Current Cryptocurrency News as of 2 December 2025: Bitcoin and Ethereum Dynamics, Top-10 Cryptocurrency Changes, Institutional Trends and Market Analysis.
At the beginning of December, global cryptocurrency markets continue to undergo correction following a sharp rise in autumn. Major digital assets are trading in the negative: Bitcoin has fallen to around $85,000–$86,000, while Ethereum is trading at approximately $2,800, with many altcoins losing 4–8% in the last 24 hours. November proved to be Bitcoin's worst month since 2021: from its peak of $126,000 at the beginning of October, the asset has dropped by more than $18,000. Such a significant decline, combined with overall market uncertainty, has created a risk-averse sentiment in the market.
Macroeconomic factors have also intensified pessimism; for instance, the rise in Japanese government bond yields, amidst expectations of tightening monetary policy, has exerted additional pressure on risky assets (including cryptocurrencies). However, December is traditionally favourable for BTC (with an average price increase of +10%), hence investors are closely monitoring developments. Bitcoin currently holds above a key support level of approximately $80,000, a breach of which could trigger a new wave of sell-offs.
Current Situation: Bitcoin and Ethereum
Bitcoin (BTC) continues its decline, losing approximately 5% over the past day. As of early Tuesday, the price fluctuates in the range of $85,000–$86,000, close to November's lows around $80,000. Ethereum (ETH) has also dropped by 5–6%, trading around $2,700–$2,800, echoing the market sentiment (in November, Ethereum fell nearly 22%, marking its worst monthly performance since February).
Other major altcoins are mirroring the movements of the leaders: Solana (SOL), Dogecoin (DOGE), and XRP have all decreased by 4–5% at the start of the week, trading at approximately $120, $0.13, and $2 respectively. Binance Coin (BNB) is maintaining its position around $800, thanks to consistent interest in the Binance ecosystem. DeFi tokens (Chainlink, Uniswap, etc.) have also largely decreased in line with the overall sell-off.
DeFi and Security News
Amidst the general cryptocurrency sell-off, events in the decentralized finance (DeFi) sector have also had an impact. On 1 December, Yearn Finance reported an "incident" in the yETH liquidity pool: an attacker siphoned off approximately 1,000 ETH (around $3 million) via the Tornado Cash mixer. As a result, the protocol suffered a loss of approximately $9 million, and the price of YFI plummeted. This attack has been a significant shock to the market and has heightened concerns regarding the security of DeFi platforms. It should be noted that last week, South Korean exchange Upbit also suffered a major hack.
Such news leads to an additional capital outflow: on Monday, long-position liquidations in cryptocurrency futures exceeded $400 million, indicating panic selling. These events illustrate that the cryptocurrency market infrastructure remains vulnerable, and negative news is instantaneously reflected in prices.
Ethereum: Upcoming Fusaka Upgrade
Despite the market decline, there is positive news for the Ethereum ecosystem. The Fusaka upgrade (a combination of Fulu and Osaka changes) is scheduled to be activated on the Ethereum blockchain on 3 December 2025. Fusaka includes 12 important protocol improvements aimed at enhancing network throughput and reducing fees, especially for layer-2 solutions. A key feature — PeerDAS technology — will allow for the verification of only fragments of large "blobs" of data instead of full uploads, significantly speeding up verification and reducing node load.
Developers and institutional investors (for instance, Fidelity) believe that Fusaka will significantly improve Ethereum's scalability. This could increase the efficiency of decentralized applications and attract additional interest to the ecosystem. In the short term, the upgrade's influence on ETH prices may be limited, but in the long run, Fusaka lays the groundwork for growth.
Regulation and Global Policy
Market sentiments are largely shaped by regulatory news. In China, the central bank reaffirmed its stringent stance at the latest meeting on virtual currencies: cryptocurrencies do not have the status of legal tender, and stablecoins may be used for illegal purposes. The regulator pledged to tighten the fight against illegal financial schemes related to virtual assets to "maintain economic stability."
Approaches vary across different countries. In the EU, provisions of the MiCA law have already been implemented, providing measures for the protection of stablecoins, while regulators are discussing a ban on "multi-issuance" of tokens to prevent the risks of mass simultaneous buyouts. Conversely, in Japan, discussions are underway to ease regulations: authorities plan to lower taxes on cryptocurrency income and allow banking groups to launch their own cryptocurrency exchanges.
- China: complete ban on cryptocurrency trading and mining, heightened scrutiny of stablecoins and transaction controls.
- Europe: existing MiCA regulations contain investor protection mechanisms against stablecoin risks; the limitation on "multi-issuance" is being discussed to prevent simultaneous mass buyouts of tokens.
- USA: a comprehensive cryptocurrency bill is being prepared (voting is scheduled for early 2026), which will clarify the status of digital assets (as commodities or securities) and enhance investor protections.
- Japan: measures to expand access to the crypto market are under discussion, including tax incentives and allowing banks access to cryptocurrency services.
Institutional Sentiments and Investments
Interest from major investors in cryptocurrencies has waned: in November, Bitcoin ETFs saw record outflows — over $3 billion exited such funds, while approximately $1.4 billion left Ethereum. This indicates that institutional investors are scaling back their positions. According to Bloomberg, the total outflow from BTC ETFs has exceeded $4.6 billion from October to November, while in the last week of November there was only a minor inflow (~$70 million).
Notably, Strategy Inc (which holds the largest corporate Bitcoin portfolio) has set aside $1.4 billion for future dividend payouts, alleviating concerns about a potential forced sell-off of their $56 billion hedge fund. Nonetheless, the majority of institutional players are currently adopting a wait-and-see approach, anticipating signals of stabilization.
- Record outflows from Bitcoin and Ethereum exchange-traded funds (several billion dollars in November) indicate a decline in institutional investor interest.
- Major holders (such as Strategy Inc) are building liquidity reserves (safety cushions) for fulfilling obligations, thus reducing market pressure.
- The inflow of new funds into the market is currently minimal: investors are taking a wait-and-see approach and focusing on risk management.
Altcoins and Promising Tokens
Among popular altcoins, leading capitalisation assets are predominantly synchronously moving alongside Bitcoin and Ethereum. XRP trades around $2, Solana around $120, Cardano around $0.37, and Polkadot approximately $4–5. Most "blue chips" (BNB, LINK, DOT, etc.) have declined by 5–8% at the beginning of December. The meme coin Dogecoin holds a price around $0.13, and other meme tokens (Shiba Inu, Floki, etc.) have also decreased amidst the overall correction.
Stablecoins play a significant role in the market: Tether (USDT) and USDC trade steadily around $1 and provide significant liquidity. They allow investors to rapidly transfer funds to a "safe haven" during high volatility and preserve capital.
New and niche tokens are still highly correlated with the overall trend: DeFi platform tokens and blockchain gaming assets have declined in price despite upgrade announcements. Recently surged Hyperliquid (HYPE) has come under pressure and returned to around $30.
Top-10 Popular Cryptocurrencies
- Bitcoin (BTC) — the first and largest cryptocurrency by market capitalization, often regarded as "digital gold." BTC serves as a benchmark for the entire market.
- Ethereum (ETH) — the second-largest cryptocurrency by market capitalization, the primary platform for smart contracts and decentralized applications (DeFi, NFTs, etc.). A major Fusaka upgrade is anticipated in December.
- Tether (USDT) — the largest stablecoin pegged to the US dollar. USDT is used for capital preservation and transitioning funds between exchanges.
- Binance Coin (BNB) — the native token of the Binance exchange. It is used for trading fee payments and participates in the Binance ecosystem, including staking and launching new projects.
- XRP — the token of the Ripple network, initially created for fast international payments. XRP is popular due to Ripple's partnerships with banks and financial institutions.
- Solana (SOL) — a high-performance blockchain for smart contracts, known for its fast transaction processing times and low fees, attracting DeFi and NFT projects.
- Cardano (ADA) — a proof-of-stake blockchain focused on scalability and sustainability, valued for its scientific approach to development and community support.
- Dogecoin (DOGE) — a meme coin created as a joke project, which has gained substantial community support. DOGE is often used for short-term speculation and internet donations.
- Polkadot (DOT) — a multi-chain platform designed to connect different blockchains. DOT is used for network security and voting on Polkadot's ecosystem development.
- Avalanche (AVAX) — a blockchain with high throughput and fast consensus. Avalanche competes with Ethereum by offering a platform for creating new DeFi protocols with low fees.
Prospects and Forecasts
Analysts currently note heightened caution in the market. A key benchmark is the $80,000 level for BTC: maintaining above it will help avoid panic. Should Bitcoin break support, further declines are anticipated. Nevertheless, seasonal factors in December are traditionally favourable for cryptocurrencies, making a scenario of moderate stabilisation or a rebound by the end of the month possible.
The subsequent trend will depend on a combination of factors: central bank monetary policies, technological innovations, and investor sentiment. Investors are advised to diversify their portfolios and closely monitor regulatory news and key project developments. Announcements of significant upgrades (such as Fusaka for Ethereum) inspire optimism, yet risks remain due to global economic uncertainty and recent incidents. The upcoming weeks will reveal whether the crypto market can stabilise and find new momentum for growth.
