Bitcoin (BTC) and
Ethereum
(ETH) extended their downward spiral in November,
tumbling by 21% and 26%
, respectively, as persistent bearish sentiment weighed heavily on the crypto sector. At the same time,
gold soared to an all-time high of $4,080 per ounce
, driven by Tether’s aggressive purchase of 116 tons of gold—putting its reserves on par with those of some smaller central banks. This divergence has shattered the long-standing belief that digital currencies act as a safe haven during financial instability.
Leverage Shares, a European ETF issuer
, revealed its intention to introduce 3x leveraged and inverse
Bitcoin
and Ethereum exchange-traded products (ETPs) on Switzerland’s SIX Exchange in the coming week. This development highlights the rising institutional appetite for crypto derivatives despite ongoing volatility. Still, experts warn these instruments could magnify losses amid sharp market swings,
with Bloomberg’s Eric Balchunas commenting the timing could be “either excellent or disastrous”
depending on perspective.
Bearish sentiment in crypto is unmistakable.
Coindesk’s Bitcoin Greed & Fear Index plunged to “extreme pessimism”
by late October 2025, while
BitMine Immersion CEO Thomas Lee blamed the downturn
on a historic liquidity crisis reminiscent of the FTX collapse in 2022. Nonetheless, BitMine—now the first major crypto company to announce a dividend—remains optimistic,
forecasting a swift V-shaped rebound
similar to previous cycles.
Bitcoin ETF activity mirrored the chaos.
U.S. spot Bitcoin ETFs saw net outflows totaling $1.216 billion
this week, but
a net inflow of $238 million on November 21 hinted at a possible turnaround
. Fidelity’s FBTC led the way with $108 million in new investments, while
Grayscale’s mini-trust (GSTB) attracted $84.93 million
. Total ETF assets steadied around $110 billion, with holdings surpassing 1.05 million BTC—almost half of all Bitcoin in circulation
.
Tether’s gold acquisition strategy has become a major talking point. The stablecoin leader,
now holding $12.9 billion in gold reserves
, has emerged as a significant player in the physical gold market. By backing gold royalty firms and recruiting former HSBC traders,
Tether
is crafting a “borderless central bank” approach, blending U.S. Treasury earnings with tangible assets
.
has tightened gold supplies and contributed to this year’s 50% price surge.
The market’s split reflects changing investor preferences. While crypto’s turbulence undermines its safe-haven appeal,
Tether’s gold investments and central banks’ moves away from the dollar
are reshaping demand for gold. At the same time, leveraged crypto products and ETFs offer greater exposure but also increase systemic risk in an already fragile environment.
