What Is Causing the Decline in Cryptocurrency Values Today? – December 16, 2025

The cryptocurrency market is experiencing another decline today, with the total market capitalization dropping by 4.2%. It is nearing the $3 trillion threshold, currently at $3.02 trillion. Out of the top 100 cryptocurrencies, 95 have seen a decrease in value over the last 24 hours. Concurrently, the overall trading volume in the crypto space is at $134 billion.

TLDR:

The cryptocurrency market cap fell by 4.2% on Tuesday morning (UTC);

95 of the top 100 coins, including all of the top 10 coins, have decreased today;

BTC has dropped by 4% to $86,184, while ETH has decreased by 6.8% to $2,924;

Grayscale suggests that BTC will reach a new all-time high in the first half of 2026;

BTC is nearing a significant support level around $84,800;

‘We could potentially see BTC dip below $80,000 if the downward trend persists’;

‘The crypto markets should remain vigilant regarding liquidity sweeps and increased volatility surrounding US data releases’;

A US regulator has removed crypto from its list of systemic financial risks;

The US SEC has closed 60% of crypto-related cases in the past year;

US BTC and ETH spot ETFs experienced outflows on Monday of $357.69 million and $224.78 million, respectively;

Crypto market sentiment continues to decline.

Crypto Winners & Losers

As of this writing, all of the top 10 cryptocurrencies by market capitalization have experienced price declines in the last 24 hours.

Bitcoin (BTC) has decreased by 4% since yesterday, currently trading at $86,184.

Bitcoin (BTC)24h7d30d1yAll time

Ethereum (ETH) has fallen by 6.8%, now trading at $2,924. This represents the largest drop in its category.

Following this is XRP, which has decreased by 5.9%, now priced at $1.88.

In contrast, Tron (TRX) experienced the smallest decline in the category, down by 0.6% and currently trading at $0.2788.

Among the top 100 coins, only five have appreciated in value over the past day.

MemeCore (M) has increased by 3.9%, now priced at $1.73.

Provenance Blockchain (HASH) follows with a rise of 2.2%, currently valued at $0.03079.

Conversely, three coins recorded double-digit declines.

Aster (ASTER) fell by 12.4% to $0.8193, followed by Ondo (ONDO) and Pump.fun (PUMP), both down by 10% to $0.4046 and $0.002418, respectively.

Meanwhile, the US Financial Stability Oversight Council has excluded crypto from its list of systemic financial threats in its 2025 annual report.

Additionally, the US Securities and Exchange Commission (SEC) has dismissed or paused nearly 60% of crypto-related cases over the past year.

Interested in crypto wallets and how to store and manage crypto assets? Refer to our Crypto Asset Custody Basics Investor Bulletin.https://t.co/x4HMYMHLAe pic.twitter.com/bSbP25nzOc

— U.S. Securities and Exchange Commission (@SECGov) December 13, 2025

Uncertainty Driving Policy Expectations

Nic Puckrin, investment analyst and co-founder of the Coin Bureau, notes that BTC “is in the red once again – a trend that is becoming increasingly familiar as a disappointing Q4 comes to an end.”

Having dropped to around $86,000, BTC is approaching its 100-week moving average, a significant support level around $84,800, he states. Concerns regarding the AI bubble and future monetary policy seem to be contributing factors once again.

Interestingly, the market had anticipated that “ultra-dove” Kevin Hassett would be the next US Federal Reserve Chair. However, Kevin Warsh – a much more hawkish candidate – now appears to be the leading contender.

“The second Kevin is much more likely to adhere to the FOMC’s current projections of just one additional rate cut in 2026, so the market is beginning to accept this narrative,” Puckrin explains.

He adds that the typical practice of booking tax losses in December does not help, as Bitcoin is one asset that has resulted in losses for many investors.

“This all contributes to a lackluster conclusion to 2025, and we could even see BTC dip below $80,000 if the downward trend continues. In the short term, the ETF cost basis at $83,800 is the next level to monitor, with support below that at $81,200 – the true market mean.”

Furthermore, Bitunix analysts have indicated that the U.S. NFP report is scheduled for release today, suggesting that both it and the subsequent CPI release should be regarded as “impaired data” due to the government shutdown.

For the crypto market, “weak NFP data combined with distorted statistics creates a dual impact on risk assets,” the analysts state.

“On one hand, earlier pricing of rate cuts supports medium-term liquidity expectations, providing underlying support for assets like BTC,” they note. “Conversely, increased data uncertainty may lead to sharp short-term volatility across rates, the U.S. dollar, and crypto markets, raising the likelihood of leveraged positions being liquidated.”

Finally, they caution that the crypto markets should stay vigilant regarding liquidity sweeps and increased volatility surrounding the data release, particularly in relation to whether capital utilizes macro uncertainty as an opportunity for deleveraging and repricing.

Levels & Events to Watch Next

As of Monday morning, BTC was priced at $86,184. The day’s chart indicates a clear drop from $89,935 to an intraday low of $85,427.

Additionally, BTC’s price has decreased by 4.3% over the past week. The intraweek high currently stands at $94,267.

Many believe that there is still potential for BTC to rise above $90,000 and approach $100,000. Some even suggest that a new all-time high could be imminent. However, another decline is likely in the short term, which could see BTC fall below $80,000.

Bitcoin Price Chart. Source: TradingView

Ethereum is currently trading at $2,924. Over the past day, the coin has fallen from a high of $3,171 to below $3,000, reaching $2,895.

ETH has dropped 5.6% in a week, trading within the $2,919–$3,390 range. It is now down 41% from its all-time high of $4,946.

Further declines could bring the price down to the $2,780 and $2,650 levels. Conversely, if the coin appreciates, ETH could reclaim the $3,000 and $3,120 zones.

Ethereum (ETH)24h7d30d1yAll time

Meanwhile, the crypto market sentiment has once again fallen into the fear zone. The crypto fear and greed index is at 22 today, down from 27 yesterday.

This indicates considerable caution and concern among market participants regarding the market’s short- and mid-term outlook.

ETFs Saw a Mixed Friday

On the first trading day of this week, US BTC spot exchange-traded funds (ETFs) experienced significant outflows totaling $357.69 million. The total net inflow has decreased to $57.55 billion.

Out of the twelve BTC ETFs, five recorded outflows, with none seeing inflows. Fidelity accounted for the majority of the negative flows, with $213.12 million in outflows.

Following this, Bitwise had $44.32 million in outflows.

Additionally, US ETH ETFs also recorded negative flows on Monday for the third consecutive day, with outflows of $224.78 million on December 15. The total net inflow has fallen below $13 billion, now at $12.86 billion.

Among the nine funds, six experienced outflows, and none had inflows. BlackRock recorded the largest outflow at $139.09 million.

Grayscale follows with $55.28 million in outflows.

Meanwhile, Grayscale contends that Bitcoin is not finished with this cycle and is expected to achieve a new all-time high in the first half of 2026.

Key themes to monitor:
Stablecoins – $USDT $USDC on $ETH $SOL $BNB $TRX
Tokenization – $ETH $BNB $SOL $LINK
Privacy – $ZEC $RAIL
AI-crypto – $TAO $NEAR $WORLD
DeFi growth – $AAVE $MORPHO $MAPLE $UNI $HYPE $RAY $JUP
Next-gen chains – $SUI $MON $MEGA
Staking clarity impact – $LDO…

— Grayscale (@Grayscale) December 15, 2025

Quick FAQ

1. Why did crypto move with stocks today?

The cryptocurrency market experienced a decline over the past 24 hours, coinciding with the US stock market closing lower on Monday. By the end of the session on December 15, the S&P 500 was down by 0.16%, the Nasdaq-100 fell by 0.51%, and the Dow Jones Industrial Average decreased by 0.086%. Technology shares remain under significant pressure due to increasing concerns over the AI bubble.

1. Is this drop sustainable?

The decrease observed today is not unexpected and may persist in the coming days, despite potential brief price recoveries. Some analysts suggest that we may have entered a bear market.

You may also like: (LIVE) Crypto News Today: Latest Updates for December 16, 2025 Cryptocurrency markets opened the day under broad pressure, with losses accelerating across major sectors as risk sentiment deteriorated sharply. DePIN tokens led the sell-off, sliding nearly 6%, while Bitcoin fell 4% to break below the $86,000 level and Ethereum dropped more than 4% below $3,000. Weakness extended across Layer 1s, Layer 2s, DeFi, PayFi, and CeFi, accompanied by heavy liquidations totaling $583 million over the past 24 hours, overwhelmingly skewed toward long positions. The…

The post Why Is Crypto Down Today? – December 16, 2025 appeared first on Cryptonews.