Crypto Prices Update (Nov. 27): BTC Recovers to $90K, ETH, XRP, and BNB Gain Amid Market Correction

Summary: Today’s crypto market is showing early signs of recovery following November's downturn, with Bitcoin and other major cryptocurrencies experiencing modest gains. The overall market capitalization has grown, although cautious sentiment persists among investors.

Key Takeaways

Bitcoin has risen to $91,404, marking a 4.6% increase over the last 24 hours.
Major cryptocurrencies, including Ethereum (up 3.8%) and XRP (up 1.3%), are also seeing gains.
The Crypto Fear & Greed Index is still in the "extreme fear" range but shows slight improvement.
Investor confidence is bolstered by positive macroeconomic indicators, including anticipated U.S. rate cuts.
On-chain analysis suggests a potential shift from a corrective phase in Bitcoin, with whale activity on the rise.

Chart showing crypto prices today on the uptrend

Market Recovery Signs

Today’s cryptocurrency prices exhibit modest increases, indicating a potential recovery from the sharp decline witnessed earlier this month. The overall crypto market capitalization rose 3.6% to reach $3.2 trillion, attributed to gains in key assets. Currently, Bitcoin is priced at $91,404, reflecting a 4.6% increase in the last day. BNB has climbed to $895 (up 3.6%), XRP is trading at $2.20 (up 1.3%), and Ethereum has grown to $3,038 (up 3.8%). Several of the top 100 tokens, such as Hyperliquid, Mantle, and Sky, demonstrated even stronger increases, ranging from 6% to 10%. Nonetheless, the market remains cautious despite this upward movement.

The Crypto Fear & Greed Index is still within the "extreme fear" territory, although it has improved by seven points since yesterday, now sitting at 22. Liquidations over the last day rose 7% to reach $346 million, while total open interest saw a 4% increase to $135 billion. The average market relative strength index is currently neutral at 56, indicating a tentative stabilization after a tumultuous two-week period.

Macroeconomic Factors Boosting Investor Sentiment

Investor confidence is being lifted by rising expectations of a potential rate cut in December, with probabilities now at approximately 85% after recent U.S. data revealed softer inflation and a cooling labor market. Fed Governor Christopher Waller mentioned that the delays caused by the recent government shutdown will provide clearer insights for policymakers ahead of the December meeting, reinforcing market assumptions toward more accommodating policies.

Additionally, the formal end of quantitative tightening is scheduled for December 1, which will inject more liquidity into risk assets. Another positive development emerged with speculation that former Trump adviser and Coinbase veteran Kevin Hassett is a leading candidate for the next Fed Chair, with betting odds suggesting a 67% chance. This development has provided a boost to both crypto and tech markets.

Geopolitical factors also contributed positively. Progress in negotiations surrounding a possible settlement in Ukraine has lessened war-related risk premiums, while discussions between the U.S. and China seem to be inclining towards a new trade agreement. These developments have collectively led to a rise in global stocks, with cryptocurrencies experiencing similar upward momentum.

Bitcoin’s Technical Corrections

On-chain metrics indicate that the cryptocurrency market might be transitioning out of its corrective phase. An analysis from CryptoQuant contributor XWIN Research Japan on November 27 highlighted a decrease in overheated leverage across Bitcoin futures, spot trading, and on-chain activities, with long-term investments beginning to reenter the market.

The MVRV (Market Value to Realized Value) ratio, which often signals the early stages of recoveries, has decreased to 1.54. During the decline, open interest dropped from $37 billion to $29 billion, effectively reducing excess leverage in the market.

In the short term, holders have faced losses exceeding $900 million, often indicating capitulation moments near local bottom levels. Conversely, whale addresses holding between 10 to 1,000 BTC have been steadily accumulating during this downturn, akin to previous shifts from mid-cycle corrections to emerging uptrends.

Looking ahead remains uncertain. Analysts, including Mike Novogratz from Galaxy Digital and Tom Lee from BitMine, anticipate a potential push towards $100,000 by the end of the year. However, if the price fails to maintain above $88,000, Bitcoin could retrace back to $80,000, or even lower, depending on market conditions. For now, the initial signs of stabilization combined with increasing spot demand suggest that the market is attempting to regain momentum as November comes to a close.