Bitcoin (CRYPTO: BTC) experienced a sharp reversal, erasing all 2025 gains. ETF flows reversed, miners sold, and macro conditions turned against risk assets. Despite long-term holders and institutions buying, technical indicators suggest more downside. The Fed’s December meeting may determine if Bitcoin tests $83,500 support or recovers to $120,000.

Bitcoin’s rally in 2025 saw a peak at $126,000 before reversing. Four key factors broke the Bitcoin price: front-loaded ETF flows, disappearing institutional support, deteriorating macro backdrop, and the Fed’s November meeting halting easing hopes. Miners faced margin pressure, while attention shifted to altcoins like Solana (CRYPTO: SOL) and XRP (CRYPTO: XRP).

Bitcoin ETFs transitioned from catalysts to shock absorbers. November’s $3.79 billion in outflows indicate portfolio rebalancing, not panic. ETFs now play a stabilizing role, with short-term price action influenced by macro factors, miner behavior, and large holder positioning. Technical indicators point to downside risk, with $83,500 as a critical support level.

BTC faces significant downside risk as it struggles to reclaim key levels. Retail traders are exiting while institutions accumulate through OTC desks. The bullish case remains, with stablecoin balances at record highs. The Bitcoin price may drop to $83,500 or recover to $120,000 depending on technical selling pressure or fundamental accumulation.

Read more at Yahoo Finance: Is $83,500 the Next Stop or $120K Recovery?