Bitcoin is on track to record its second-worst monthly performance of the year, falling 17.28% in November, according to CoinGlass data. Only February, which saw a 17.39% decline, performed slightly worse. The drop also marks Bitcoin’s largest November slide since 2022, when it lost 16.23% of its value.

Opening Highs and Market Context

Bitcoin began November near $110,000, following a volatile October that included a record high of $126,000 but also erased roughly $20 billion in market value. The selloff initially began after former President Donald Trump expanded tariffs on China on October 10, prompting a broader reassessment of risk across global financial markets.

The volatility continued into November as the record U.S. government shutdown tightened liquidity across traditional markets. Combined with weakening institutional flows, the macroeconomic environment created a challenging backdrop for BTC.

ETF Outflows Add to Selling Pressure

Institutional investors further pressured the market. According to SoSo Value data, Bitcoin ETFs recorded $3.48 billion in outflows in November, marking the second-largest monthly withdrawal since these products launched in 2024.

These outflows, which began quietly in the second half of October, accelerated as markets digested macroeconomic uncertainty. ETFs, traditionally a key source of demand for Bitcoin, failed to provide the usual stabilizing effect, leaving BTC vulnerable to sharper declines.

Short-Term Investor Capitulation

Short-term investors contributed heavily to November’s decline. Glassnode data shows that realized losses among short-term holders surged to $427 million per day, the highest level since November 2022.

The pattern indicates that reactive selling, rather than long-term distribution, drove the price drop. Panic selling by short-term traders compounded broader market stress, pushing BTC to a seven-month low below $80,000 during the month.

Recovery and Key Takeaways

Despite the severe drop, Bitcoin rebounded to $90,773 at press time, demonstrating that long-term holders largely remained intact.

November’s performance reflects a convergence of external pressures and structural stress in the crypto market rather than fundamental weakness in Bitcoin itself. While short-term volatility persists, the stability of long-term holders suggests confidence in BTC remains relatively strong.