance by the Federal Reserve may lead to increased market volatility.
• Investor sentiment could be adversely affected by the Fed’s indecision regarding interest rate cuts.
• The current market dynamics could influence trading strategies among crypto investors.
• The decline in Bitcoin’s price may prompt discussions about broader economic factors affecting the cryptocurrency market.

Updated: 11/12/2025, 7:28:46 PM