Bitcoin Holds Near $88K as Asia Markets Drift in Year-End Trading
Bitcoin hovered around $88,000 on Wednesday as traders wrapped up year-end positions in a market still cautious after October’s major shake-up. Back on Oct. 10, a cascade of forced liquidations wiped out more than $19 billion in leveraged crypto positions in a single day, leaving both spot and derivatives markets more risk-averse.
Since then, trading has been driven largely by marginal buyers, while outflows from spot Bitcoin exchange-traded funds have totaled roughly $6 billion in Q4, keeping Bitcoin under $90,000 heading into the final days of December.
Market Snapshot:
Bitcoin: $88,501, up 1.7%
Ether: $2,974, up 1.6%
XRP: $1.88, up 1.7%
Total crypto market cap: $3.07 trillion, up 1.5%
Asia Markets See Thin Year-End Trading
In Asia, liquidity was light as investors began their holiday schedules. Tony Severino, market analyst at YouHodler, noted that Bitcoin’s six-figure breakout earlier this year lacked the usual euphoria, with no broad retail frenzy driving the rally.
Trading in Hong Kong remained cautious, with volumes below the yearly average and the Hang Seng Index giving up ground ahead of the holidays. Markets in Hong Kong and Australia are preparing for early closes, while Japan and South Korea remained closed.
Global Markets and the Fed
Globally, equities are ending 2025 on a strong note. The MSCI All Country World Equity Index hit a new high of 1,024.29 on Dec. 26, up about 21% for the year. In the US, stocks traded quietly in thin holiday conditions, though Meta shares rose after the company announced it would acquire AI startup Manus.
Investors also reviewed the Federal Reserve’s latest meeting minutes, which revealed a divided debate over December’s rate cut. The next Fed meeting is scheduled for Jan. 27–28, with markets largely expecting rates to hold steady.
For crypto, the near-term question is simple: will fresh inflows return in early January, or will thin liquidity keep Bitcoin range-bound as it tries to defend the mid-$80,000s into 2026?
