Bitcoin Drops to Seven-Month Low Under $90K

Bitcoin has fallen below $90,000 for the first time in seven months, dropping 4.5% in just 24 hours amid worsening market conditions. This decline has been exacerbated by significant outflows from spot Bitcoin exchange-traded funds (ETFs), totaling $2.59 billion in November. Experts attribute this to profit-taking and the rebalancing of portfolios, with predictions suggesting Bitcoin could retreat to the $82,000 to $85,000 range if bearish trends continue. Recent market sentiment has shifted towards risk management, further impacting institutional demand for Bitcoin and cryptocurrencies. A notable withdrawal from BlackRock's Bitcoin ETF has noted $463.1 million leaving the fund, indicating increasing investor caution. Additionally, the total market capitalization across cryptocurrencies has plummeted from $4 trillion in mid-October to $3.2 trillion. Technical indicators like the 'death cross' signal a potential bear market as Bitcoin struggles against ongoing selling pressure, prompting analysts to seek macroeconomic clarity to guide future recovery efforts.

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