Current Cryptocurrency News as of December 2, 2025: Bitcoin and Ethereum Dynamics, Changes in the Top 10 Cryptocurrencies, Institutional Trends, and Market Analysis
At the beginning of December, global cryptocurrency markets continue to correct after a sharp rise in the autumn. Major digital assets are trading in the red: Bitcoin has dropped to around $85,000–$86,000, Ethereum to around $2,800, while many altcoins have lost 4–8% over the last 24 hours. November was Bitcoin’s worst month since 2021: from a record high of $126,000 in early October, the asset has fallen by more than $18,000. Such a significant drop, coupled with overall market uncertainty, has created a risk-averse sentiment in the market.
Macroeconomic factors have also heightened pessimism; for instance, the rise in Japanese government bond yields amid expectations of tightening monetary policy has added pressure on risky assets, including cryptocurrencies. However, December is traditionally favorable for BTC (averaging +10% in price), so investors are closely monitoring developments. Bitcoin is currently holding above a key support level of around $80,000, a breach of which could trigger a new wave of sell-offs.
Current Situation: Bitcoin and Ethereum
Bitcoin (BTC) continues to decline, losing approximately 5% in the last day. As of Tuesday morning, the price is fluctuating between $85,000 and $86,000, close to November's lows around $80,000. Ethereum (ETH) has dropped by 5-6% and is trading near $2,700–$2,800, reflecting market sentiment (in November, Ethereum fell nearly 22%, marking its worst monthly performance since February).
Other major altcoins are mirroring the leaders' movements: Solana (SOL), Dogecoin (DOGE), and XRP fell by 4-5% at the start of the week and are trading at approximately $120, $0.13, and $2, respectively. Binance Coin (BNB) maintains its position near $800, thanks to sustained interest in the Binance ecosystem. DeFi tokens (Chainlink, Uniswap, etc.) have also mainly declined following the overall sell-off.
DeFi and Security News
Amid the overall cryptocurrency sell-off, events in the decentralized finance (DeFi) sector have also impacted the situation. On December 1, Yearn Finance reported an “incident” in the yETH liquidity pool: a hacker withdrew around 1,000 ETH (about $3 million) via the Tornado Cash mixer. As a result, the protocol incurred a loss of approximately $9 million, and the price of YFI plummeted. This attack was a significant shock to the market and heightened concerns regarding the security of DeFi platforms. Notably, last week, the South Korean exchange Upbit suffered a major hack.
Such news leads to an additional outflow of capital: on Monday, liquidations of long positions on cryptocurrency futures exceeded $400 million, indicating panic selling. These events demonstrate that the cryptocurrency market infrastructure remains vulnerable, and negative news instantaneously impacts prices.
Ethereum: Upcoming Fusaka Upgrade
Amid the market downturn, there is positive news for the Ethereum ecosystem. The activation of the Fusaka upgrade (a combination of Fulu and Osaka changes) on the Ethereum blockchain is expected on December 3, 2025. Fusaka includes 12 significant protocol improvements aimed at increasing network throughput and reducing fees, especially for layer-2 solutions. A key feature—PeerDAS technology—will allow the validation of only fragments of large data "blobs" instead of the full upload, significantly speeding up verification and reducing node load.
Developers and institutional investors (e.g., Fidelity) believe that Fusaka will significantly enhance Ethereum's scalability. This could increase the efficiency of decentralized applications and attract additional interest to the ecosystem. In the short term, the impact on ETH's price might be limited, but in the long term, Fusaka lays a foundation for growth.
Regulation and Global Policy
Market sentiment is largely shaped by news from regulators. In China, the central bank reaffirmed its hardline stance at the latest virtual currency meeting: cryptocurrencies do not have the status of legal tender, and stablecoins could be used for illegal purposes. The regulator promised to intensify efforts against illegal financial schemes associated with virtual assets to "maintain economic stability."
Approaches in different countries vary. In the EU, provisions of the MiCA law have been implemented: it includes protections for stablecoins, and regulators are discussing a ban on "multi-issuance" of tokens to prevent the risks of mass simultaneous buybacks. Conversely, in Japan, discussions are underway for easing measures: authorities plan to lower taxes on cryptocurrency gains and allow banking groups to launch their own cryptocurrency exchanges.
- China: complete ban on cryptocurrency trading and mining, enhanced oversight of stablecoins, and transaction control.
- Europe: existing MiCA regulations include investor protection mechanisms against stablecoin risks; a "multi-issuance" limitation is being discussed to prevent simultaneous mass buybacks of tokens.
- USA: a comprehensive cryptocurrency bill is in preparation (voting is scheduled for early 2026) to clarify the status of digital assets (commodities or securities) and enhance investor protection.
- Japan: measures to expand access to the crypto market are under discussion—tax incentives and allowing banks to engage in cryptocurrency services.
Institutional Sentiment and Investments
The interest of large investors in cryptocurrencies has weakened: in November, Bitcoin ETFs experienced record outflows—more than $3 billion left such funds, and about $1.4 billion from Ethereum. This indicates that institutional investors are scaling back their positions. According to Bloomberg, total outflows from BTC ETFs for October–November exceeded $4.6 billion, while only a minimal inflow (~$70 million) occurred during the last week of November.
In particular, Strategy Inc (which owns the largest corporate Bitcoin portfolio) has formed a reserve of $1.4 billion for future dividend payouts, which eases concerns about a potential forced sell-off of their $56 billion hedge fund. Nevertheless, most institutional players are currently taking a wait-and-see approach and hoping for stabilization signals.
- Record outflows from Bitcoin and Ethereum ETFs (several billion dollars in November) indicate a decrease in institutional investor interest.
- Major holders (e.g., Strategy Inc) are creating liquidity reserves (safety cushions) to fulfill commitments, reducing market pressure.
- New capital inflows into the market are currently minimal: investors have adopted a wait-and-see stance and are focused on risk management.
Altcoins and Promising Tokens
Among popular altcoins, leaders in capitalization generally demonstrate synchronous movement with Bitcoin and Ethereum. XRP is trading around $2, Solana around $120, Cardano around $0.37, and Polkadot at approximately $4–5. Most "blue chips" (BNB, LINK, DOT, etc.) fell 5–8% at the start of December. Memecoin Dogecoin is holding steady around $0.13, while other meme tokens (Shiba Inu, Floki, etc.) have also declined amid the overall correction.
Stablecoins hold significant importance in the market: Tether (USDT) and USDC are trading steadily around $1 and provide substantial liquidity. They allow investors to quickly move funds into a "safe haven" during high volatility and preserve capital.
New and niche tokens are still highly correlated with the overall trend: tokens from DeFi platforms and blockchain games have declined in value despite update announcements. For instance, the recently surging Hyperliquid (HYPE) has come under pressure, returning to around $30.
Top 10 Popular Cryptocurrencies
- Bitcoin (BTC) — the first and largest cryptocurrency by market capitalization, often considered "digital gold." BTC serves as a benchmark for the entire market.
- Ethereum (ETH) — the second-largest cryptocurrency by market capitalization, a primary platform for smart contracts and decentralized applications (DeFi, NFT, etc.). A significant upgrade, Fusaka, is expected in December.
- Tether (USDT) — the largest stable token (stablecoin), pegged to the US dollar. USDT is used for capital storage and moving funds between cryptocurrency exchanges.
- Binance Coin (BNB) — the native token of the Binance exchange. Used to pay fees on the exchange and is involved in the Binance ecosystem, including staking and launching new projects.
- XRP — the token of the Ripple network, originally created for fast international payments. XRP is popular due to Ripple's partnerships with banks and financial institutions.
- Solana (SOL) — a high-performance blockchain for smart contracts. Known for fast transaction processing times and low fees, attracting DeFi and NFT projects.
- Cardano (ADA) — a proof-of-stake blockchain focused on scalability and sustainability. ADA is valued for its scientific approach to development and community support.
- Dogecoin (DOGE) — a memecoin created as a joke project that has gained wide community support. DOGE is often used for short-term speculation and internet donations.
- Polkadot (DOT) — a multi-chain platform designed to connect different blockchains. DOT is used to secure the network and vote on the development of the Polkadot ecosystem.
- Avalanche (AVAX) — a blockchain with high throughput and fast consensus. Avalanche competes with Ethereum, offering a platform for creating new DeFi protocols with low fees.
Prospects and Predictions
Analysts currently note heightened caution in the market. A key benchmark is the $80,000 level for BTC: maintaining above it will help avoid panic. If Bitcoin breaches this support, further declines are expected. Nevertheless, seasonal factors in December are traditionally favorable for cryptocurrencies, making a scenario of moderate stabilization or rebound by the end of the month possible.
The ongoing trend will depend on a combination of factors: monetary policies of central banks, technological innovations, and investor sentiment. Investors are advised to diversify their portfolios and closely monitor news from regulators and key projects. Announcements of significant upgrades (such as Fusaka for Ethereum) add a note of optimism, yet risks persist due to global economic uncertainty and recent incidents. The upcoming weeks will reveal whether the cryptocurrency market can stabilize and find a new impetus for growth.
