- Solve real problems with our hands-on interface
- Progress from basic puts and calls to advanced strategies
Interactive Options Course
Finance Courses and Lessons
Topics
Language
Finance Courses and Lessons
Topics
Language
Posted December 1, 2025 at 10:15 am
Bitcoin (CRYPTO: BTC) is down almost 6% in the past 24 hours after a sudden wave of long-position liquidations erased nearly $4,000 from price in a matter of minutes.
Jim Cramer said the sharp decline reflected speculative positioning rather than any change in Bitcoin’s underlying case.
In a post on X, Cramer said the morning selloff aligned with what he outlined in his Sunday note, arguing that Bitcoin and speculative trading “collaborate to start the month horribly” and have “nothing to do with companies we invest in.”
He added that a surge in Japan’s 10-year yield may have amplified the pressure.
The comment followed one of the fastest liquidation events in weeks.Â
More than $400 million in leveraged long positions were wiped out during the drop, according to data cited by The Kobeissi Letter.
According to The Kobeissi Letter, the decline had no clear news catalyst and instead reflected thin liquidity, a common pattern during low-volume sessions late in the week.
Elevated leverage levels created conditions where even a modest burst of selling triggered forced liquidations.
The report said this dynamic has appeared several times this year, pointing to structural liquidity issues rather than deterioration in fundamentals.
Analysts have warned that high leverage can magnify routine price swings, especially when liquidity pools shrink near weekend trading.
BTC Key Technical Levels (Source: TradingView)
Bitcoin’s technical structure deteriorated further after the sharp rejection near the upper Keltner band and clustered EMAs around $92,000.
The move broke the rising two-hour trendline, sending price directly from the channel top to below the lower Keltner band.
Staying below the $89,000 zone keeps the short-term bias tilted downward.
A failure to regain the Keltner body and close above the $89,000 region may expose a move towards $78,000.
A stronger recovery requires buyers to reclaim the broken trendline and pull price back inside the Keltner structure.
BTC Netflows (Source: TradingView)
Coinglass data shows that Bitcoin recorded about $367 million in net outflows early Monday, marking one of the heaviest spot withdrawals in weeks.
The chart reflects a broad pattern of persistent red prints throughout the past month, underscoring how exchange participants have been offloading positions rather than adding exposure.
—
Originally Posted December 1, 2025 – Jim Cramer Notes ‘Horrible’ Bitcoin Start To December As BTC Falls By $4,000 In Minutes
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Information posted on IBKR Campus that is provided by third-parties does NOT constitute a recommendation that you should contract for the services of that third party. Third-party participants who contribute to IBKR Campus are independent of Interactive Brokers and Interactive Brokers does not make any representations or warranties concerning the services offered, their past or future performance, or the accuracy of the information provided by the third party. Past performance is no guarantee of future results.
This material is from Benzinga and is being posted with its permission. The views expressed in this material are solely those of the author and/or Benzinga and Interactive Brokers is not endorsing or recommending any investment or trading discussed in the material. This material is not and should not be construed as an offer to buy or sell any security. It should not be construed as research or investment advice or a recommendation to buy, sell or hold any security or commodity. This material does not and is not intended to take into account the particular financial conditions, investment objectives or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.
Trading in digital assets, including cryptocurrencies, is especially risky and is only for individuals with a high risk tolerance and the financial ability to sustain losses. Eligibility to trade in digital asset products may vary based on jurisdiction.
Trading on margin is only for experienced investors with high risk tolerance. You may lose more than your initial investment. For additional information regarding margin loan rates, see ibkr.com/interest
Related Articles
Join The Conversation
For specific platform feedback and suggestions, please submit it directly to our team using these instructions.
If you have an account-specific question or concern, please reach out to Client Services.
We encourage you to look through our FAQs before posting. Your question may already be covered!