Market buying pressure weakened and Bitcoin fell below $87,000, hitting a new low since April.

The cryptocurrency market continued to weaken on Thursday, extending a downward trend that has lasted for over a month. At the same time, the early gains in the US stock market, driven by NVIDIA Corporation's performance, were completely wiped out during the trading session. Overall risk appetite in the market weakened, putting further pressure on cryptocurrency assets. Bitcoin fell by over 4% at one point during the trading session, falling below $87,000 for the first time since April. Market buying power was weak, and the momentum that supported the early year gains has clearly diminished. This pullback occurred in the context of continued liquidation of positions after the October surge, making the market more susceptible to selling pressure and sudden volatility. James Butterfill, Director of Research at CoinShares, said, "Cryptocurrencies are facing massive selling pressure from whales based on the 'four-year cycle theory,' which is typically a period of cyclical price decline. Although we do not necessarily agree with this theory from a fundamental standpoint, this behavior is becoming self-fulfilling, with large holders selling over $20 billion in positions since September." Meanwhile, US stocks also experienced volatility due to concerns about the valuation of AI-related themes and a cooling of expectations for a December rate cut by the Federal Reserve. NVIDIA Corporation's earnings report initially fueled enthusiasm for AI, but the gains quickly dissipated. In contrast, cryptocurrency remains mired in its own leveraged liquidation cycle and the decline in retail demand, with this "cross-asset differentiation" becoming more apparent since early October. The options market is also watching key support levels. According to data from Deribit under Coinbase (COIN.US), the strongest demand for downside protection is near $85,000, followed by $82,000, indicating that traders are preparing for further declines. Strategists pointed out in their analysis, "The collapse of cryptocurrencies has cut off the main speculative outlet in the market. In the current environment, crypto assets are no longer the 'canary in the coal mine,' but the mine itself, collapsing under the weight of its own leverage." The latest round of Bitcoin's decline is closely related to the massive "forced liquidation wave" in October. Over $19 billion in leveraged positions were liquidated in a single day, severely damaging market momentum and draining liquidity from major trading platforms. Order depth has not fully recovered, making prices extremely sensitive to small-scale trading flows, with this vulnerability continuing to dominate every decline. In addition, macroeconomic uncertainty has exacerbated market nervousness. Jake Ostrovskis, Head of OTC Trading at Wintermute, pointed out, "With a lack of key economic data, the Federal Reserve's policy path remains unclear, and this uncertainty is suppressing investor risk appetite more than any other factor, especially in high-risk assets."