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

【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.