Bitcoin reclaimed $90K after positive news of Vanguard allowing crypto ETF access and SEC exploring crypto frameworks, though negative futures funding rates show traders are still cautious. The post Bitcoin Reclaims $90K as Crypto Markets Snap Back After Heavy Selloff appeared first on Crypto News Australia.Bitcoin reclaimed $90K after positive news of Vanguard allowing crypto ETF access and SEC exploring crypto frameworks, though negative futures funding rates show traders are still cautious. The post Bitcoin Reclaims $90K as Crypto Markets Snap Back After Heavy Selloff appeared first on Crypto News Australia.

Bitcoin Reclaims $90K as Crypto Markets Snap Back After Heavy Selloff

2025/12/03 13:05
  • Bitcoin saw a 6% uptick, climbing back above $92K. This sparked a broad market rebound after a sharp selloff wiped out nearly $1 billion in leveraged positions.
  • While traders welcomed supportive industry headlines, overall sentiment remains fragile amid ongoing market stress.
  • Despite the price rise, negative funding rates indicate traders remain bearish, suggesting the recovery is fragile in the near term.

Bitcoin climbed back over US$90,000 (AU$137,700) on Tuesday, recovering part of Monday’s sharp selloff that wiped out nearly US$1 billion (AU$1.53 billion) in leveraged positions and rattled sentiment across crypto markets.

Even shares of the Bitcoin mining company led by Eric Trump, American Bitcoin Corp (ABTC), dropped hard this Tuesday, losing half its value in early trading sessions. More specifically, a 51% decline, according to data from Yahoo Finance

Source: Yahoo Finance.

It seems the market is looking at supportive headlines as a sign of relief, as the US Securities and Exchange Commission (SEC) Chair Paul Atkins flagged plans to detail an “innovation exemption” for digital asset firms. 

Read more: Kalshi Goes Onchain With Solana in Bid to Challenge Polymarket

Meanwhile, Vanguard said it would allow ETFs and mutual funds primarily holding cryptocurrencies to trade on its platform, according to Bloomberg. 

Wintermute strategist Jasper De Maere told the publication that the move reflects both sector-specific news and crypto “catching up” with broader risk assets.

It seems to be a combination of industry specific headlines and crypto catching up to the broader market that is driving this strong price activity.

Jasper De Maere, desk strategist at Wintermute

Have BTC-ETFs Turned Things Around?

Despite the sell-off pressure that rippled across the market, US spot Bitcoin ETFs saw some steady gains today, reaching US$5.9 billion, a sign that institutions and retailers are still interested in exposure to the main cryptocurrency, according to The Block data. 

Despite Tuesday’s bounce, Bitcoin funding rates in perpetual futures have turned negative in recent days, according to CryptoQuant — a sign that demand for bearish exposure now outweighs interest in leveraged long positions, and that any recovery may remain fragile in the near term.

In simple words, this means that even though Bitcoin went up, traders are still nervous, and we can see that on futures markets, where more people are now shorting the crypto asset. This is because the funding rate is negative: traders who are short are getting paid by those who are long (betting on a rise).

Read more:  Upbit Halts Trading After $36.8M Solana Network Hack

The post Bitcoin Reclaims $90K as Crypto Markets Snap Back After Heavy Selloff appeared first on Crypto News Australia.

Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact service@support.mexc.com for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

Fed Decides On Interest Rates Today—Here’s What To Watch For

Fed Decides On Interest Rates Today—Here’s What To Watch For

The post Fed Decides On Interest Rates Today—Here’s What To Watch For appeared on BitcoinEthereumNews.com. Topline The Federal Reserve on Wednesday will conclude a two-day policymaking meeting and release a decision on whether to lower interest rates—following months of pressure and criticism from President Donald Trump—and potentially signal whether additional cuts are on the way. President Donald Trump has urged the central bank to “CUT INTEREST RATES, NOW, AND BIGGER” than they might plan to. Getty Images Key Facts The central bank is poised to cut interest rates by at least a quarter-point, down from the 4.25% to 4.5% range where they have been held since December to between 4% and 4.25%, as Wall Street has placed 100% odds of a rate cut, according to CME’s FedWatch, with higher odds (94%) on a quarter-point cut than a half-point (6%) reduction. Fed governors Christopher Waller and Michelle Bowman, both Trump appointees, voted in July for a quarter-point reduction to rates, and they may dissent again in favor of a large cut alongside Stephen Miran, Trump’s Council of Economic Advisers’ chair, who was sworn in at the meeting’s start on Tuesday. It’s unclear whether other policymakers, including Kansas City Fed President Jeffrey Schmid and St. Louis Fed President Alberto Musalem, will favor larger cuts or opt for no reduction. Fed Chair Jerome Powell said in his Jackson Hole, Wyoming, address last month the central bank would likely consider a looser monetary policy, noting the “shifting balance of risks” on the U.S. economy “may warrant adjusting our policy stance.” David Mericle, an economist for Goldman Sachs, wrote in a note the “key question” for the Fed’s meeting is whether policymakers signal “this is likely the first in a series of consecutive cuts” as the central bank is anticipated to “acknowledge the softening in the labor market,” though they may not “nod to an October cut.” Mericle said he…
Share
BitcoinEthereumNews2025/09/18 00:23