Bitcoin back above $91,000

The price of the leading cryptocurrency rose above $91,000, up 4.4% over the past 24 hours.

At the time of writing, bitcoin is trading around $91,400.
Kronos Research CIO Vincent Liu called the move a classic oversold bounce. The drop to ~$82,000 brought buyers back, he said. Expectations of a December cut to the Fed’s policy rate add extra impetus.
The probability of policy easing next month stands at 84.9%.

That supports appetite for risk assets despite cautious remarks from Fed chair Jerome Powell.
HashKey Group’s chief analyst Jeffrey Ding sees the rise as a “natural recovery” rather than a response to a specific event.

“The market structure remains healthy, liquidity is improving, and long-term fundamentals have not suffered,” the expert noted.

Other large-cap tokens followed digital gold into the green:

• Ethereum rose 3.1% to $3,029;
• XRP — up 0.9% ($2.21);
• BNB — 4% ($894);
• Solana — up 3.3% ($143).

Presto Research analyst Rick Maeda pointed to the clearing out of excessive long positions. That created room for upside, in step with the rally in U.S. equities.
U.S. indices closed higher ahead of Thanksgiving. The Dow Jones Industrial Averageadded 0.67%, the Nasdaq Composite 0.82%, and the S&P 500 rose 0.69%.

Whale bitcoin inflows

After the price decline, large traders stepped up transfers of assets to exchanges, CryptoQuant analysts told The Block. 
On 21 November, 9,000 BTC flowed to exchanges, the firm said. Roughly 45% of that came from large deposits of at least 100 BTC. Analysts called the level “unusually high”.
Adding to the picture, long-term holders moved more than 700,000 BTC in just two days, one of the largest distributions on record.

The average deposit size in November rose to 1.23 BTC — a one-year high, up from 0.6 BTC a week earlier. The bigger “average ticket” underscores that inflows are being driven by larger players.

On Binance, the average deposit size has climbed from 12 BTC to 37 BTC since the start of the month. Analysts reckon whales are using the venue to trim positions and reduce risk.
CryptoQuant’s head of research, Julio Moreno, noted that sellers have dominated the spot market since early October, but in the past two days the balance has evened out.
The trend has reached altcoins as well:

• Ethereum: despite a lack of sharp growth in overall inflows, the average deposit size jumped to 41.7 ETH — a three-year high — as the asset fell to $2,900;
• other coins: the number of transactions transferring altcoins to exchanges has held above 40,000 per day since July, peaking at 78,000 on 17 October.

CryptoQuant concluded that investors continue to sell into the current correction, adding further pressure to prices.

The low-liquidity factor

Experts told Bloomberg that the current volatility is partly the result of a “holiday market” ahead of U.S. Thanksgiving.

“There is less liquidity right now, so it takes small volumes to move the price,” explained Kaiko analyst Adam McCarthy.

Wintermute strategist Jasper De Mere added that the “high-$80,000s” served as a support and consolidation zone after several weeks of a downtrend.
Futures and options data point to a return of bullish sentiment:

• futures: funding rates on perpetuals have turned positive again, signaling demand for longs;
• options: according to Deribit, open interest has shifted from protective puts ($80,000–$85,000) to call options with a $100,000 strike.

GSR’s head of OTC trading, Spencer Hallarn, says the market is “ready to rise” after speculative longs were cleared out over the past two weeks.

Spot ETFs

On 26 November, net inflows into U.S. spot Ethereum-ETF products totaled $60.82 million. The sector has logged four straight positive sessions.

Investors also added to products tied to the first cryptocurrency. Aggregate inflows into spot bitcoin ETFs reached $21.12 million. The only fund with a negative result was Fidelity’s FBTC (-$33.3).

Instruments based on XRP attracted $21.81 million.
Spot ETFs based on Solana showed negative momentum, with net outflows of $8.1 million.