Bitcoin’s Deep Correction Sets Stage for December Rebound, Says K33 Research

Strategy has urged MSCI to reject a proposal that would exclude companies with significant Bitcoin holdings from its indices, arguing that such a move could destabilize markets and hinder innovation in the digital asset sector.

Bitcoin's price has experienced significant volatility as it approached the Federal Open Market Committee (FOMC) meeting, with the yearly open level of $93.5K proving to be a critical point of resistance. Traders are closely monitoring the situation as they await the Fed's interest-rate announcement, which could influence market direction.

Strategy's recent acquisition of over 10,000 Bitcoin for $1 billion did not lead to an expected price rally, as market analysts noted that the transaction's execution through over-the-counter (OTC) desks kept price movements stable. Quinten Francois explained that such large purchases do not impact real-time order books, resulting in minimal visible price changes.

On December 10, 2025, Bitcoin, Ether, Solana, and XRP exchange-traded funds (ETFs) experienced significant inflows, marking an all-green day for these cryptocurrencies. This surge in investment reflects a growing confidence in the cryptocurrency market, with XRP notably receiving over $1 billion in institutional support, as highlighted by Ripple CEO Brad Garlinghouse.

At the Bitcoin MENA 2025 conference in Abu Dhabi, Michael Saylor announced that major US banks are transitioning from excluding Bitcoin to actively developing products based on it, indicating a significant shift in the financial landscape. Saylor noted that these banks are now approaching him directly for collaboration.

Bitcoin's price has recently stabilized just below the $95,000 mark following a significant rally from a low of $80,537. This price movement has raised questions about the sustainability of the current bullish trend, as market participants remain cautious amid mixed signals from various technical indicators.

Tether-backed Twenty One Capital faced significant market turbulence as Bitcoin's value declined, impacting the valuations of Digital Asset Trust (DAT) and compressing mNAV premiums. The firm, which recently went public via SPAC, is now under pressure to demonstrate its value beyond merely holding Bitcoin.

Bitcoin's volatility is compressing, leading to a dimmed outlook for a year-end rally as the cryptocurrency struggles to maintain levels above $90,000. Recent trading has seen Bitcoin hovering around critical support levels, with macroeconomic signals and on-chain metrics diverging, indicating uncertainty in market direction.