Bitcoin Tanks 21% in November, Steepest Since June 2022 as ETF Outflows Surge

Bitcoin has suffered one of its harshest monthly declines in years, tumbling more than 21% in November and hitting a seven-month low. The world’s largest cryptocurrency has been under severe pressure as heavy ETF outflows, forced liquidations and broad risk-off sentiment rattled the market.

The digital asset’s drop marks its steepest monthly fall since June 2022. After trading near $126,000 in early October, Bitcoin plunged below $81,000 by late November, erasing nearly 33% of its value in a little over a month. Major altcoins also plunged, deepening the pain across the broader crypto market.

“I am seeing reduced retail demand for Bitcoin… whales holding for more than 10 years are offloading,” said Ritesh Jain, Founder of Pinetree Macro. He added that while he doesn’t hold a long-term view, Bitcoin appears oversold in the short term and may stabilise until the next Federal Reserve meeting.

ETF Outflows Intensify the Crash

The selloff accelerated as crypto ETFs witnessed one of their worst months on record.
BlackRock’s iShares Bitcoin Trust (IBIT) absorbed most of the pressure, facing nearly $3 billion in net withdrawals in November, including a record single-day redemption of $523 million.

IBIT alone accounted for around $2.1 billion, or 71% of all Bitcoin ETF redemptions in the domestic market.
Overall, spot Bitcoin ETFs shed close to $3 billion, while Ether ETFs saw about $1.79 billion in withdrawals. In contrast, a few Solana-tracking funds managed to attract inflows.

Anil Kumar Bhansali, Head of Treasury, Finrex Treasury Advisors LLP, said the ETF outflows were triggered by Bitcoin slipping below key technical levels, weaker macroeconomic sentiment, and rising institutional short-selling. “The pressure on ETFs reflects heightened investor caution and a sharply reduced appetite for crypto risk in November 2025,” he said.

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Liquidations Wipe Out $19 Billion in Leveraged Bets

Experts traced the turmoil back to a massive October 10 liquidation wave that erased nearly $19 billion in leveraged positions. This chain reaction spilled into November, triggering heavy forced selling and wiping out an estimated $1.5 trillion in total crypto-market capitalization.

A major Bitcoin whale further worsened the decline by selling $1.3 billion worth of holdings in late October and continuing to reduce positions in early November.

Macro, Tech Volatility, and Policy Uncertainty Add Pressure

Investor sentiment weakened further due to:

• Soft macroeconomic data, including weak jobs numbers

• Diminishing expectations of near-term US rate cuts

• Volatility in AI and tech stocks, spilling over into crypto

• Low liquidity ahead of the holiday season

• Options expiry, which drove markets into “extreme fear.”

Despite strong gains of 122% in 2024 and 153% in 2023, Bitcoin is now down over 5% in 2025. Volatility also increased after President Trump’s inauguration and the introduction of a new crypto framework, including a proposed strategic Bitcoin reserve funded by seized assets.

Regulatory uncertainty deepened as the much-awaited Clarity Act and the bill restricting a central bank digital currency stalled in Congress, with revisions pushing the legislation into 2026.

Signs of Stabilisation Emerge

Despite the turmoil, analysts caution against seeing the correction as a structural breakdown. Late last week, Bitcoin ETFs recorded $238 million in fresh inflows, while Ethereum ETFs added $55.7 million, snapping an eight-day outflow streak. Trading volumes also rose 27% week-on-week as investors bought the dip.

Ashish Singhal, Co-founder of CoinSwitch, said market pullbacks offer long-term opportunities. “Timing the market is difficult. Corrections help investors strengthen portfolios and align investments with long-term goals,” he said.

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