Analytical Overview of Cryptocurrencies as of December 3, 2025: Yearn Finance Hack, Bitcoin Correction, Dynamics of Top Altcoins and Key Market Trends.
The cryptocurrency market began December with a sharp correction: following a recent rally, Bitcoin lost its position while prices for many altcoins declined. The focus shifted to the hack of the DeFi protocol Yearn Finance, which resulted in millions of dollars being lost. Additionally, speculative volatility and profit-taking exacerbated the price pullback. Despite this, institutional interest in digital assets remains high: major banks and funds are expanding investor access to crypto ETFs and trading funds. The market backdrop is contradictory: on one hand, new technical products are paving the way for cryptocurrencies, while on the other, regulators are exhibiting caution. Investors in different regions (U.S., EU, Asia) are closely monitoring economic signals and industry news.
Bitcoin Under Pressure
The first cryptocurrency has corrected by a few percent after its historical peak. As of December 3, the price of Bitcoin (BTC) is around $85,000, significantly lower than the record highs at the end of November. Profit-taking and overall negative sentiment have pushed the price down to a local low of about $80,000 on short-term intervals. Experts note that the key support level is in the $80-82k range; a breach of this level could lead to further declines. However, in the medium term, most analysts continue to expect a bullish trend to persist if demand recovers. Experts believe that overcoming strong resistance levels will allow Bitcoin to reach new highs.
Ethereum and Altcoins: Correction Amid Sell-offs
Following Bitcoin, the price of leading altcoin Ethereum (ETH) and other major tokens declined. At the time of publication, Ethereum is trading around $2,800, which is a few percent lower than its recent peak above $3,000. Other altcoins were also under pressure: XRP, Binance Coin, Solana, Cardano, and others. For example, Ripple (XRP) dropped to about $2.70, Binance Coin (BNB) is around $800, and Solana (SOL) hovers around $135. Market participants associate this decline with the news regarding Yearn Finance and the overall increase in volatility. Many investors note that capital flows had previously shifted towards Ethereum-based products, which partially supports ETH prices. Predictions for altcoins remain mixed: if the situation stabilizes, consolidation may occur, but further dynamics will depend on the overall conditions in financial markets.
DeFi Hack: The Yearn Finance Incident
One of the key events of the week was a serious incident in the decentralized finance (DeFi) ecosystem. The Yearn Finance protocol confirmed a successful attack: the attacker exploited a vulnerability in the smart contracts of the yETH token, "printing" billions of coins and withdrawing about $9 million from the liquidity pool. Although Yearn’s main pools remained untouched, the news caused panic among traders. The value of the YFI token plummeted, putting pressure on other crypto assets. Experts remind us that such smart contract errors and unprecedented "bugs" continue to pose significant risks for DeFi protocols.
Institutional Investments and Regulatory Environment
Despite the current turbulence, the interest of major players in cryptocurrencies remains high. Last week, it was announced that investment bank Goldman Sachs will acquire ETF issuer Innovator Capital Management for $2 billion, expanding its presence in the cryptocurrency product segment. At the same time, the $11 trillion Vanguard, traditionally a supporter of conventional assets, will allow its clients to trade exchange-traded funds based on Bitcoin, Ethereum, XRP, and Solana starting December 3. Furthermore, Bank of America officially recommends that investors allocate 1-4% of their portfolios to digital assets, while some hedge funds and pension funds are gradually adopting cryptocurrencies as part of long-term investments. The regulatory landscape remains mixed: China continues to ban private cryptocurrency trading, while new rules to protect investors are being discussed in the U.S. and EU. This contrast shows that the infrastructure for institutional investments is expanding, yet oversight remains strict.
Market Sentiment and Volatility
The sharp decline in prices has led to a rise in fear within the market: according to various assessments, the "fear and greed" index has fallen to extremely low values (around 20-25 points), indicating panic among investors. Market participants have noted accelerating volatility and record liquidation volumes: during the Asian trading session alone, forced liquidations of long positions reached hundreds of millions of dollars. Such "liquidations" expedite price downturns. The current situation reminds market participants of the importance of adhering to risk limits: extreme sell-offs often precede reversals, but in the short term, any intensification may provoke further losses.
Forecasts and Expectations
Expert opinions on the further development of the cryptocurrency market are divided. Some analysts maintain bullish forecasts, believing that the current correction may be a temporary pause before a resumption of growth. For instance, analysts at Standard Chartered still believe that Bitcoin could reach levels of around $150,000-200,000 by year-end, and Ethereum could rise to $7,000-8,000. Optimists note that even after the recent pullback, the current levels are close to most medium-term targets. Meanwhile, cautious traders warn of the risks of further correction: macroeconomic pressures and increased regulatory scrutiny could slow down price recovery. Consequently, experts anticipate a consolidation period: should demand stabilize, key resistance levels might dictate the forthcoming trend.
Top 10 Most Popular Cryptocurrencies
- Bitcoin (BTC) — the first and largest cryptocurrency. Current price is around $85,000, with a capitalization exceeding $1.5–1.7 trillion (approximately 60% of the market).
- Ethereum (ETH) — the leading altcoin and smart contract platform. Price around $2,800, with a capitalization of approximately $300–350 billion.
- Tether (USDT) — the largest stablecoin pegged to the U.S. dollar. Price stable at $1, with a capitalization over $150–160 billion.
- Ripple (XRP) — token of the Ripple payment network. Trading around $2.70, with capitalization around $120–130 billion. News surrounding the token's status in the U.S. continues to influence its popularity.
- Binance Coin (BNB) — cryptocurrency of the Binance exchange. Price around $800, with capitalization around $100–110 billion. BNB is popular due to its extensive use on the exchange and within the BNB Chain ecosystem.
- Solana (SOL) — a high-performance blockchain platform. Price approximately $135, with capitalization around $90–95 billion. SOL's popularity is supported by active development within the ecosystem and expectations of a spot ETF launch.
- USD Coin (USDC) — the second-largest dollar stablecoin. Price fixed at $1, with capitalization around $60–70 billion. USDC is utilized in institutional transactions and DeFi protocols due to the transparency of its reserves.
- Cardano (ADA) — a blockchain platform with a scientific approach. ADA is priced around $0.50–0.60, with capitalization of approximately $20–25 billion. The project attracts attention with plans for new upgrades and discussions on launching related financial products.
- TRON (TRX) — a blockchain for smart contracts, popular in Asia. Trading around $0.33, with capitalization around $30–35 billion. TRX remains among the top coins due to the widespread use of its network for issuing stablecoins.
- Dogecoin (DOGE) — a well-known meme cryptocurrency. Price around $0.18–0.20, with capitalization of $25–30 billion. DOGE is supported by a significant community and periodic attention from celebrities, keeping it in the top 10 despite high volatility.
Cryptocurrency Market as of Morning December 3, 2025
Prices of major digital assets in the morning:
- Bitcoin (BTC): $85,000
- Ethereum (ETH): $2,800
- Ripple (XRP): $2.70
- Binance Coin (BNB): $800
- Solana (SOL): $135
- Tether (USDT): $1.00
- Total market capitalization: ~ $3.5 trillion
- Fear and Greed Index: ~ 23 (extreme fear)
