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Key Moments

  • Bitcoin traded 2.5% lower at $87,458.6 by 01:32 ET (06:32 GMT) after failing to hold above $90,000.
  • Persistent outflows from U.S.-listed spot Bitcoin ETFs have weighed on sentiment and prices.
  • Altcoins, including Ethereum, XRP, Solana, Cardano, and Polygon, also moved lower in broadly risk-off crypto trade.

Bitcoin Slides Amid Failed Rebound and Thin Year-End Trading

Investing.com – Bitcoin slipped back toward the $87,000 region on Tuesday after once again failing to sustain a move above the $90,000 threshold in the prior session. Muted year-end trading volumes and softer institutional participation continued to pressure the world’s largest cryptocurrency.

By 01:32 ET (06:32 GMT), Bitcoin was last quoted 2.5% lower at $87,458.6.

The token briefly traded above the closely watched $90,000 level on Monday, but those gains quickly faded, underscoring persistent technical resistance around that price area.

ETF Outflows and Cautious Institutional Flows Weigh on Sentiment

In recent sessions, Bitcoin has struggled to generate sustained upside momentum, with repeated reversals highlighting subdued conviction among market participants as the year’s end approaches.

Sustained redemptions from U.S.-listed spot Bitcoin exchange-traded funds have emerged as a notable headwind. The ongoing ETF outflows, signaling waning institutional demand, contrast with the institutional inflows earlier this year that had helped drive Bitcoin to record highs.

This shift in flows has aligned with profit-taking activity and a broader softening in risk appetite. Holiday-related, thinner liquidity conditions have further dampened trading, amplifying intraday volatility while limiting follow-through. Despite brief spikes above $90,000, Bitcoin has remained locked in a range below that level.

Fed Minutes in Focus as Markets Assess Rate Path

Investors were also adopting a cautious stance ahead of the release of minutes from the Federal Reserve’s December policy meeting, scheduled for later on Tuesday.

The minutes are expected to show differing views among policymakers on the future path of interest rates following the central bank’s rate cut earlier this month.

Expectations for additional rate cuts in 2026 have been a key support for risk-sensitive assets, including cryptocurrencies, as lower rates generally reduce the relative appeal of yield-bearing instruments and can bolster demand for speculative exposures.

However, uncertainty surrounding the timing and magnitude of any further Fed easing has kept near-term sentiment restrained.

Altcoins Track Bitcoin Lower

Altcoins broadly mirrored Bitcoin’s weakness on Tuesday, reflecting the cautious tone across the digital asset market.

CryptocurrencyMovePrice / Detail
Ethereum (world no.2 crypto)Down 3%$2,949.92
XRP (world no.3 crypto)Down 1.6%$1.86
SolanaDown 3%Not specified
CardanoDown 6.5%Not specified
PolygonDown over 4%Not specified
DogecoinDown nearly 3%Not specified
$TRUMPDown nearly 3%Not specified

World no.2 crypto Ethereum fell 3% to $2,949.92, while world no. 3 crypto XRP declined 1.6% to $1.86. Solana dropped 3%, Cardano tumbled 6.5%, and Polygon slipped more than 4%.

In the meme token segment, both Dogecoin and $TRUMP were lower by nearly 3%.

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