2025 Cryptocurrency Market Annual Review: From All-Time Highs to Deep Corrections, Institutional Funds Continue to Deploy

2025-12-29 17:12:13

【CryptoPunk】Year-End Review: Cryptocurrency Market Falls from Peak to Trough

After Bitcoin reached a historic high of $126,000 in early October, the entire market began a rollercoaster adjustment. In just the past few months, the total market capitalization of digital assets has evaporated by approximately $1 trillion, with gains for the year almost wiped out.

The turning point came in mid-October. Following reports of macro policy risk signals, the crypto market experienced a $19 billion liquidation within 24 hours—an all-time record. Ethereum fell nearly 40% over the following 30 days, and market sentiment plunged into panic.

The decline in November was even more severe. Bitcoin once plunged below $81,000, marking the largest single-month drop since 2021. Although the price is currently fluctuating around $90,000, market opinions on the future trend remain highly divided.

Diverging Views: Winter or Cycle?

The pessimists warn that the market has officially entered a new “crypto winter.” However, some analysts believe this is more like Bitcoin’s characteristic four-year cycle adjustment—historical data shows such corrections are common.

The key point is that large funds have not exited the market. CEOs of leading compliant platforms and executives of the world’s largest asset management firms have stated that, from a long-term perspective, institutional funds are still flowing in continuously. Crypto assets are gradually integrating into mainstream financial systems from the gray area.

What is behind this tug-of-war? The combined effects of macro tightening, high leverage liquidations, and policy uncertainties are far more intense than the impact of any single factor. This round of adjustment may just be part of the process of sifting the true from the false.

ETH-3,04%

BTC-1,95%

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ZKProofEnthusiast

· 01-01 14:04

$126,000 to now, this is the state... I really can't smile 190 billion liquidation? Is this what institutions are "strategizing" about? Feels like we're about to hear the cold winter narrative again, I'm exhausted From peak to trough, this roller coaster has made me a bit dizzy One trillion evaporated, my wallet is also emo Are institutions continuously strategizing... bottom-fishing or harvesting the leeks? Why did the gains from the beginning of the year just disappear? Wait, is this really a cycle or is it truly going into hibernation?

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PaperHandsCriminal

· 01-01 13:26

When it was 126,000 dollars, why didn't anyone tell me to get in... Now it's fine, I've become fertilizer for the leek harvesters. 19 billion liquidation haha, I probably contributed quite a bit. Here we go again with the cold winter talk, just wondering when this cycle will turn to the Year of the Monkey or the Year of the Horse. Dropping again and repeatedly bouncing, it's really just us retail investors endlessly taking the hits. Are institutions still deploying? Then it must mean we haven't fallen enough yet.

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WalletDetective

· 2025-12-31 15:35

Damn, $126,000 to this point... My principal. One trillion just disappeared like that? How many people lost everything? 190 billion liquidation is really outrageous. Whoever survives this round wins. Here comes the winter is coming again? They said the same last year, and I’m not buying it anymore. Are institutions bottoming out? I’m thinking about whether I should follow suit.

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LayerZeroHero

· 2025-12-29 17:42

This sudden plunge really caught us off guard... From 126,000 to 81,000, one trillion dollars just disappeared like that. Those who were a bit more aggressive in their operations must be going for a tea break now. 190 billion liquidation in one day. Seeing those screenshots of contract explosions, I just... have no words. By the way, are those still daring to buy the dip real warriors or just fools? Anyway, I’m feeling timid. Winter? Not really, our circle is like this. This year we talk about poverty and hardship, next year we’re back to moderate prosperity. Just cycles. Wait a minute, can I buy at the 90,000 level now? I’m actually a bit tempted.

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AlwaysMissingTops

· 2025-12-29 17:42

Damn, this wave of the market is really intense... 126,000 directly plummeted, who can withstand this? 190 billion liquidation? Damn, this is the inverse operation of the printing press. I told you not to chase highs, but I still got caught. Now just waiting for the rebound to get out. Institutions are really ruthless, still deploying at this time... I truly have no money left. Wait, is this really a cold winter or just another routine to cut the leeks? Fluctuating around 90,000 repeatedly, who the TM knows what will happen next? I already said to escape the top early, now I’m so regretful I’m turning green inside. 1 trillion dollars evaporated, just hearing this number is despairing... Where have all the bottom callers gone now?

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LiquiditySurfer

· 2025-12-29 17:41

The 19 billion liquidation wave was really intense, but this is what really teaches newbies. When risk signals appear, and they still dare to go all-in, they deserve it. --- From $126,000 to $81,000, the capital efficiency of this correction is truly impressive. LPs must be laughing to death. --- "Winter or cycle"? Brother, your way of asking is almost there. The true entry points for surfing have already been locked by institutions; we're just drinking the martinis they left behind. --- Evaporating one trillion sounds frightening, but where is the real on-chain trading volume? That number speaks even louder. --- Ethereum down 40%... This is the textbook moment for market-making principles. Let's wait and see the LP returns in the next quarter. --- The downward trend is fierce? Turning around is the best opportunity for optimal positioning. Macro policy risks have always been the favorite liquidity deepening engine for permissionless finance.

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BearMarketSurvivor

· 2025-12-29 17:37

190 billion liquidation wave, and many people clearly have no concept of position management. This is the battlefield; if your supply line is cut, you deserve to be eliminated. --- From 126,000 to 81,000, such a big drop and still debating whether it's a cold winter or a cycle? Staying alive is the hard truth; everything else is just chatter. --- A 40% drop in Ethereum isn't really a big deal; I've seen even more brutal declines in 2021. The problem is most people don't hedge their risks—that's the price they pay. --- The market is starting to differentiate again... Differentiation is bullshit; anyone without trading discipline will die in any market condition. --- 1 trillion dollars evaporated. Think about how many people were wiped out by leverage. That's why I always say risk control comes first. --- Rebounding around 90,000 repeatedly—wait and see at this level, don't rush to buy the dip. Historical cycles tell us there are many rebound traps. --- When market sentiment is panic, it's the perfect time for disciplined traders to pick up bargains, but the prerequisite is that you survive until that moment.

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RugPullAlarm

· 2025-12-29 17:27

$19 billion liquidation? I just want to ask those guys who are leveraging to the sky, how are you doing now? On-chain data shows that large addresses have been quietly escaping since mid-October, and now they are crying about being liquidated. A $1 trillion evaporation sounds impressive, but it's really just the blood and sweat of retail investors. Bitcoin dropped from 126,000 to 90,000, and those who bought at high levels really deserve to reflect on their risk management. Institutions are making moves? Ha, I’ll first check the concentration of funds in these "institutions" large addresses.

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SatoshiSherpa

· 2025-12-29 17:16

Haha, here comes the story of cutting leeks again. That $126,000 wave was really exciting, but it didn't hold. I just want to ask, when the 19 billion liquidation happened, what were you institutional folks thinking? Were you really "strategizing" or just waiting to buy the dip? But honestly, I knew something was wrong the moment 1 trillion evaporated. The mid-year frenzy was gone in an instant, it's pretty outrageous. I was completely stunned when Ethereum dropped 40%. Is this a harsh winter or just a cycle debate... Anyway, I really lost my coins. Institutional funds continuously deploying sounds great, but what about us retail investors?

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