In November 2025, the cryptocurrency market has recorded a significant wave of retail capitulation, a phenomenon that historically precedes notable price recoveries. According to Illia Otychenko, Lead Analyst at CEX.IO, Bitcoin is showing early signs of stabilization following a recent correction, suggesting that selling pressure is gradually diminishing. This behavior from small investors is often interpreted as a positive contrarian indicator for the start of a rally.
Data from analytics platform Santiment reveals that wallets holding less than 0.01 BTC have shed 0.36% of their holdings over the past five days. Similarly, investors with less than 0.1 ETH liquidated 0.90% of their funds in the last month, while wallets with less than 100 XRP sold 1.38% since early November. These figures confirm that smaller participants are selling at a loss, validating the theory that panic has taken over the retail sector.
Is this the definitive signal for a sustained recovery?
This event is relevant because, as Santiment notes, prices tend to move in the opposite direction of small wallets’ behavior. The massive exit of retail investors usually marks the exhaustion point of sellers, clearing the path for smart money to drive the market. However, Otychenko warns that while Bitcoin trades around $91,510, a broad altcoin season looks unlikely without a fresh macroeconomic catalyst to renew general sentiment.
On the other hand, Georgii Verbitkii, founder of TYMIO, observes an interesting divergence in the current market structure. While Bitcoin shows some structural weakness sliding steadily downward, selected altcoins are holding their price levels more firmly. This relative resilience in specific assets could indicate that liquidity is rotating selectively within the digital economy, rather than abandoning it entirely.
To conclude, while the current bounce offers temporary relief, experts suggest caution before declaring a full trend reversal. The lack of solid macroeconomic support could limit the scope of this recovery in the short term. Investors will need to watch if Bitcoin manages to consolidate above key levels to confirm whether we are facing a healthy correction or the prelude to a deeper drop toward the $80,000 zone.
