According to a recent report from Wintermute, BTC fell below $85,000 mid-week. ETH fell below $3,000, triggering strong selloffs.
On Monday alone, about $600 million of positions were liquidated, with another $400 million released on Wednesday and Thursday. These moves highlight how quickly strength can be sold in a volatile market. Even though major tokens continue to attract constant buying pressure.
Major Tokens Lead the Way
Wintermute’s internal flow data indicates sustained buying pressure for major cryptocurrencies, particularly BTC, which has seen a longer and more consistent period of inflows. Ethereum is also showing signs of increased demand as the year ends. Institutional investors remain a constant source of capital. This is when retail participants abandon altcoins and return to the majors. This trend aligns with the broader consensus that Bitcoin often needs to stabilize before risk appetite spreads to smaller assets.
A concrete example comes from the derivatives market, where net purchases of BTC and ETH coexist with high intraday volatility. Massive leverage is frequently eliminated, creating air pockets that impact price discovery while spot buyers maintain a more stable base. The majors’ funding rates and basic metrics have remained relatively compressed, even as options markets price a wide range of outcomes. Implied volatility remains high, reflecting split expectations between a further decline towards the mid-$80,000 range for Bitcoin and a potential recovery towards recent highs.
Market structure and adoption
Beyond price action, crypto-specific developments suggest steady adoption by institutions, businesses, and consumers. Traditional financial players enter this sector deliberately, and once capital and business are established, they tend to stick around. Wintermute notes that this ongoing integration is likely supportive for prices in the medium term, even if near-term upside momentum is muted.
The report concludes that markets continue to consolidate, with BTC and ETH acting as primary risk absorbers, while the broader altcoin market faces pressure from oversupply and limited risk appetite. As the end of the year approaches, liquidity is expected to remain weak and trading activity lighter. In the absence of macroeconomic or political catalysts, positioning is likely to determine market movements rather than conviction, with price action remaining limited and selective.
Disclaimer
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