2025-12-25 07:28:47

Others celebrate holidays with "candlelight dinners," but in the crypto world, it's "candlelight K-lines." However, this time it's a bit different. Talking about this year's Christmas Eve market, most investors are still lamenting that they didn't receive the anticipated holiday gift. Bitcoin is stuck around $87,000, down nearly 30% from its all-time high, while Ethereum is barely holding above $2,900.

The market sentiment index has already fallen to the "extreme fear" level, but a closer look reveals underlying currents behind this panic. While retail investors are panicking and selling off, large institutions are quietly entering the market—this is the game of smart money.

A detail worth noting: an institution associated with a well-known analyst has built a position of 67,000 ETH in the past 24 hours, worth approximately $201 million. This is definitely not a random move but a clear signal of institutional funds in action.

**Where does the pressure come from?**

This morning, as I opened my eyes, the community was full of complaints. The US Q3 GDP data was released at 4.3%, far exceeding the expected 3.3%. Good economic data should be positive, but instead, it became a weight on the crypto market. Strong economic performance suggests the Federal Reserve may slow down its rate cuts, and in a high-interest-rate environment, funds tend to flow into stable assets, putting risk assets at the forefront. Bitcoin subsequently plunged, once touching the support level of $88,000.

On the surface, the market does seem to be weakening.

**But the real story is beneath the surface**

Panic often hides opportunities. When retail investors are driven by emotion to sell off, experienced institutional investors are actually positioning themselves. Besides that large Ethereum purchase, other institutions are also continuously increasing their Bitcoin holdings. This kind of contrarian operation frequently appears during extreme market sentiment, reflecting the advantage of big funds in information.

Historically, extreme fear is often the night before extreme greed. When most people are fleeing, the real opportunity is often waiting right there. This correction could be the golden window for rebalancing positions.

BTC0.27%

ETH-0.48%

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RebaseVictim

· 2h ago

You're coming to cut our retail investors again, institutions eat the meat while we drink the soup, so annoying.

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SatsStacking

· 2h ago

Institutions quietly accumulate, while retail investors are still cutting losses. This is the gap. It's the same old story: big funds use fear to cut our leeks, then quietly make huge profits themselves. GDP looks good but actually falls; the Federal Reserve's move is really ruthless, with funds flowing entirely into bonds. Wait, 67,000 ETH? If this money were reversed, it would be our blood. So should we buy now or wait? We really can't afford to gamble anymore. Watching others deploy, but having no money in our pockets is the hardest. Historical patterns sound good, but in the next extreme fear, we will still run.

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MergeConflict

· 2h ago

Here we go again with this set? Institutions buy the dip while retail investors take the fall. How many times has this script been played out? Let's not talk about "smart money" anymore. Honestly, it's just a game of capital. What is the truth? When GDP is good and the economy is strong, the Federal Reserve will raise interest rates. That logic indeed makes sense. But the key is that you need to have the capital to endure until that moment of "extreme fear turning into greed." The incident with 67,000 ETH feels suspicious; information asymmetry is exactly how this happens. I'm truly convinced—every time there's a sharp drop, they say the opportunity has arrived, but in the end, retail investors are the ones losing.

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