Dec 20, 2025

Bitcoin Bear Market Fears Grow as Liquidity Dries Up and Institutions Step Back

TLDR: A $19B liquidation event erased leverage rapidly, leaving markets unable to restore depth or confidence. Persistent ETF outflows show institutions reducing exposure through measured exits, not panic selling. Thin liquidity and absent market makers have changed execution conditions across major crypto venues. Elevated stock correlation and high rates position Bitcoin closer to risk assets [...]

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