Understanding Today's Cryptocurrency Market Decline

Understanding Today's Cryptocurrency Market Decline – December 18, 2025

Today, the cryptocurrency market faced a downturn after a slight rise yesterday. A significant number of top cryptocurrencies saw their values decline, with Bitcoin experiencing a more restrained fall compared to others. Experts provide insights into potential future movements for Bitcoin and Ethereum, while the market sentiment remains cautious.

Key Takeaways

The overall market capitalization of cryptocurrencies has dropped by 1.5%, now totaling $3.01 trillion.
Bitcoin declined by 0.3% to $86,722, while Ethereum fell 3.9% to $2,834.
The top three cryptocurrency losses included LEO Token with a 27.1% decrease.
Crypto market sentiment remains in the "fear" zone with a fear and greed index of 22.
Analysts predict that Bitcoin could potentially reach prices between $138,000 to $148,000 within the next 180 days under certain conditions.

Why Is Crypto Down Today

Current Market Trends

Following a slight rise yesterday, the crypto market has dipped today. The total market capitalization decreased by 1.5%, bringing it to $3.01 trillion, with 95 out of the top 100 cryptocurrency coins dropping in price over the last 24 hours. The overall trading volume in the crypto space is currently at $129 billion.

Performance of Major Cryptocurrencies

As of now, all of the top 10 cryptocurrencies by market capitalization have faced declines:

Bitcoin (BTC) has fallen by only 0.3%, trading at $86,722, marking the smallest drop among major coins.
Ethereum (ETH) decreased by 3.9%, now priced at $2,834.
Dogecoin (DOGE) experienced the highest drop of 5%, settling at $0.1245.
XRP decreased by 4.6%, currently valued at $1.84.

Among the top 100 cryptocurrencies, 95 saw value declines, with three experiencing double-digit drops. Leading the biggest losers is LEO Token (LEO), which has plummeted 27.1% to $6.58. Following this are Hyperliquid (HYPE) and Pump.fun (PUMP), down by 12% and 11.8%, priced at $23.94 and $0.002021, respectively. Contrarily, Canton (CC) recorded a gain of 5.6%, now priced at $0.07517.

Insights on Bitcoin’s Price Movements

According to Fadi Aboualfa, Head of Research at Cooper, Bitcoin has exhibited a repeatable price pattern over the past two years. He notes that after reaching all-time highs, Bitcoin tends to correct sharply before finding a support level typically aligned with its ETF investor cost basis, continuing on a path of expansion afterward.

Aboualfa states, “Institutions are not ‘staking sats’,” implying that most institutional investors are now more focused on utilizing Bitcoin via equity-style ETF shares rather than acquiring the cryptocurrency itself. He projects that if BTC maintains its trajectory near its cost basis of $84,000, it could surge to an estimated $140,000 within the next 180 days.

Furthermore, Nick Forster, Founder at Derive.xyz, mentions that while markets are seeing downward pressure, there are significant positions being built up around $100K and $120K strike prices in anticipation of a potential market rally. He warns, however, that bear sentiment remains strong with notable put exposure at the $85K strike price, suggesting expectations for further declines.

For Ethereum (ETH), analysts see more balanced prospects compared to Bitcoin, with a 45% chance of reclaiming the $3,000 mark by the end of Q1 and a 25% chance of surpassing $4,000 during the same period.

Levels and Market Sentiment

As of Thursday morning, Bitcoin was trading around $86,722. It started the day at $87,011 but briefly peaked at $90,164 before dropping to a low of $85,373, maintaining a sideways trading pattern afterward. A potential downturn toward $84,000 could occur, with significant concern if the price falls below $80,000. However, if positive momentum continues, it could see a rise back to $90,000.

In terms of Ethereum, it currently trades at $2,834 after fluctuating between highs and lows throughout the day. If it continues to fall, a pullback could bring its value down to the $2,700 level, with resistance at $3,000 if market conditions improve.

Despite these fluctuations, the crypto fear and greed index indicates increasing fear, now standing at 22—down from yesterday's 25. Market analysts predict that this bearish trend may persist in the short- to mid-term.

Crypto Sentiment

Activity Among ETFs

On December 17, the US BTC spot exchange-traded funds (ETFs) recorded their first inflow after a series of outflows, totaling $457.29 million, bringing the total net inflow to $57.73 billion. Fidelity led the way with $391.49 million in positive flows, while BlackRock had $111.17 million in inflows. However, Ark&21Shares and Bitwise saw losses of $36.96 million and $8.41 million, respectively.

Conversely, the US ETH ETFs faced continued outflows for the fifth consecutive day, experiencing $22.43 million in losses, leading to a total net inflow of $12.62 billion.

ETF Movements

Additionally, Coinbase announced plans to expand its services, allowing users to trade stocks and engage in prediction markets via a partnership with Kalshi.

Conclusion

The current state of the cryptocurrency market reflects cautious sentiment as both major indices and cryptocurrencies face pressure. Analysts suggest that a significant change is needed for a market recovery, while traders remain divided between optimism for potential rallies and concerns about further declines.

Through careful observation of market trends and predictions, investors can better navigate the evolving landscape of cryptocurrencies.