Bitcoin Updates: Bitcoin Drops 25% While ETFs Remain Stable, Underscoring Confidence from Institutions

Bitcoin's latest price movements have been likened to those seen during the FTX crisis, with short-term investors experiencing unprecedented losses and market corrections echoing the volatility of early 2025. On November 21, 2025, the cryptocurrency dropped to $82,605, marking a 4.53% decrease for the day and extending its monthly decline to 23%—the steepest since June 2022

. This downturn has sent below its realized price for 2025 of $103,227, putting the average investor at a 13% loss .

According to Glassnode, short-term holders (STHs)—those owning Bitcoin for under 155 days—are now collectively sitting on 2.8 million BTC in losses,

. This milestone is significant for the market, as STHs have been responsible for much of the recent buying. With Bitcoin now trading below $95,000, almost all coins bought since June 15 (when the price was $104,000) are in negative territory . Meanwhile, long-term holders (LTHs) have continued to decrease their positions, in LTH supply since July 2025. Nicholas Gregory, a Bitcoin proponent and Fragrant Board Director, explained that these sales are driven by lifestyle choices rather than pessimism, highlighting the U.S. ETF debut and $100,000 price targets as motivating factors .

The gap between Bitcoin's price and the performance of U.S. spot ETFs has also widened. Even though Bitcoin has dropped 25% from its record high in October,

, staying close to their all-time highs in BTC terms. This resilience suggests strong institutional faith, even as retail investors face challenges. Still, the broader market is showing signs of stress. since reaching $94 billion in October, and more than $1.9 billion in long positions were wiped out in a single day when the price dipped below $84,000.

Historically, Bitcoin pullbacks often fall below the yearly realized price, creating buying opportunities. The current downturn

, when prices slid from $109,000 to $76,000 over an 80-day span. Although this correction has lasted just 43 days as of November 21, in crypto market capitalization, bringing the total below $2.8 trillion. Experts caution that more declines could follow, with some predicting a drop toward $75,000 if economic headwinds continue. for Federal Reserve rate cuts have intensified concerns, especially after the October 10 event that erased $19 billion in leveraged positions.