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Bitcoin Updates: El Salvador Continues Aggressive Bitcoin Purchases Despite Market Turmoil as BTC Falls Under $90K

Bitcoin Updates: El Salvador Continues Aggressive Bitcoin Purchases Despite Market Turmoil as BTC Falls Under $90K

Bitget-RWA2025/11/19 00:52
By:Bitget-RWA

- Bitcoin fell below $90,000 for first time in seven months amid macroeconomic uncertainty, profit-taking, and leveraged long liquidations. - $19B in leveraged longs liquidated triggered cascading losses, while the Fear & Greed Index hit "extreme fear" levels at 10. - El Salvador defied market panic by purchasing $101M BTC weekly, expanding reserves to 7,474.37 BTC under President Bukele's policy. - Institutional views remain split: Strategy denied selling holdings, but ETF outflows removed $870M in redemp

Bitcoin Drops Below $90,000 Amidst Market Turbulence

For the first time in seven months, Bitcoin (BTC) slipped under the $90,000 mark, trading at $90,883.94 late Tuesday,

. This drop, which wiped out all gains made since early 2025, comes after a week of steep declines fueled by global economic uncertainty, profit-taking by long-term investors, and a general move away from risk in worldwide markets . The crypto Fear & Greed Index, a key gauge of market sentiment, — its lowest reading since late February 2025 — indicating "extreme fear" among traders.

The selloff intensified after $19 billion in leveraged long positions were wiped out, leading to further cascading losses

. as a result of growing uncertainty around interest rates, especially regarding possible U.S. Federal Reserve cuts, and a decline in institutional buying. Jake Kennis, Senior Research Analyst at Nansen, explained that the downturn is due to "a mix of profit-taking by long-term holders, institutional outflows, macroeconomic worries, and the liquidation of leveraged long positions" . At the same time, the CoinDesk 20 (CD20) index, which tracks the largest 20 cryptocurrencies by market cap, .

Bitcoin Updates: El Salvador Continues Aggressive Bitcoin Purchases Despite Market Turmoil as BTC Falls Under $90K image 0
Despite the recent swings, some investors view the downturn as a buying opportunity. El Salvador, for example, , acquiring $101 million in within a week to strengthen its reserves. President Nayib Bukele’s policy of buying one BTC per day , now worth about $688 million. “Bitcoin stands for freedom, openness, and personal empowerment,” , director of El Salvador’s Office, defending the approach despite international scrutiny.

Institutional sentiment remains divided. Strategy, a publicly listed Bitcoin company,

and reiterated its commitment to accumulating more. Michael Saylor, the company’s CEO, and the S&P 500 by the end of the year. However, outflows from ETFs have removed a vital source of demand, with $870 million withdrawn in just one week . the $85,000–$90,000 support range could be tested, and a deeper drop might send prices down to $75,000–$82,000.

The broader digital asset market is also under pressure.

, fell 3.8%, and (SOL) lost 3.2% in the last 24 hours. through alternatives like yield-focused products and structured investments as volatility persists. RockToken, a digital asset platform, , which provide returns that are not tied to short-term price changes.

Meanwhile, the stablecoin market keeps expanding, with clearer regulations in the U.S. and Europe

. , a multi-chain stablecoin, to bring dollar-based liquidity to various blockchains. The stablecoin sector, now valued at $303.44 billion, is as companies like Obex and compete for market share.

As Bitcoin faces ongoing macroeconomic challenges, its future direction is still unclear. A move back above the 365-day moving average could ease selling, but continued weakness may deepen the decline. For now, the market is watching for renewed institutional interest and liquidity shifts that could mark a reversal

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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