THE WEEK AHEAD ECONOMIC DATA RELEASE 30TH NOV 2025 EX OIL COMMODITIES ARE SET FOR MORE UPSIDE IN CY26 CHINA IS IRREVERSABLY DECOUPLING FROM US: THINK 2027, THINK TAIWAN IS THIS DECEMBER DIFFERENT FOR DOLLAR THE WEEK AHEAD ECONOMIC DATA RELEASE 23RD NOV 2025 DUTCH PENSION REFORMS: THE NEXT LONG END WORRY NVIDIA: WINNER TAKES IT ALL UK AUTMN BUDGET: PREVIEW BUY 10YR UK GILTS AGAINST SELL 10YR GERMAN BUNDS BUY 10YR UK GILTS SELL 10YR UST BUY S&P 500

BITCOIN IS NOT A RISK DIVERSIFIER BUT A HIGH BETA REFLECITON OF RISK

ADMIN || 18th November 2025

The crypto plunge is going from bad to worse, with Bitcoin erasing its year-to-date gains and dragging the broader risk complex with it.

The token is down roughly 16% this month and 2% on the year, a sharp reversal for what was once the best-performing major asset class of 2025. The carnage underscores the fragility of risk appetite as crypto, the quintessential “fast money” proxy, once again behaves like the canary in the coal mine for markets.

Even those doubling down aren’t escaping the fallout. Michael Saylor’s Strategy, effectively a leveraged Bitcoin vehicle, revealed an $835 million purchase last week. The move was financed partly through a euro-denominated preferred offering, and was meant to reaffirm the company’s faith in the asset. Instead, shares have fallen for six straight days and are now at their lowest since October 2024, illustrating how relentless nature of the drawdown.

 For much of the year, institutional demand through ETFs and corporate treasuries provided a stabilizing bid for Bitcoin, but that flow has faded. The feedback loop between crypto and risk assets appears to be in full swing.

What’s different this time is how conviction has evaporated. After topping $126,000 in early October, Bitcoin’s total market value has fallen by nearly $600 billion, with no clear saving grace in sight. While some point to global liquidity tightening or the fading “Trump trade,” it’s equally plausible the market simply ran out of buyers after such an astronomical run. In that context, Strategy’s renewed buying looks more like a show of faith being met with indifference.

The reality is that crypto remains a high-beta reflection of risk, rather than a diversifier from it. When liquidity dries up and volatility rises, it’s among the first to flinch, and this latest slide is a reminder of that.

Legal Disclaimer:

Trading foreign exchange/commodities/equities/bonds on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange/commodities/equities you should carefully consider your investment objectives, level of experience and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange/commodities/equities trading and seek advice from an independent financial advisor if you have any doubts.

Read More