Gold and technology stocks have attracted bottom fishing, but only bitcoin remains sluggish.

Technology stocks are attracting bottom-fishing funds, while gold is rebounding after a sharp drop. However, Bitcoin is alone in sinking, showing signs of weakness. What is happening behind the scenes? Why is the once prosperous cryptocurrency market now "unrecognizable"? On Friday (November 14th), the U.S. stock market experienced a dramatic turnaround. After initial panic selling at the opening, funds started bottom-fishing in technology stocks. The Nasdaq and S&P 500 indices rebounded strongly after touching key technical support levels. Gold, after a rapid drop of over $150 during the trading day, also rebounded to around $4080. However, Bitcoin became a clear exception: it fell by 5% on the same day, breaking the $94,000 mark and hitting a six-month low. This is Bitcoin's third consecutive weekly decline and the fifth decline in the past six weeks. More surprisingly, since the flash crash on October 10th, there has been no sign of weakening in the cryptocurrency market the total market value of all cryptocurrencies has lost over $1 trillion. This contrast reveals the unusual situation in the Bitcoin market: while maintaining a high correlation of 0.8 with the Nasdaq 100 index, Bitcoin shows an asymmetric feature of "greater decline and weaker rise". More importantly, according to an article on Wall Street View, the fear and greed index in the crypto circle has dropped to 15 points, the lowest level since February this year. The last time this index dropped below 20 points, Bitcoin plunged 25% within a month. Meanwhile, multiple factors are collectively suppressing Bitcoin. Long-term holders have sold approximately 815,000 Bitcoins in the past 30 days, setting a record high since early 2024; market liquidity depletion has led to five consecutive weeks of net outflows for Bitcoin ETFs. Even the cryptocurrency-related wealth of the Trump family has not been spared, with their holdings in World Liberty Financial tokens and American Bitcoin stocks falling by about 30% from their peak. Tech stocks counterattack, Bitcoin plunges The market trend on Friday can be described as "a tale of ice and fire". The Nasdaq 100 index and S&P 500 index rebounded quickly after hitting the 50-day moving average support, and small-cap stocks found support at the 100-day moving average. According to Scott Rubner, a trader at Goldman Sachs, market sentiment experienced a dramatic shift from "absolute panic" (from 4 a.m. to 9:30 a.m.) to "strong comeback" (from 10 a.m. to 11 a.m.) in the morning. This V-shaped reversal was not accidental. Goldman Sachs data shows that after the S&P 500 index dropped by at least 1.5% in a single day in 2025, it rebounded by an average of 1.1% the next day. ETF trading activity has become the main force for bottom-fishing in the morning session, accounting for 37% of the day's trading volume, far higher than the year-to-date average of 27%. The Mag7 index of tech giants rebounded strongly after touching the 50-day moving average, ending the week flat, with hedge funds' demand for replenishment at the 96th percentile. However, Bitcoin completely missed out on this rebound feast. Bitcoin fell by 5% on Friday, reaching a low of $94,519, the lowest since May 6th, with a weekly decline of 9.14%, marking its worst weekly performance since the week ending February 28th. Since hitting a historic high of $126,272 on October 5th, Bitcoin has fallen by about 25% in total. This differentiation appears particularly striking against the backdrop of improved market liquidity. Goldman Sachs traders point out that hedge funds are buying across the board, with demand at the 96th percentile; high beta momentum stocks, most-shorted stocks, and AI leading stocks all rebounded from a 3% downtrend at the open to a 3% uptrend at the close. However, the Bitcoin market continues to be under pressure, indicating that it is going through a different dilemma than traditional risk assets. The abnormal correlation of "falling harder, rising weaker" Bitcoin still maintains a high correlation of around 0.8 with the Nasdaq 100 index, but this correlation appears to be in an abnormal state Bitcoin only synchronizes with the stock market when it is falling, showing a delayed response during an uptrend. Data shows a clear negative performance skew between Bitcoin and the Nasdaq index this year: When the Nasdaq rises, Bitcoin's increase is significantly smaller; but when the Nasdaq falls, Bitcoin falls even more sharply. This is not a collapse of correlation, but rather a manifestation of asymmetry Bitcoin only absorbs downside risk, but cannot share the upside returns. Of particular note, this negative skew has reached its highest level since the end of the bear market in 2022 on a 365-day rolling basis this was the period right after the last peak of the cycle. Historical experience shows that such a scale of negative asymmetry tends to occur in periods of extreme market pessimism and when prices are nearing a bottom, rather than at market peaks. What is the logic behind this abnormal phenomenon? A key factor is the shift in market attention. In 2025, the narrative capital that was flowing in the cryptocurrency space new token issuance, infrastructure upgrades, retail participation has now shifted to the stock market. Large tech stocks have become magnets for institutions and retail investors seeking high beta growth. Compared to the euphoria of 2020-2021, the marginal increase in risk appetite is now flowing more towards the Nasdaq than digital assets. This means that while Bitcoin retains its high beta properties as a macro risk asset in a downturn, it loses the narrative premium during an uptrend. It is merely reacting as the "high beta tail" of macro risk, rather than an independent investment theme. Changes in liquidity structure have exacerbated this asymmetry. Stablecoin issuance has peaked, ETF fund inflows have slowed, and exchange market depth has failed to return to levels seen early 2024. This vulnerability has amplified Bitcoin's negative reactions during stock market corrections, leading to its downward participation remaining higher than its upward participation. Crypto fear index hits yearly low Market sentiment indicators are corroborating this extremely pessimistic atmosphere. According to an article on Wall Street View, on November 13th, the fear and greed index in the crypto circle hit a low of 15 points, the lowest level since February this year. This "extreme fear" reading is alarming the last time this index dropped below 20 points was on February 27th, followed by a 25% drop in Bitcoin price within a month to $75,000. A report from market sentiment analysis platform Santiment shows a sharp increase in negative discussions about the three major cryptocurrencies Bitcoin, Ethereum, and XRP. The positive/negative sentiment ratio has dropped significantly, with sentiment levels well below normal values. This indicates that negative discussions are dominating the market narrative, and investor confidence remains persistently low. Since the massive liquidation event on October 11th, key sentiment indicators show that market sentiment has failed to recover and has further deteriorated. Although Santiment interprets this extreme negative sentiment as a bullish sign that may signal a local bottom, there are currently no clear signs of a reversal in price trends. Whale sell-off intensifies, long-term holders concentrate on selling As Bitcoin struggles, multiple factors are collectively suppressing the cryptocurrency. According to reports, the breach of the $100,000 milestone by Bitcoin was triggered significantly by the sell-off of "whales" (large holders with over 1,000 Bitcoins) and long-term holders. Blockchain data shows that in the past 30 days, long-term Bitcoin holders have sold approximately 815,000 Bitcoins, marking the highest selling activity since early 2024. More importantly, whale wallets holding Bitcoin for over seven years have been continuously selling at a pace of over 1,000 Bitcoins per hour. This sell-off exhibits a "continual, staggered distribution" characteristic rather than a sudden coordinated sell-off. Analysis shows that many early holders see $100,000 as a psychological threshold a profit-taking level they have been talking about for years. Since Bitcoin first broke through $100,000 in December 2024, the sell-off by long-term holders has accelerated. Cory Klippsten, CEO of Swan Bitcoin, a veteran in the Bitcoin industry, said: "Many early holders I know have been talking about the $100,000 figure since I entered this field in 2017. For some reason, this is the level people have been saying they will sell." However, what is truly concerning is not the sell-off itself, but rather the weakening ability of the market to absorb these sell-offs. At the end of last year and the beginning of this year, when long-term holders sold Bitcoin, other buyers would intervene to support the price. But this dynamic seems to have changed. The outflows from Bitcoin ETFs confirm weakened demand. As of Thursday, Bitcoin ETFs saw a net outflow of $311.3 million this week, marking the fifth consecutive week of outflows, the longest streak of outflows since March 14th. Over the past five weeks, a total of $2.6 billion has exited, second only to the $3.3 billion outflows ending on March 28th. Trump family wealth also takes a hit With the turmoil in the cryptocurrency market, the wealth obtained by the Trump family from the cryptocurrency market has also shrunk. In the month following Bitcoin's peak of $126,272 on October 5th, investments related to cryptocurrencies held by the Trump family saw significant declines. The Trump family's cryptocurrency investment portfolio includes Trump Media & Technology Group, as well as blockchain companies World Liberty Financial and American Bitcoin mining companies. The World Liberty Financial tokens, as well as American Bitcoin and DJT stocks held by the Trump family, have all dropped by around 30% since Bitcoin's peak in October. According to financial disclosure documents from mid-June, the President indirectly owns nearly 115 million shares of DJT stock through a trust under his son Don Jr.'s name, valued at approximately $1.3 billion at Friday's price, a significant drop from nearly $2 billion in early October. The World Liberty website shows that the Trump family holds around 22.5 billion World Liberty Financial tokens, valued at approximately $3.4 billion at Friday's price, lower than the peak of $4.5 billion. Eric Trump holds a 7.5% stake in American Bitcoin, which is currently worth approximately $340 million, down from the peak of $480 million. Despite the Trump administration's efforts to promote the cryptocurrency industry including establishing a Bitcoin "strategic reserve" and the SEC dropping lawsuits against companies like Coinbase and Binance these favorable policies have not been able to prevent a significant pullback in the cryptocurrency market. This article was reprinted from "Wall Street News" and edited by GMTEight: Jiang Yuanhua.