Why Crypto Is Down Today [Live] Updates on Dec 16,2025

Cathie Wood’s ARK Invest stepped in during the latest crypto stock selloff, buying nearly $60 million worth of shares across the sector. Purchases included Coinbase, Bullish, Circle, Bitmine, and CoreWeave, as prices slid for multiple sessions. The move aligns with ARK’s long-standing strategy of adding exposure during drawdowns rather than chasing rallies. Despite recent declines, crypto equities remain a core part of ARK’s portfolio, signaling continued long-term conviction.

Ethereum fund positioning is showing early signs of improvement. The fund market premium has turned slightly positive, suggesting institutional demand for $ETH is stabilizing after recent volatility. Historically, this shift points to easing selling pressure and a reset in positioning, rather than aggressive downside. While it’s not a clear breakout signal yet, it often marks a phase where the market prepares for its next directional move.

Bitcoin is under renewed selling pressure as prominent investors, including Luke Gromen, reportedly cut exposure amid concerns over broader market stress and long-term risks like quantum computing. At the same time, on-chain data shows whales accumulating Ethereum, highlighted by a $120 million buy on Binance. Retail traders appear to be selling into weakness, adding to downside pressure. While a rebound is possible, markets remain cautious as macro uncertainty and shifting asset preferences shape near-term sentiment.

Several Solana-based crypto projects are reaching new all-time highs, pointing to rising investor interest and stronger community activity. Tokens such as Official Boxabl, STONKS, NAFO Fund, and SavingAngus have recently touched peak market caps, supported by active callers and large subscriber bases. The surge reflects growing optimism around Solana’s expanding ecosystem and improving liquidity. As momentum builds, traders are closely tracking these projects for potential upside opportunities.

Bitcoin mining yields have eased to about $0.038 per TH/s per day as the market adjusts after the halving. Meanwhile, Ripple’s RLUSD stablecoin is expanding to multiple Ethereum Layer-2 networks through Wormhole, supporting XRP liquidity and real-world use. XRP spot ETFs have now logged 30 straight days of inflows nearing $1 billion, even as Bitcoin and Ethereum ETFs see outflows. Adding to the trend, CME Group has launched spot-quoted XRP and SOL futures, highlighting rising institutional demand.

Crypto markets saw a sharp sell-off on Monday, wiping out $136 billion in value as Bitcoin slipped below $88,000. The drop triggered $381 million in leveraged liquidations, underscoring the ongoing volatility driven by leverage. Total market cap fell 3.7% to $2.93 trillion, with Ethereum down 6.1% and altcoins following. By contrast, the S&P 500 dipped just 0.3%. Analysts say the market remains range-bound, with $3.2T as resistance and $2.85T as key support, echoing past correction phases.

For only the fourth time in Bitcoin’s history, the BTC-to-Gold RSI has dropped below 30—a level that previously marked major bottoms in 2015, 2018, and 2022. While not a guarantee, it suggests a clear imbalance. This time, gold appears stretched relative to Bitcoin. The gap from the 20-week moving average is also unusually wide. History may not repeat, but when this signal appears, it often points to an upcoming rotation.

Ripple CEO Brad Garlinghouse has slammed The New York Times for what he calls a “hit piece” targeting the SEC’s new leadership. The report suggests crypto cases are being dropped due to political favoritism, but Garlinghouse says that misses the point. According to him, the real story is the rollback of Gary Gensler’s “illegal” enforcement-first approach—something Ripple and the broader crypto industry have long challenged. $XRP

Crypto markets may face another sharp drop in December as Japan is expected to raise interest rates again. Higher rates unwind the yen carry trade, forcing investors to sell assets, including crypto. Past hikes in 2024 and 2025 saw Bitcoin fall nearly 25%. A similar move could spark fast sell-offs and volatility. However, with Japan’s economy weak and global liquidity slowly improving, this drop could mark a final bottom before a stronger 2026 rally.

Bitcoin price is down today, and the reason is simple: China. Authorities tightened rules on domestic Bitcoin mining, forcing major shutdowns in regions like Xinjiang. Around 400,000 miners went offline in December, pushing the network hashrate down nearly 8%. When miners lose revenue, many are forced to sell BTC to cover costs or relocate, creating short-term sell pressure. This isn’t a demand problem or a long-term threat just a temporary supply shock.